As reported by Forbes – prices for commercial real estate slipped more than 2 percent in March 2008 as it became tougher, to borrow money to buy property – Moody’s reported Monday, May 19, 2008:

• SOME BAD NEWS: The Moody’s REAL Commercial Property Price Indices fell 2.3 percent in March from February 2008, the largest one-month decline since the inception of the index.

• SOME GOOD NEWS: Prices are still up 0.9 percent from last March, Moody’s said.

Buyers are clearly dealing with a much tougher financing environment. Many commercial real estate professionals believe that the market is going to see some ups, more downs, with a downward net over time.

The devil is truly in the detail. To get your bearings, look at the specific location and sector data of interest to get the true picture as to what is happening.

Prices for retail properties were down the most, while prices for apartments, offices and industrial properties also slipped. For charts galore, go to MITs Commercial Real Estate Institute.

Tags: Commercial Real Estate Pricing

Posted in CMBX, Historical Perspective, Annual Recap, Market Trending, Commercial Real Estate | No Comments