Commercial Real Estate Ties to Small Business Recovery
A recent article on Globest.com analyzes the correlation between real net job and wage growth and economic health for the commercial real estate industry and other US industries - identifying needs for future economic health for the US market.
With the second quarter of 2015 ready to begin -economists can safely share that the US recovery is underway from the troubles of the 2008 - 2009 financial crisis.
Commercial real estate is an example of this. Prices on on the rise, Cap rates are compressed, interest rates are staying low and commercial real estate inventory is scarce.
According to David Parker, senior managing director at Charles Dunn Co., a recovery across industries will not be complete until banks lend to middle America and small businesses. Parker feels this is the center of job creation in for the US. In fact, according to the Small Business Administration, 67% of all jobs created since 2008 have been by small businesses defined as firms with 20 to 499 employees. However, efforts to assist this sector have been minimal in recent years.
Read more about the apparent relationship between small business generation and commercial real estate, based on Parker’s opinions shared with Globest.com by clicking here.