CLI Newsletter October,2025
MARKET INSIGHT
The Commercial Real Estate Outlook
For The Rest of 2025
Article Source: CBRE
CBRE’s The Weekly Take with Global Head of Research Dr. Henry Chin highlights that the U.S. commercial real estate market has moved past its trough and is showing clear signs of recovery.
Key Takeaways on the Real Estate Outlook:
1) CBRE foresees U.S. commercial real estate investment activity increasing by 10% in 2025, despite macroeconomic uncertainty.
2) CBRE believes the office market is passed its trough and leasing activity should continue to rebound.
3) Industrial & logistics leasing activity will likely be on par with last year. Occupiers want modern facilities that are close to consumers.
4) Availability of retail space will remain relatively tight due to limited new construction over the past decade. Retailers prefer space in high-traffic, open-air centers in growing markets.
5) Rents have generally bottomed out in the multifamily market. The Midwest and Pacific Northwest are poised to lead national rent growth.
6) Data Centers and the credit markets represent opportunities for nimble investors.
IN THE NEWS
What the Fed’s Rate Cut Means for Commercial Real Estate
Presented by Avison Young
The Federal Reserve’s 25-basis-point rate cut on September 17 boosted confidence across the commercial real estate (CRE) market. Avison Young CEO Mark Rose called it a “vital step forward” that lowers capital costs, restores liquidity, and supports investor sentiment.
Capital Markets: Lower rates help resolve distressed office debt and improve liquidity. Lenders are showing more flexibility, and stabilized multifamily assets are expected to return to market.
Office: The biggest beneficiary — lower borrowing costs improve acquisition and development, while the return-to-office trend supports leasing and valuations.
Industrial: With manufacturing demand rising and new tax incentives allowing full building expensing, rate cuts could reignite development and construction pipelines.
Multifamily: Strong rental demand but slower investment; creative financing such as assumable debt and preferred equity is gaining traction.
Retail: The timing, just before the holiday season, could lift consumer confidence and sales, especially for small and mid-sized retailers.
Overall: The rate cut strengthens market optimism, improves financing conditions, and sets the stage for a broader CRE recovery heading into 2026.
Texas Stock Exchange Wins SEC Approval
Presented by: Dallas Morning News
On Sep 30th 2025, The Texas Stock Exchange (TXSE) has received approval from the Securities and Exchange Commission, becoming the first new U.S. stock exchange in years. The Dallas-based platform, backed by more than $150 million and supported by Wall Street firms including BlackRock, Citadel, and Charles Schwab, will now compete alongside the NYSE and Nasdaq.
TXSE aims to address the decline in U.S. public companies—down about 40% since 1997—by lowering the cost of going and staying public while maintaining high listing standards. CEO James Lee called the approval “a pivotal moment” and promised greater alignment and transparency for issuers and investors.
The launch comes as Dallas–Fort Worth cements itself as a financial hub, second only to New York City in new finance job creation. Still, TXSE faces a steep climb against entrenched players. NYSE Texas recently opened a Dallas headquarters, already attracting dual listings from major firms such as AT&T.
PROJECT UPDATE
121 Technology Park Finalist in 2 categories for NAIOP's 2025 Best of North Texas Awards
Thrilled to share that our 121 Technology Park development has been named a finalist in two categories for NAIOP's 2025 Best of North Texas Awards: “Industrial Development of the Year” and “Innovative Development of the Year.”
The Best of NAIOP North Texas Awards program showcases the most impactful commercial real estate projects and teams that bring economic growth to the region.
