Commercial Real Estate Metro Market Reports

Commercial Metro Market Reports Q1 2022

The Commercial Real Estate Metro Market Reports provide information on the multifamily, office, industrial, retail, and hotel property markets in 390 metropolitan areas or portions of these areas. The reports provide indicators on the economic and demographic conditions of a metro area (GDP growth, employment, unemployment, wage growth, domestic migration, population growth) and commercial market indicators on net absorption, vacancy rates, rent, deliveries, ongoing construction, inventory, total sales volume, transaction price, and cap rates based on CoStar® market data.

NAR created a Commercial Real Estate Market Conditions Index to assess the area's overall conditions relative to national conditions. The index is calculated as the ratio of the number of variables where a metro area's condition is stronger compared to nationally to the total number of indicators used in calculating the index (25 if all are available). An index above 50 means market conditions are stronger than nationally, and an index below 50 means local market conditions are weaker than nationally.

Below are the markets with the strongest overall commercial real estate market conditions compared to nationally among metro areas with a population of at least 250,000 in 2022 Q1 (index scores of at least 68). Florida had 5 of the 15 markets.

• Orlando, FL
• Miami, FL
• Palm Beach, FL
• Fort Lauderdale, FL
• Fort Myers, FL
• Savannah, GA
• Austin, TX
• Boston, MA
• Inland Empire, CA
• Atlanta, GA
• Asheville, NC
• Las Vegas, NV
• Charleston, SC
• Nashville, TN
• Provo, UT

Download metro area reports by state

Hover over the map to take a quick look at the index:

25 indicators used to create the NAR Commercial Real Estate Market Index

1. Year-over-year percent change in non-farm employment is higher than the U.S. rate
2. Unemployment rate is lower than the U.S. rate
3. Year-over-year percent change in average weekly wages is higher than the U.S. rate
4. GDP growth is higher than the U.S. rate
5. Year-over-year percent change is higher than the U.S. rate
6. Population growth is higher than the U.S. rate
7. Net domestic migration is positive
8. Year-over-year percent change in apartment rent is higher than the U.S. rate
9. Rent to income share is higher than the U.S. rate (means there's need for more development)
10. Multifamily rental vacancy rate is lower than the U.S. rate
11. Year-over-year percent change in apartment rent is higher than the U.S. rate
12. Year-over-year percent change in 12-month starts for 5-unit properties is higher than the U.S. rate
13. Ratio of change in employment to 5-unit housing starts in past 12 months is higher than the U.S. ratio
14. Year-over-year percent change in new leasing in square feet for office space is higher than nationally
15. Net absorption of office space is positive
16. Office vacancy rate is lower than the U.S. rate
17. Year-over-year percent change in office asking rent is higher than the U.S. rate
18. Construction of office space as a share of current inventory is higher than U.S. rate
19. Year-over-year percent change in new leasing in square feet for industrial space is higher than the U.S. rate
20. Net absorption of industrial space is positive
21. Year-over-year percent change in industrial asking rent is higher than the U.S. rate
22. Under construction of industrial space as a share of current inventory is higher than U.S. rate
23. Year-over-year percent change in retail trade jobs is higher than the U.S. rate
24. Year-over-year percent change in leisure and hospitality jobs is higher than the U.S. rate
25. Year-over-year percent change in leisure and hospitality businesses open relative to Jan 2020 is higher than the U.S. rate

For information about this report, email data@nar.realtor.

NAR also creates Local Market Reports on the state of the housing market.