The Counselors of Real Estate: Top Ten Issues Affecting the Real Estate Industry
(CHICAGO) – July 10, 2012 – As the condition of the global economy continues to cause uncertainty across all industries, The Counselors of Real Estate®, an invitation-only international professional association of top executives in real estate, asked its members to identify the “top ten” broad structural issues that will define the real estate industry over the next 10-30 years. Many of the issues have strong interrelationships and are common across industries:
- Aging Population: The aging of the population will broadly and dramatically affect the real estate markets from housing, retail sales, health care, and the myriad of factors that define the success of different geographic areas. Aging will most directly affect the demand for real estate, but will have scores of less direct impacts such as potential capital impacts as the pensioners by the scores of millions move from being net contributors to net users of capital.
- Funding of Public Employee Retirement Systems: Underfunding of State and Local Retirement Systems in the trillions of dollars provides extreme challenges to the provision of basic local and state services critical to real estate properties and markets. Can we tap existing government assets for cash in a way that makes economic sense and does not shortchange future generations? Real winners and losers to emerge.