In this special Chief Economist edition, BGO’s Ryan Severino presents the firm’s 2026 Global Outlook and House Views, offering a comprehensive perspective on the macroeconomic forces shaping commercial real estate (CRE). After a volatile 2025, BGO sees the global economy and CRE market entering 2026 with resilience. Inflation continues to moderate, central banks are easing policy, and recession risks remain low across most major economies. BGO’s outlook projects steady growth supported by AI-driven investment, improving labor conditions, and stabilizing trade dynamics.
Across property sectors, BGO forecasts renewed momentum. Industrial is expected to strengthen as supply normalizes and demand for logistics and advanced manufacturing grows. Housing remains undersupplied globally, sustaining rent and price growth. Retail continues to defy expectations, driven by evolving consumer behavior and the rise of Gen Z shoppers. Office has likely passed bottom, with gradual recovery underway—particularly in medical office assets. Data centers, fueled by the AI boom, present one of the most transformational opportunities for investors. Capital markets, meanwhile, are in recovery, showing healthier transaction activity, stable cap rates, and expanding returns. BGO anticipates 2026 to be a year of progress, defined by a balance of moderate growth, easing inflation, and renewed confidence in CRE’s global performance.
Read the full article here: 2026 Global Outlook and House Views