IRVINE,
Calif., Sept. 9, 2024 /PRNewswire/ -- LightBox, a
leading provider of commercial real estate (CRE) information and
technology, released its Monthly CRE Activity Index for August,
showing a slight decline from July, which was encouraging given
last month's economic volatility.
The Index, an aggregation of daily transactions over the
LightBox network, measures shifts in the volume of property
listings, appraisals, and environmental due diligence assessments.
While August's Index of 89.9 broke the five-month trend of steady,
yet modest, increases that began in March, the reading came in just
2.5 points below July's 92.4 reading. However, the year-over-year
comparison reveals stronger momentum. The current Index is a solid
9 points higher than August 2023's figure of 80.9, indicating a
faster pace of market activity across the board. This strong uptick
in velocity is an encouraging sign of the market's resilience and
growth since the tepid pace of CRE deal making last summer.
"The relative strength of the August CRE Activity Index,
especially compared to last year, sets the stage for a strong
fourth quarter," observed Manus Clancy, LightBox head of Data
Strategy. "With inflation stabilizing near the Fed's 2% target,
interest rate cuts seem imminent, and the recent market forecasts
are fueling even more optimism for the months ahead," Clancy
said.
CRE transaction activity has inched up every month since March
and despite a small (and expected dip in August), the buyer base is
expanding, interest in evaluating opportunities is rising, and
recent acquisitions have surfaced across all property types and
geographic regions. Although there is much talk of distressed
properties as a potential investment opportunity, transaction
volume is still relatively low, but on the rise.
While Fed rate cuts won't solve all of CRE's problems, past
experience shows that when rates decline particularly after a
protracted period of historically high rates, CRE activity picks up
quickly. "September has a reputation for being bearish," said
Clancy, "but investors seem teed up to pull the trigger on
transactions in a way that we haven't seen yet this year. After the
first rate cut, I expect the types of dealmaking we've been
highlighting in the CRE Weekly Digest podcast will only
accelerate."
Read the full report
About LightBox
At LightBox, we are at the forefront of delivering advanced and
precise solutions for commercial real estate intelligence. Our
dedication to innovation propels real estate professionals forward
by providing them with the essential tools required to navigate
complex decisions, minimize risk, and boost productivity across the
spectrum of real estate operations. LightBox is renowned for its
commitment to promoting excellence and fostering connections in the
industry, serving an extensive clientele of over 30,000 customers.
Our diverse client base spans commercial and government sectors,
including but not limited to brokers, developers, investors,
lenders, insurers, technologists, environmental advisors,
appraisers, and other businesses that depend on geospatial
information. To discover more about how LightBox can illuminate the
path to informed real estate solutions, visit us at:
www.LightBoxRE.com
Media inquiries: media@lightboxRE.com
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SOURCE LightBoxRE