Commercial Real Estate Forecast
As more businesses reopen, and with COVID-19 precautions still in place, industry experts are optimistic about the current state of commercial real estate. According to The Real Estate Roundtable, “The Q4 2021 Real Estate Roundtable Sentiment Index registered a score of 73…a 29-point increase over Q4 2020”. While conditions vary among different industries and geographical areas, steady supply, demand, and financial conditions fare well for multi-family, industrial, life science, and other assets. The office, retail, and hospitality industries are all ramping up thanks to the return of employees to their workplaces, eager retail consumers, and an increase in travel.
Locally, things continue to look up. Multiple restaurants have opened around the city, startups are having success (with Asheville’s 15 fastest growing startups of 2021 having a combined lifetime revenue totaling $182 million), and most recently a 237-unit multi-family complex in the River Arts District broke ground. Although Asheville is still seeing effects of the pandemic, Asheville City Manager Debra Campbell has a positive outlook, telling Mountain Xpress: “Both residents and businesses have been impacted in many ways, including the shutdown of businesses, labor and lumber shortages, supply chain issues, and many others. In spite of these challenges, development activity has continued at a good pace.”
Year-End 2021 Commercial Activity Review:
- 20 Industrial Transactions for $34.9 million
- 20 Office Transactions for $25.2 million
- 50 Retail Transactions for $71.2 million
- 9 Multi-family Transactions for $66.9 million
- 45 Land Transactions for $52.6 million
Year-End 2021 Lease Activity Review:
- 11 Industrial Lease Transactions, Vacancy Rate of 4.1%
- 37 Office Lease Transactions, Vacancy Rate of 3.3%
- 45 Retail Lease Transactions, Vacancy Rate of 2.7%
All data that we share is for the four-county MSA (Buncombe, Henderson, Haywood, and Madison) and is provided by CoStar.
About the Featured Listing:
2266 Crymes Cove Road in Waynesville
MLS# 3755214 | 1.32 Acres | $3,200,000
Excellent opportunity to own an income-producing property and a well-established, thriving business. This property includes an updated, fully furnished 1,215 SF home that can be used as a personal residence or a rental, an approximately 6,000 SF retail and warehouse building, multiple commercial walk-in coolers, a forklift, retail displays, computers, and company vehicles. Quiet country living with the convenience of downtown Waynesville only five minutes away.
All real estate is local. In order to make confident real estate decisions, it is important for you to have timely and neighborhood-specific information. For more information about our commercial real estate market, ask your NAI Beverly-Hanks agent or click here.