Even before the pandemic shut the economy down, several continuing trends were causing instability: Apartments are still hot, other properties not so much. The retail sector in particular was already in decline, and then took the hardest hit yet thanks to the shift to online shopping during the outbreak. While retail property prices increased in April, prices increased less than one percent over the past three months. Overall, real estate deals have seen a 71% decline year over year.
Because owners have not yet been forced to sell, and with more store closures on the horizon, what are the likely further effects on pricing, and how steep will those corrections be? How much more doom and gloom is on the horizon for retailers? And where can real estate investors find the opportunities beyond rental housing—is the industrial sector still resilient?