On November 19th, CARW presented the 2025 Member Sentiment survey at the BizTimes Commercial Real Estate and Development Conference at the Brookfield Conference Center. More than 420 people were in attendance. Record participation gave CARW the strongest sample in survey history, with more than 15% of members responding. Here are the highlights:
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Despite ongoing uncertainty, overall market sentiment is overwhelmingly optimistic — 98% say conditions are strong or improving, the highest level since pre-pandemic.
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Three themes shaping sentiment in Southeast Wisconsin:
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Downtown momentum, with major investments, redevelopment (100 East), and one of the lowest CBD vacancy rates at 18.8%.
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Industrial strength, still the region’s most resilient sector, though increasingly shaped by infrastructure, power, and site constraints.
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Housing & workforce pressures, with permitting inconsistency and the statewide need to build 140,000 units by 2030.
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Looking ahead to 2026, three-quarters expect the market to improve — a near-record level of optimism.
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Capital markets are stabilizing: “Improving” sentiment grew to 44%, while “declining” dropped to 4%.
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Office sentiment continues to improve, supported by Moody’s data showing 78,600 SF of absorption and vacancy falling below 20%.
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Industrial remains robust, with 2% vacancy in Waukesha County and 5.7% region-wide, despite construction and supply-chain challenges.
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Retail is a bright spot, with 39% seeing improvement and very little reported decline.
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Members say apartments are most at risk of overbuilding, while concern about office oversupply has decreased.
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Energy capacity is a growing concern — 70% say the region’s long-term power infrastructure is insufficient, signaling a major strategic issue as data centers and manufacturing expand.
Click HERE for the presentation.