The Green Street Commercial Property Price Index saw a 0.7% increase in May compared to the previous month. This index, which measures pricing for high-quality commercial real estate properties, has risen by 1% this year and is currently 21% lower than its peak in March of 2022.
According to Peter Rothemund, co-head of strategic research at Newport Beach-based Green Street, property pricing has been following expected trends this year. After adjusting to higher interest rates last year, prices have remained stable and are predicted to continue on this path.
In terms of specific property types, office prices were flat in May but experienced the largest decline from the previous year at -14%, as well as from its recent peak. The self-storage sector had the most significant decrease month-over-month.
With the exception of malls showing a positive monthly gain, all other property types saw declines both yearly and from their peak levels among all thirteen sectors tracked by Green Street.
