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Commercial Real Estate Prices Decline

Several market benchmarks corroborate fears that a five-year run of escalating prices for commercial real estate ended in August for all but a handful of U.S. markets. Monthly returns for a national index of commercial properties posted a negative 0.8% in September, the first monthly decline since November 2006, Standard & Poor’s reported on Dec. 18 when it released September results of its S&P/GRA Commercial Real Estate Indices. The month’s decline marked a reversal of August’s 1.1% gain and a 0.6% increase reported in July. On a rolling 12-month basis, the national index still showed a positive 5.1% ...

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