The K-shaped recovery of commercial real estate means that asset classes improve at different rates. While the industrial and multifamily sectors continue to perform well, considering the circumstances, the retail and hospitality sectors continue to slide. In between those two groups, prices in the office sector continues to fall at about 1% annually, with suburban offices, falling by as much as 1.6% since last October. However, these price declines must be considered with caution, as transaction volume continues to be low and in many cases buyers and sellers still cannot agree on the right price.
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