Anchin’s Real Estate Group Releases “The Real Estate Industry’s Return to Normalcy” Survey Results

7/16/20

Survey results from top commercial real estate owners and landlords reveals that 53% of respondents believe COVID-19 will affect the CRE market for at least one year

Anchin, Block & Anchin, the largest single-office public accounting firm in North America, today released the results from “The Real Estate’s Return to Normalcy,” a survey which explores sentiment among commercial real estate owners and professionals surrounding the return to the office amid the COVID-19 pandemic.

The survey results provide key insights and data from C-Suite level executives from asset management, development and real estate investment funds throughout the Greater New York City area on how they are planning to prepare their properties for reopening and beyond, including steps they are taking to keep employees and tenants safe and healthy, as well as predictions for the future of the real estate industry.

Key findings include that the majority (53%) of those surveyed believe that the pandemic will affect the real estate market for at least one year, while 38% of respondents believe that there will be a series of rebounds and shutdowns that will move into 2021, and possibly beyond. Additionally, 73% of owners surveyed also believe office tenants will require less square footage in the future, as a result of more employees working remotely.

“The results of this survey are insightful and reinforce the sentiments that we have been hearing from owners since the start of the pandemic,” said Marc Wieder, Partner and Co-Leader of Anchin’s Real Estate Group. “These findings demonstrate the challenges that property owners face across the board and the solutions they are implementing, while preparing for tenants to phase back into their offices.”

“Many owners are reinventing their entire business strategy and implementing modifications throughout their property to ensure the health of all their tenants,” said Robert Gilman, Partner and Co-Leader of Anchin’s Real Estate Group. “Like everyone else, they are navigating the new normal and determining best practices that will enforce safety protocols while optimizing efficiency.”

Other noteworthy findings from the survey revealed:

  • 48% of owners surveyed expressed concern that tenants will not return to the office at all
  • 50% of respondents agreed that the ideal maximum occupancy levels of offices for return are between 26%-50%
  • Out of those surveyed, most owners expect that they will see a reduction in space from office tenants in the future; 46% predict a 10-20% decrease, and 42% predict a 21-40% decrease
  • Top concerns amongst commercial property owners include: receiving rent from tenants (79%), maintaining a clean and safe building (58%), vacancies (58%), and elevator capacity/usage (50%)


For more information about Anchin’s Real Estate Group, visit www.anchin.com/industries/real-estate

About Anchin, Block & Anchin

Anchin, Block & Anchin LLP (Anchin) is a full-service accounting firm, with a staff of approximately 375, serving privately held businesses, high net worth individuals and investment funds with a wide range of assurance, tax and advisory services, including accounting and auditing? tax planning and compliance? tax credits and incentives? management and succession; growth, transition and exit strategies? transaction advisory; outsourced accounting? cybersecurity and digital risk solutions; and litigation support, forensic accounting and valuation services. Additional information is available at www.anchin.com

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