The outlook for the commercial real estate industry remains strong despite growing concerns over sluggish job creation and higher taxes, according to a new survey of commercial real estate professionals who attended a leadership conference hosted by NAIOP, the Commercial Real Estate Development Association.
The poll was conducted during NAIOP’s 2015 Chapter Leadership and Legislative Retreat and surveyed over 100 commercial real estate insiders.
Nearly half of respondents indicated that sluggish job growth was a major concern and nine out of 10 indicated that higher capital gains taxes would have some impact on investment and growth, with many saying the impacts could be “severe.”
President Obama’s FY 2016 budget proposal includes a proposal to raise the top tax rate to 28% on capital gains and qualifying dividends for couples with income over $500,000.
Despite concerns over sluggish job creation and higher taxes, 52% projected strong growth in 2015, while 43% saw the industry as remaining stable.
“Our members are optimistic, but sluggish job creation and the looming threat of higher taxes are their main worries right now. Given our industry’s contribution to a durable economic recovery and generating good-paying jobs, we hope Congress and the president will hear this and weigh the serious consequences of a tax hike at this time,” said Thomas J. Bisacquino, president and CEO of NAIOP.
When asked the question “what keeps you up at night?” 27% of respondents indicated that gridlock in Washington was a major concern. “We need strong and consistent policies from Washington that encourage investments in development projects so more Americans can share in our economic recovery,” said Bisacquino.
Related Stories
| Nov 10, 2014
5 guiding principles for solving airflow issues in open-plenum office spaces
Although architecturally appealing, exposed ceilings can create unwanted drafts and airflow problems if not engineered correctly. McGuire Engineers' Bill Stangeland offers tips for avoiding airflow issues on these projects.
| Nov 6, 2014
Hines planning tall wood office building in Minneapolis
The Houston-based developer is planning a seven-story wood-framed office building in Minneapolis’ North Loop that will respect the neighborhood’s historic warehouse district look.
| Nov 5, 2014
Survey: More than 75% of workload takes place without face-to-face interactions
With the rise of technology, much of the workday—even the most productive morning hours—is spent corresponding via email or conference call, according to a recent survey of corporate workers by Mancini•Duffy.
| Nov 4, 2014
HOK breaks ground on colossal research complex for LG in Seoul
Located in Seoul’s Magok District, the LG Science Park provides facilities to support innovative research and industrial prototyping. HOK designed phase one of the master plan and six of the laboratory and office buildings.
| Nov 3, 2014
Cairo's ultra-green mixed-use development will be topped with flowing solar canopy
The solar canopy will shade green rooftop terraces and sky villas atop the nine-story structure.
| Oct 30, 2014
New hotel to be developed at future Dallas Cowboys World Headquarters
The Omni property will be one of the only full-service upscale hotels in the area, and serve as a cornerstone of the mixed-use development, which will be anchored by the Dallas Cowboys World Headquarters and Frisco’s Multi-Use Event Center.
| Oct 29, 2014
Better guidance for appraising green buildings is steadily emerging
The Appraisal Foundation is striving to improve appraisers’ understanding of green valuation.
| Oct 27, 2014
Davis, Calif., latest city to join race to develop 'innovation hubs'
The city plans to develop two "innovation centers" with a total of seven million sf of commercial space geared for local research and technology companies.
| Oct 24, 2014
Work in the City: Urban Diversificaton
As work and the other aspects of our lives blend, lifestyle becomes the primary lens through which all facets come into focus. In this light, individuals are taking more ownership of their own life and work choices.
| Oct 24, 2014
Herzog & de Meuron reveals plans for redesign of Roche pharmaceutical campus in Germany
The project includes the addition of a 205-meter-high tower and research center, as well as the renovation of an historic office building designed by Swiss architect Otto R. Salvisber.
