December 22, 2015
Irvine-based Auction.com is seeing a slowdown in commercial real estate transaction activity, according to its third-quarter data.
The firm said that transaction volume dropped 6.5 percent across all commercial real estate sectors quarter over quarter, making it only 2.6 percent higher than the same year-ago period, and down from 24 percent higher in the second quarter’s year over year activity.
The slowdown happened as cap rates have continued lowering and prices keep increasing. Auction.com Chief Economist Peter Muoio said that shifts in the U.S. economy are impacting the drop in transaction volume.