CORFAC International’s second-half 2024 survey of members from 75 independent commercial real estate firms shows that transaction activity remained stable across the global network in the latter part of this year.
Members’ deal activity maintained an upward trajectory for 35% of respondents and held steady for 30% of respondents in the third and fourth quarters. Transaction activity declined for the remaining 35% of respondents.
CORFAC members overwhelmingly agreed, at 61%, that stabilizing interest rates are having the most positive impact on their transaction activity. Members noted that they expect to see investment sales and multifamily activity increase over the next few months because of this.
“In variable market conditions, CORFAC members can offer experienced, market-savvy counsel and tap into our expanded network to get deals done,” said 2024 President David Boyd, CCIM, SIOR, Principal of Boyd Commercial/CORFAC International in Houston. “We are pleased to note that 29% of our members received a referral from another CORFAC firm in the last six months.”
The survey of firms from 40 markets around the world also revealed that the warehouse/distribution and industrial/manufacturing segments were the major drivers of business over the past six months. Looking ahead, 50% of respondents project that industrial will be their biggest driver of business in 2025.
Other positive influences on transaction activity include population migration to their markets (47%), employer return to office mandates (29%) and positive employment trends (24%). Meanwhile, higher prices for materials (73%) and inflation (82%) continue to have the most negative effects on CRE decision making and activity, according to respondents.
At a time of increased socio economic uncertainty, CORFAC member firms can offer clients trusted counsel and localized market intelligence, with the backing of a global network.
