As we approach the end of 2022, it’s natural to start thinking about what the next year might bring for the commercial real estate market. Here are five commercial real estate trends that we expect to see in 2023:
1. Continued growth of e-commerce and the need for warehouses and distribution centers
The COVID-19 pandemic has accelerated the shift towards online shopping, and this trend is expected to continue in the coming years. As a result, we expect to see a continued demand for warehouses and distribution centers, as well as for facilities that can support the last-mile delivery of online orders.
2. Increased demand for flexible office spaces
The pandemic has also led to a shift towards remote work, and many companies are now reevaluating their office space needs. We expect to see an increase in demand for flexible office spaces that can accommodate both in-person and remote work, as well as for facilities that offer amenities such as high-speed internet and on-site childcare.
3. The rise of mixed-use developments
Mixed-use developments, which combine residential, commercial, and recreational spaces, have been gaining popularity in recent years. These developments offer convenience for residents and can be attractive to businesses looking for spaces in vibrant, walkable communities. We expect to see more of these types of developments in the coming year.
4.The growth of the self-storage industry
As people continue to move and downsize, we expect to see an increase in demand for self-storage facilities. These facilities provide a convenient and flexible solution for people looking to store their belongings, and they can be a lucrative investment for commercial real estate investors.
5. Sustainability becoming a key factor in real estate decisions
Sustainability is becoming increasingly important to both consumers and businesses, and we expect to see this trend continue in the commercial real estate market. Buildings with energy-efficient features, such as solar panels and green roofs, are likely to be in high demand, as are developments that incorporate sustainable design principles.
Overall, the commercial real estate market is expected to continue to evolve in 2023, with a focus on e-commerce, flexibility, mixed-use development, self-storage, and sustainability. As with any market, it’s important to stay up-to-date on these commercial real estate trends and to carefully consider their potential impact on your investment decisions.
To learn more about how CRESCO, Greater Cleveland’s leading commercial real estate company, can help you with your property needs, contact us at 216.520.1200, or fill out the form below. A CRESCO professional will contact you shortly.