Kevin Thorpe, Cushman & Wakefield’s Global Chief Economist, recently joined me to discuss his take on the economy. I learned why economists love the alphabet so much, why this pandemic really is different and what its outcome will likely be on the commercial real estate industry.
Our current economic situation is one that no one had envisioned as we entered this new decade. Markets were strong, unemployment was low, job growth was high, and interest rates and inflation were at very manageable levels. As if the carpet had been pulled from under our feet, we encountered a new reality with a swiftness and breadth never seen before. Like viewing a thunderstorm on the horizon, we watched as the clouds darkened and moved across the globe. From China to Europe, from Europe to the Americas, knowing what was to come, powerless to respond in a manner that might divert the ever-darker skies elsewhere or to diminish them altogether.
Some of the more interesting discussion points that came up during our conversation included:
- The future of the office market and what that looks like in a world that has experienced the ups and downs of remote working.
- Questions related to where business will locate, what becomes of the flagship office, will we see growth in suburbia and, if so, will that have positive implications for ancillary businesses?
- Growth opportunities not only from the logistics, manufacturing, data centers and multi-family living that have voracious appetites for space, but also from repurposing distressed assets and from taking a new look at location strategy and a diversified portfolio or estate.
Want to learn more? Watch the video and join our conversation.