Commercial Real Estate Faces Mounting Challenges.

The commercial real estate sector, especially office spaces, is grappling with significant difficulties due to persistently high vacancy rates. The shift to remote work has left many office buildings underutilized, with Class B and C properties being hit the hardest. Experts predict a continued decline in office space demand, leading to distressed sales at deep discounts. This sector’s future hinges on potential interest rate cuts, which might stimulate investment but are unlikely to revive the struggling market.