Industry Analysis & Industry Trends
Over the past five years, increased consumer confidence and household disposable income have encouraged greater consumer spending. This preceded businesses increasing their production and inventory, which required space. As the overall economic recovery has unfolded, increased demand for industry services is expected to bolster revenue over the five-year period. A strong rebound in the corporate sector is driving a turnaround in the commercial leasing market. As much of the recovery occurred over the past five years, growth will slow over the next five; this is expected as pent-up demand continues to be satisfied. What growth occurs is expected to result from increased corporate profit over the next five years. Over this period, industry revenue is forecast to increase... purchase to read more
Industry Report - Industry Investment Chapter
The Commercial Leasing industry is highly capital intensive. IBISWorld estimates that on average, industry players spend $1.36 on capital for every dollar spent on labor. This figure represents the industry average, however, capital intensity of an industry operator varies greatly depending on whether the company owns the commercial space it leases. Industry participants that directly own and operate various real estate assets need a large level of capital to buy property, develop land and maintain buildings. Commercial property is also very expensive, particularly in regards to large buildings or property near major metropolitan areas. Wage costs tend to be low as companies can generally outsource property management and operational costs.
.. purchase to read more