SIOR SNAPSHOT SENTIMENT REPORT SHOWS INCREASED BROKER CONFIDENCE IN Q4 2021 DESPITE ONGOING UNCERTAINTY

WASHINGTON, Feb. 2, 2022 /PRNewswire/ -- Nearly 90% of all commercial industrial real estate transactions happened on time in Q4 2021, while just 4% were cancelled. This is according to the latest results of the Society of Industrial and Office Realtors® (SIOR) Snapshot Sentiment Report, which provides feedback from hundreds of member-brokers on the performance of transactions during Q4 2021, along with their outlook for the next six months.

In terms of overall industry confidence, members shared an average rating of 8.2 (out of 10) which is a new all-time high for the Report. The rise is fueled by confidence among industrial brokers (7.7, also a new high) and increased confidence among office specialists, rated at 6.4 in Q4, compared to 6.2 in Q3 2021.

Industrial continues its positive trajectory, as 80% of brokers reveal transactions are either much or a little higher than the previous quarter, compared with only 2% who said it was lower in Q4 2021.

Office brokers did see a reduction in on-time transactions, dropping to 69% in Q4 2021 from 75% in Q3 2021. This is a continued downward trend since the sector enjoyed a high of 77% in Q2 2021. Brokers say the pandemic's ongoing volatility brought on by the Omicron variant has pushed back the much anticipated "return to the workplace" and as a result, office tenants are still hesitant to move forward.

"Everyone is waiting for the next chapter in the pandemic story," says SIOR CEO Robert Thornburgh, SIOR. "But what the Report ultimately reveals, is that the ongoing uncertainty isn't slowing down the markets' top brokers. These are the experts who are prepared for anything, who remain fluid and agile, and can respond quickly to what's happening - instead of being married to one idea or plan. This is about delivering the very best service and opportunities for their clients, no matter the circumstances."

Overall leasing activity remained positive in Q4 2021, with 60% of all office members saying that leasing was either a little or much better than in Q3. Only 6% say it was much lower.

On the state of the office market, SIOR's Global President Patrick Sentner, SIOR, notes, "Most of the office growth has been with Class 'A' and 'A+' buildings, which are receiving strong rent growth and longer terms in exchange for higher work-letters and more up-front rental abatement. Companies are looking to hire, and they know that quality office space offering amenities and location is one of the biggest factors in attracting high-level employees."

About SIOR (www.sior.com)
The Society of Industrial and Office Realtors® (SIOR) is the leading society for industrial and office real estate professionals. Only the industry's top professionals qualify for the SIOR designation and adhere to the highest levels of accountability and ethical standards. Today, there are 3,600 SIOR members in 42 countries.  www.sior.com

SOURCE Society of Industrial and Office Realtors (SIOR)

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