Thankful for an office market on the mend
It’s a pretty glum Thanksgiving for the battered home sales market. Probably the cheeriest item is the temporary drop in foreclosures as banks frantically check their records amid the embarrassing robo-signing scandal.
Not much to uncork the champagne over if you are trying to sell homes to surly buyers expecting dramatic markdowns.
But commercial real estate brokers, while hardly feasting at a time when the economy still appears fairly famished, have a couple things to be encouraged with as 2010 rolls to a close.
The amount of empty office space is slowly falling in Greater Boston, while rents, after years of decline, have stabilized.
But the best news is the rebound in commercial property sales, with investors betting on a better future as they put down big dollars for icons like the Hancock tower.
There were 153 deals totaling $3.7 billion across the country in September, Moody’s reports.
Overall, commercial real estate prices across the country rose 4.3 percent, Moody’s reports, with sales of retail properties leading the way. It was the biggest jump in the history of Moody’s commercial property price index.
While prices for office towers actually fell, sales activity is clearly up in the sector. Look no farther than Boston Properties recent deals for the Hancock tower and Bay Colony on Rt. 128.
Still, there is a long road back – commercial prices still off 43 percent from their peak in 2007.


