MWCRE releases its first-quarter 2024 commercial real estate report

Mountain West Commercial Real Estate (MWCRE) has released ist “Q1 2024 Market Report” highlighting trends across retail, industrial, office and investment real estate sectors throughout the Intermountain West. Based in Salt Lake City, MWCRE has offices in Montana, Nevada, Idaho and throughout Utah.

Highlights of the 2024 report include:

• The retail market continues to thrive with vacancy rates at historic lows of 5.1 percent or below, supported by strong demand and sustained consumer spending. Most markets are seeing rent growth exceeding 5 percent year-over-year.
• In the industrial market, large buildings (100,000-plus square feet) dominate recent construction deliveries and are experiencing higher vacancy (7.1 percent) compared to smaller buildings (under 100,000 square feet) with a 3.3 percent vacancy rate.
• The office market struggles with increased vacancies, especially in Las Vegas, Provo-Orem and Salt Lake City, all reporting over 10 percent. Stagnant rent growth continues, further exacerbated by uncertain economic forecasts. Reduced new construction deliveries offers relief to the supply side.
• Investment transaction activity in the first quarter remains down significantly relative to previous first quarters from 2019 to 2022, amid high debt costs and unclear federal rate cuts due to persistent inflation.

The full report can be viewed on MWCRE’s website at mtnwest.com.