Average asking prices for new assets in October rose 4.9% per square foot from September, marking six consecutive months of pricing growth on CREXi’s for-sale platform. Retail pricing was the standout, enjoying its third consecutive month of pricing increases and sixth consecutive month of occupancy growth to hit an average of 86.4% occupancy in October, according to CREXi.
“Retail continues to enjoy pricing growth thanks to the standout resilience of its fundamentals and continued positive signs in consumer spending,” said Shanti Ryle, senior content marketing manager at CREXi. “Investors may also be having an easier time finding financing options for retail assets compared to other sectors, motivating increased demand and improving transaction velocity.”
Multifamily asset pricing rose 4.27% month-over-month. Industrial’s average price per square foot moved down a slight 2.37%, while all remaining core asset types experienced modest monthly growth.
Ryle said, “Industrial was the only asset type that experienced corrections last month, likely due to continued over-delivery hitting the market diluting demand. We observed over 19% more industrial assets hit the market in October compared to the previous month, with the slightest (less than 0.5%) drop in occupancy between the two periods.”