Pricing Changes Vary by Property Type
Newport Beach, CA, February 4, 2021 — The Green Street Commercial Property Price Index increased 1.1% in January. The increase reflects higher valuations for lodging properties. Pricing in other property sectors was unchanged. The all-property index is now 7% below pre-Covid levels. “Pricing of properties where the top line is less affected by the pandemic are flat to higher versus a year ago. Property types heavily impacted by shutdowns—or where the ultimate impact from Covid is unknown—are seeing weaker pricing. The exact magnitude of price declines in these sectors, however, is unknown given little product is trading,” said Peter Rothemund, Managing Director at Green Street. “Most of the uncertainty surrounding real estate pricing should clear up over the next several months as the transaction market picks up, and when it does, we expect to see more upside surprises than the other way around.” Click to read more at www.greenstreet.com.