Commercial property prices at lowest point since downturn began: Moody’s

Commercial real estate prices fell 3.3 percent nationwide in August, according to Moody’s, marking the third time in a row that prices dropped between 3 percent and 4 percent month-over-month. The decline brings the Moody’s commercial property price index to its lowest point since the market downturn began, surpassing the previous low point recorded in October 2009. The index is now 45.1 percent below its peak in October 2007, according to Nick Levidy, managing director with Moody’s. “The commercial real estate market in the U.S. has become trifurcated with prices rising for performing trophy assets located in major market, [while] falling sharply for distressed assets, and remaining essentially flat for smaller healthy properties,” Levidy said. TRD