According to a recent survey issued by the National Association of Realtors (NAR), the number of commercial real estate transactions was up last year despite the poor economy. In addition, the median gross annual income for commercial NAR members was up considerably over the previous year. NAR sees these as extremely positive trends for the commercial real estate market, even though the general consensus out there is that the commercial real estate market will struggle in 2012. For more on this continue reading the following article from Property Wire.
Despite a challenging economic outlook the commercial real estate market in the United States saw an increase in transactions last year and a rise in median gross annual income, according to a report from the National Association of Realtors.
It’s latest survey shows that commercial members completed a median of seven transactions in 2011, up from 2009 and 2010 when the typical agent had five transactions.
In addition, the median gross annual income of commercial members has increased for the past two years. The survey showed that the median gross annual income for 2011 was $86,000, up almost $10,000 from the previous year.
‘The commercial real estate market still has a long way to go before full recovery, yet realtors are reporting positive trends that give us hope that the market is on its way to becoming healthy again,’ said NAR President Moe Veissi.
According to the survey, the median sales transaction volume in 2011 including those members without transactions was $1,058,300. When those members who had no transactions were excluded, the median transaction volume was $2,010,500.
Brokers typically had higher sales transaction volumes than agents, and 22% of commercial members had no transactions with sales volume. The median dollar value of sales transactions was $414,300 and the median square footage was 9,600. In both instances, brokers typically had higher median dollar value of sales transactions, as well as sold larger spaces when compared to sales agents.
The median lease transaction volume when including those with no transactions was $93,100. When excluding those members with no transactions it was $402,100. Some 34% of commercial members reported having no lease transactions. The median leasing dollar value was $144,800 and a leasing transaction was typically 4,100 square feet.
The typical commercial member has been involved in real estate for 24 years, and has been engaged in commercial real estate and been a member of NAR for 15 years. In addition to NAR’s membership, many are also affiliated with one of several commercial organizations including the CCIM Institute, the Institute of Real Estate Management, the Society of Industrial and Office Realtors, the Realtors Land Institute and the Counselors of Real Estate.
This article was republished with permission from Property Wire.