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
Office Buildings | Mar 19, 2018
A cost guide to office fit-outs provides comparisons for 59 markets
The new JLL report also finds landlords offering more generous tenant improvement allowances.
Movers+Shapers | Mar 19, 2018
Movers + Shapers: Tech takeover
From Chicago to Charlotte, the tech boom is transforming urban real estate markets and redefining workplace design.
Office Buildings | Mar 19, 2018
The new office has roots in retail
How retail’s focus on brand authenticity, heritage and education are transforming workplace design.
Office Buildings | Mar 13, 2018
Using workplace data to create connected communities
Workplace data is being put to use by corporate service groups to provide a better employee experience and empower the businesses that are their customers.
Office Buildings | Mar 12, 2018
Sound advice on workplace design
Thoughtful design, paired with a change management program to educate staff, can both enhance connectivity and minimize distractions.
Office Buildings | Mar 6, 2018
C.F. Møller Architects and Arkthing win competition to design Icelandic bank building
Landsbankinn is Iceland’s largest bank.
Glass and Glazing | Mar 5, 2018
New $5 Billion Apple Headquarters Has a Glass Problem
The substantial use of glass on the interior of Apple Park has caused headaches for some employees, literally.
Office Buildings | Mar 2, 2018
Give your HQ some heart: Creating branded workplaces
These days, if your office space isn’t a true reflection of your brand, you’ve missed a big opportunity to connect with your audience.
Office Buildings | Mar 1, 2018
The top seven floors of Macy’s State Street store will be converted to office space
The deal is worth $30 million.
Office Buildings | Feb 23, 2018
Why the 'cultural fit' doesn't fit
Evidence shows that companies that hire on or emphasize cultural fit struggle to innovate and change.
