Second Quarter 2021 Report
As summertime emerges, so have businesses and economies, report SIOR members in the second quarter SIOR Snapshot Report. SIORS say commercial real estate (CRE) is rebounding at a record pace, with the office sector finally making its comeback.
Market confidence grew to its highest on record, at 7.6 (out of 10).
- The largest increase was seen in the office sector, rising from 5.9 in Q1 to 6.7 in Q2.
- Industrial confidence remained steady at 8.0.
On-schedule deals have also reached their highest levels in a year, with office being the primary growth factor.
- 79% of transactions are on schedule, a nearly 150% increase since Q2 2020 (32%).
- 77% of office transactions are on schedule, a 175% increase from a year ago when only 28% were progressing.
- On-time industrial transactions slightly dipped but remained strong at 80% in Q2.
Overall leasing activity rose to its highest level in more than five years, with 72% of SIORs reporting more leasing. This was a 16% increase from Q1 (62%).
- Office brokers accounted for the main increase, with 68% reporting higher leasing activity, up from 38% in Q1.
- Industrial office leasing saw little change with 74% still noting higher activity.
The following data can also now be found in the Snapshot Sentiment Report:
Detailed, historical data reflecting our Commercial Real Estate Index (CREI) questions can be found in the CREI articles within the SIOR Report magazine.
- Leasing Activity
- Asking Rents
- Vacancy Conditions
- Subleasing Space
- Development Conditions
- Site Acquisition Conditions
- Tenant Concessions
- Investment Pricing Conditions
Download previous sentiment reports (PDF).