Industrial, retail, hotels and hospitality are doing well. He believes the residential housing shortage will boost apartment rents by as much as 10% over the next 2 years. Industrial space prices will rise. This is a very bullish considering the current market conditions.
The office market is more uncertain. Some markets outside of major US cities (think co-working space in the suburbs) is seeing an increase in demand. Yun also believes future economic growth, and new hiring, will have a balancing effect on the remote work trend – bringing more people together in offices.
Today Kastle Systems Back to Work Barometer is up to 44%. Predicting this will go higher is not telling us much. Where will it end? We think around 60% to 70% by the end of the year. What do you think?