Commercial Cataclysm!: Moody’s/REAL Commercial Property Price Index April 2011

The latest release of the Moody’s/REAL Commercial Property Index showed a notable monthly decline of 3.7% between March and April suggesting that the nation’s commercial property markets are continuing to slump through a tremendous downturn that has seen prices down some 48.95% since the peak set in October 2007.

It's important to note that the index has fallen to an all time series low clearly indicating that the nation's CRE markets have now followed the residential markets into double-dip territory.

The Moody’s/REAL CPPI data series is produced by the MIT/CRE but is noted to be “complimentary” to their alternative transaction based index (TBI) as it is published monthly and is formulated from a completely different dataset supplied by Real Capital Analytics, Inc and Real Estate Analytics LLC.

Commercial Cataclysm!: Moody’s/REAL Commercial Property Price Index January 2011

The latest release of the Moody’s/REAL Commercial Property Index showed a notable monthly decline of 1.2% since December suggesting that the nation’s commercial property markets are continuing to slump through a tremendous downturn that has seen prices down some 42.70% since the peak set in October 2007.

The Moody’s/REAL CPPI data series is produced by the MIT/CRE but is noted to be “complimentary” to their alternative transaction based index (TBI) as it is published monthly and is formulated from a completely different dataset supplied by Real Capital Analytics, Inc and Real Estate Analytics LLC.

Construction Spending: October 2009

Today, the U.S. Census Bureau released their October read of construction spending showing a notable slowing of the government’s tax-carrot fueled bounce in residential construction spending while indicating an acceleration in weakness to non-residential construction spending.

Even with the governments tax-credit gimmick residential construction spending is still 23.62% below the level seen last year and a whopping 62.99% below the peak set in March 2006.

Worse off though was private single family residential construction spending which declined 30.66% as compared to October 2008 and a truly grotesque 75.94% from the peak set in February 2006.

Non-residential construction spending, currently accounting for over half of all private construction spending, posted another significant year-over-year decline of 20.57%.

The following charts (click for larger versions) show private residential construction spending, private residential single family construction spending and private non-residential construction spending broken out and plotted since 1993 along with the year-over-year and peak percent change to each since 1994 and 2000 – 2005.