Allen Matkins/UCLA Anderson Forecast

The Winter 2023 Allen Matkins/UCLA Anderson Forecast California Commercial Real Estate Survey, released today, shows that commercial real estate developers, owners, and investors have reverted to a less-than-confident outlook on the office sector as rental and occupancy rates continue to weaken. This sentiment is a departure from the optimism shared by many in the sector a year ago. The findings come as the commercial real estate industry continues to navigate rising interest rates, declining valuations, and economic uncertainty, leading to a contraction in new commercial development across most asset classes.