According to Cushman & Wakefield Research:
“The outlook for 2015 remains very positive. Consumers are optimistic, given their rising incomes, and job growth is strong. The final piece to the growth puzzle will be higher wages.
Wage growth has lagged in this recovery thus far. But we expect that as labor markets continue to tighten, companies will push up wages. Anecdotally, our clients are beginning to tell us that they are having a harder time finding qualified workers, a fact that is supported by the recent report from the national Federation of Independent Businesses (NFIB) stating that approximately 25% of firms are having a hard time filling at least one position. As a result, the NFIB reports that more small businesses are raising compensation than at any time since late 2007.
Stronger consumer spending will be the driver that keeps the economy moving in 2015. As it does, all forms of commercial real estate will benefit. The need for retail and industrial space will grow as more goods are purchased at stores or shipped. Office space absorption will increase as employment continues to grow rapidly. And rising incomes will boost demand for multifamily real estate and lead to more travel and more demand for hotels.
Overall, even with a slower than expected end to the year, 2014 was a solid growth year for the U.S. economy and a good year for commercial real estate. We are set up for a very good performance in 2015.”