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
Reconstruction & Renovation | Jul 18, 2017
Mortenson Construction incorporates 100-year-old barn into new Portland office space
Mortenson deconstructed the barn and repurposed it for the new space.
Office Buildings | Jul 12, 2017
CetraRuddy unveils seven-story office building design for Staten Island’s Corporate Park
Corporate Commons Three is expected to break ground later this summer.
Sustainability | Jul 10, 2017
British Columbia receives its first WELL certified workplace courtesy of Perkins + Will
Over 100 wellness features are incorporated into CBRE’s Vancouver office.
Office Buildings | Jul 5, 2017
Do open offices work?
Whether for a team of 20 or 200, if today’s professionals are not currently working in an open office environment, a change is likely on the horizon.
Office Buildings | Jun 27, 2017
Bloomberg’s European headquarters wants to become a natural extension of London
Foster + Partners’ design rises 10 stories and is composed of two connected buildings.
Office Buildings | Jun 20, 2017
Mattress company’s new ‘BEDQuarters’ definitely won’t put employees to sleep
The HQ is packed with amenities and features to keep team members happy and engaged at work.
Building Team Awards | Jun 14, 2017
A space for all: Lighthouse for the Blind and Visually Impaired
Nonprofit HQ fitout improves functionality, accessibility for blind and low-vision individuals.
Office Buildings | Jun 13, 2017
WeWork takes on a construction management app provider
Fieldlens helps turn jobsites into social networks.
Building Team Awards | Jun 12, 2017
Texas technopark: TechnipFMC John T. Gremp Campus
Silver Award: TechnipFMC’s new campus marks the start of a massive planned community in north Houston.
Office Buildings | Jun 12, 2017
At 11.8 million-sf, LG Science Park is the largest new corporate research campus in the world
The project is currently 75% complete and on schedule to open in 2018.
