At REVEL, we are constantly scouring statistical outputs and local anomalies to determine future outlooks for our family of clients. As the real estate industry approaches the finale of 2021, overshadowed once again by Covid-19 waves and vaccination debates, certain trends are flaring with sustained interest.
On the residential side, multi-residential properties, especially those incorporating income/workforce apartments, are trending. Although it was assumed the pandemic would discourage dense housing structures, demand for affordable housing, whether it be townhouses or mid-rise buildings, has escalated due to higher prices for detached homes and new construction.
On the commercial/industrial side, warehouses have piqued the eye of investors. The growth of e-commerce is definitely a significant reason, as well as the disruptions in supply chains, due to pandemic interruption. As a result, companies have responded by holding more inventory, and investing in warehouses closer to delivery points, to qualify this need.
Medical offices are also on the rise. Medical offices are stable investments for property owners. With hospitals facing space issues, many health-care related functions have moved or assimilated into local medical offices to provide better service. Couple the Covid-19 challenges with an aging population, and the demand for health services and the repurposing of medical office space, will surely become a priority.
As we transition very shortly in 2022, property demands will surely shift and adapt according to current needs and fears of a growing inflation rate. However, challenges and limitations are sure bets for introducing creativity to otherwise traditional real estate models.
