In CPE’s most recent poll commercial real estate professionals, respondents were asked what they believed to be the biggest challenges that their organizations will face in the new year. Sixty percent have identified interest rates and capital availability as their primary business and dealmaking obstacle. Successive interest rate hikes have not only negatively impacted finance and investment but have stifled interest in and progress of new development projects.
READ ALSO: The 2023 CRE Outlook: CEOs Weigh In
In the same vein, a quarter of those polled cited an ever-more likely economic slowdown as their primary concern. Anticipation of economic disruption has helped contribute to the slowdown in transactions and investments across nearly all sectors. A further 10 percent of those surveyed identified persistent inflationary pressures and supply chain issues as top-of-mind hurdles, suggesting that the issues are important yet not as all-consuming as long-term macroeconomic trends.
Click here to see CPE’s latest poll, and the results of previous surveys.