The Urban Land Institute recently just released its annual Emerging Trends in Real Estate? 2025 report, and it’s packed with insights and great information about the real estate industry! Here are some key takeaways that I found particularly interesting:
Key Trends to Watch in 2025:
1. Falling Interest Rates & Increased Dealmaking: The forecast of lower interest rates suggests we could see cheaper borrowing costs, paving the way for a surge in commercial real estate transactions. This could create exciting opportunities for investors and developers.
2. Shifting Tenant Dynamics: Demand for space remains strong, but with increasing supply, tenants are gaining more negotiating power.
3. Migration & Affordability: While migration patterns are stabilizing, the ongoing challenges surrounding housing affordability are pressing. The call for innovative solutions to these issues is more important than ever.
4. Rise of Alternative Investments: Industrial properties continue to be in high demand, but we’re also seeing growing interest in alternatives like data centers and senior housing, driven by technological advancements and demographic shifts.
Top Markets to Watch in 2025:
Notably, Dallas-Fort Worth and Miami topped the list, followed by Houston, Tampa/St. Petersburg, and Nashville. It’s fascinating to see how affordability and cost of living are influencing these rankings, especially in the Sunbelt region.
I highly encourage everyone to dive into the report! These insights will be invaluable as we navigate the evolving landscape of real estate. What trends resonate with you the most? Let’s discuss!
?? Day 2 of the ULI Fall Meeting brought a wealth of insights! From networking opportunities and the District Councils Leadership Meeting to dynamic sessions like Reimagining Mixed-Use Districts, A View from the Top with Former Mayor Debra March, and Navigating Las Vegas’s Mega-Projects, it was a day packed with inspiration.
?? The Emerging Trends in Real Estate? 2025 session delivered valuable perspectives on shifts reshaping our industry, with experts highlighting key market movements and structural changes. Check out the full report here: https://pwc.to/3NJhL56
Plus, don’t miss Grammy-nominated songwriter Jewel, who will perform a special live acoustic set at the closing general session of our Fall Meeting on Wednesday! Then, stay tuned for the exciting live demolition of Guinness World Records holder Bryan Berg’s card model of 550 Madison, a ULI Award for Excellence winner, as we wrap up an incredible week. ?? Be sure to check out his progress throughout the week!
Photos: Mona Shield Payne
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