The impact of the pandemic on the U.S. labor market was sharp and severe, especially within urban areas. Although the labor market is now well on its way to recovery, there remain significant challenges including labor supply-demand imbalances and a drop in labor force participation. With unemployment benefits having ended for millions of Americans on September 5, it remains to be seen how labor markets will respond.
Disconnects have been seen too in the CRE market, with outcomes in employment varying greatly from the fundamentals. Office employment, for example, has outperformed the broader labor market while fundamentals remain hard hit. Nevertheless, some categories continue to thrive across the board, with sectors including industrial, life sciences and technology seeing both an outperformance in jobs and property demand throughout the pandemic.
Five key U.S. labor market trends impacting CRE:
- Recovering after Severe Impact
- Overcoming Labor Shortages & Skill Mismatches
- Where have all the Workers Gone
- Navigating the Disconnect between Labor & CRE Markets
- Identifying Sectors that are Thriving
Looking to further understand how these themes will impact your CRE strategy? Get in touch with one of our market experts.
