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
Mixed-Use | Oct 25, 2018
Philadelphia’s uCity Square kicks off major expansion drive
This innovation center has several office, lab, and residential buildings in the works.
Office Buildings | Oct 25, 2018
Stantec consolidates three Portland-area offices into one downtown location
Stantec worked with Ankrom-Moisan Architects on the design.
Office Buildings | Oct 8, 2018
Netflix leases Epic, an under construction office tower in Hollywood
Gensler designed the building.
Office Buildings | Oct 1, 2018
NASA’s Cleveland-based Glenn Research Center to receive a new centerpiece
TEN Arquitectos designed the building.
Office Buildings | Sep 19, 2018
Manhattan’s Meatpacking District has a new tallest tower
CetraRuddy designed the office building.
Office Buildings | Sep 17, 2018
TaylorMade Canada HQ includes golf laboratory and product showroom
ZZen Design Build was the general contractor for the project.
Office Buildings | Sep 5, 2018
Facebook’s new Frank Gehry-designed Menlo Park HQ extension includes a massive green roof
Level 10 Construction was the general contractor for the project.
Office Buildings | Aug 27, 2018
The open office isn't dead
The degree of open or enclosed doesn't matter in high-performing work environments. If the space is designed to function well, all individual space types are rated as equally effective.
Office Buildings | Aug 17, 2018
An elliptical office building goes with the flow in Boston
Exterior design cuts waste, saves energy, says Building Team members.
