2020 was a rollercoaster for businesses with some industries being able to pivot and make do with what they had, while others seriously struggled. With many storefronts being shut down due to COVID-19, commercial real estate has had a very tough year. As 2021 rolls around, many have wondered if there will be a change in this negative trend, or if it will continue its downward spiral.
With vaccines coming out, more people will feel comfortable visiting businesses in-person in 2021.
More and more vaccines are being given out, making people more confident in venturing outside of their homes. This should increase in-person shopping and businesses should start thinking about exciting things to entice customers into their shops now in preparation.
It will take a while for this transition to occur.
While it won’t happen overnight, we do expect a transition to an increased need and desire for commercial real estate (whether it’s investment properties, commercial storefronts, or even industrial lots). The first half of 2021 will most likely be used as a leveling period in the market until it tips in the second half with increased demand and purchasing power of buyers in the market.
Developers and investors everywhere will focus on shifting market desires.
If 2020 has taught us anything, it’s to be frugal with our money and use it where it’s needed. Especially in commercial real estate, we expect a bigger push for more health-focused and technological features to account for what was experienced in the last year.
No one can say what 2021 will bring for certain, but we can prepare ourselves for exciting things! If you have questions about your commercial real estate in the coming year, give us a call at 855-303-0308.