BGO: Insights

The Chief Economist: CRE Development: Active, But Narrow

Written by BGO | May 25, 2026 2:14:07 PM

Commercial real estate development is not stalled, but rising construction costs, higher Treasury yields, labor shortages, and power constraints are making viable projects far more selective than many investors expected. For CRE investors and developers, the opportunity now lies in identifying projects with clear paths through financing, infrastructure, and execution in CRE Development: Active, But Narrow