Development

Month-over-month, the percentage of industrial properties under construction decreased by 20.2 percent, followed by an 8.1 percent decrease for retail properties.

Change in U.S. commercial real estate under construction

Source: CoStar Group Inc.
Source: CoStar Group Inc.

New development (on a square-foot basis) decreased compared to August 2016 for all property types. Industrial construction fell 35 percent, Retail construction 32 percent and Office 26 percent. Month-over-month, the percentage of industrial properties under construction decreased by 20.2 percent, followed by an 8.1 percent decrease for retail properties. Office construction decreased 5.2 percent compared to July 2017. The industrial sector peaked in August 2014 at 172.5 million square feet, and in August 2015 decreased by 29 percent.