FOR IMMEDIATE RELEASE
Contact: Tracy Johnson, President & CEO, CARW | 414-698-7474 | email@example.com
Chris Allen, Director of Analytics, REDIComps | 952-456-1669 | firstname.lastname@example.org
CARW / Moody’s Release 2023 Q4 Commercial Numbers for Southeast Wisconsin
MILWAUKEE, January 2024– The Commercial Association of REALTORS® Wisconsin (CARW) 2023 fourth quarter numbers show a market and economic overview of the industrial, office and retail report. The market reports are produced in collaboration with CARW members, Moody’s/Catylist and REDIComps Research. The report is HERE
“Wisconsin’s Commercial Real Estate leaders continue to respond to the ever-changing needs of businesses and consumers,” said Tracy Johnson, CEO for CARW. “CARW’s quarterly reports give a snapshot in time and show us the challenges and opportunities across all sectors. We’re proud to introduce more comprehensive reports for the retail markets.”
“Q4 had a strong finish and overall strong 2023 in totality. We continue to see a lot of activity and leasing velocity in the Class A asset class. Office space remains a significant piece to overall corporate office world and companies are pushing hard for a more in-office environments.”
David Pudlosky | Managing Director, JLL
“The industrial market ended 2023 on a positive note, with increased sales and leasing activity. This trend is expected to continue into 2024, particularly in the capital market sector, as buyers and sellers align their expectations and lending institutions better understand market dynamics. Despite this overall positive performance, the vacancy rate has slightly increased. This can be attributed to the completion of new speculative projects, the availability of new sub-lease options, and multiple large manufacturers moving or consolidating operations. However, there is still a high demand for stand-alone owner-occupied properties, leading to a backlog of interested buyers and making it a bit like a game of checkers. As a result, the newly available second-generation spaces are likely to be quickly occupied until construction costs become more favorable.”
Travis Tiede, SIOR | Managing Director | NEWMARK
“Retail markets remain robust as demand from retailers to open new locations is still high. However, finding quality, available space continues to be the greatest challenge and interest rates and construction costs continue to plague new development opportunities. Pad sites and drive thru opportunities are in exceedingly high demand as Banks, Coffee Shops, Car Washes and QSR brands push growth while nontraditional drive thru tenants such as Fast Casual brands continue to push into that same space. Vacant big boxes from Sears, Kmart and JCPenny and others are being gobbled up by mid box, pickle ball, fitness and even multi-family but rising demising costs are driving rents up and cutting into developer margins. We anticipate tenant demand to remain high for the near to mid-term however, consumer spending is showing signs of waning and consumer credit is at an all-time high, eclipsing $5T for the first time ever this past November so we expect additional spending pullback later this year which will almost certainly have an impact on retail growth.”
Cory Sovine | Senior Vice President | Colliers Wisconsin
About CARW: CARW is the VOICE for commercial real estate brokerage and related professionals in Wisconsin. Founded in 1993, CARW is dedicated to the success of our members by providing public policy advocacy, invaluable educational opportunities, networking experiences and data exchange. CARW supports more than 900 commercial real estate professionals in 500 companies throughout Wisconsin and the region. CARW also oversees the statewide data exchange that tracks commercial lease and sale information. Members represent more than 36.5 M sf of commercial real estate available for sale and nearly 63 M sf available for lease.
About Moody’s/Catylist: Moody’s, a global integrated risk assessment firm that empowers organizations to make better decisions recently purchased Catylist, a commercial real estate software company that supports the commercial data exchange systems in more than 50 markets across North America. Catylist partners with brokerage firms, local associations, and economic development communities to create a customized, local database that serves as the most trusted source for information in the market.
About REDI: Founded in 1994, REDI is the original fully researched CIE/CMLS exchange. REDI provides tailored commercial real estate products for the commercial real estate industry, including a complete market property universe continuously updated with the latest availabilities and sales transactions. REDI/Catylist provides fully researched market data and Commercial Data Exchange Services to more than 50 markets nationwide. Visit www.redicatylist.com/carw for more information.