Development

The percentage of industrial under construction decreased by 7 percent, followed by the decrease of 5.2 percent for retail construction, compared to March 2017.

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 April 2016 for all property types. Office construction fell 20.1 percent, followed closely by retail (-17.1 percent) and industrial (-12 percent). The percentage of industrial under construction decreased by 7 percent, followed by the decrease of 5.2 percent for retail construction, compared to March 2017. Month-over-month, office construction fell 2.2 percent. The industrial sector peaked in April 2015 at 137.2 million square feet, but experienced a 48.8 percent decline in construction in the following year.