CRE’s mid-year market pulse: Rates, risks, and real assets

We share the key macroeconomic signals and policy decisions affecting commercial real estate as we move into the second half of 2025. From declining retail sales and builder sentiment to insights from the latest FOMC meeting, we explore how economic headwinds are influencing CRE strategy, pricing gaps, and transaction volume.

Tune in for analysis on capital access, operational priorities, the evolving definition of real assets, and takeaways from the recent CREFC Annual Conference.

Key Moments:

01:16 Economic indicators: Retail sales

05:02 Economic indicators: Housing data

10:26 FOMC meeting highlights

14:26 Summary of Economic Projections

15:15 Major themes: Higher for longer

16:20 Major themes: Price vs. value

17:23 Major themes: Operations and cash flow

18:38 Major themes: Lumpy transactions

20:59 Major themes: Real asset merge

24:23 CREFC Annual Conference Insights

31:12 Upcoming Episodes and Data Releases

Resources Mentioned:

Advance retail sales: https://www.census.gov/retail/sales.html   

NAHB Housing Market Index: https://www.nahb.org/News-and-Economics/Housing-Economics/Indices/Housing-Market-Index   

FOMC Summary of Economic Projections: https://www.federalreserve.gov/monetarypolicy/fomcprojtabl20250618.htm   

CREFC Annual Conference 2025 – Key takeaways: https://www.altusgroup.com/insights/crefc-annual-conference-2025-key-takeaways/   

Email us - altusresearch@altusgroup.com

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