Development

New development (on a square-foot basis) decreased compared to July 2016 for all property types.

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 July 2016 for all property types. Retail construction fell 29 percent, Office construction 21 percent and Industrial 13 percent. Month-over-month, the percentage of office properties under construction decreased by 8.4 percent, followed by the 7.2 percent decrease for industrial properties. Retail construction fell 6.4 percent compared to June 2017. The industrial sector peaked in July 2014 at 164.3 million square feet, but experienced a 31 percent decline in construction the following year and an 84 percent decline in July 2016 compared to the same month of 2015.