The global commercial real estate market is experiencing explosive growth, projected to reach US$9.5 trillion by 2034, driven by the rise of hybrid work models and increasing demand for flexible office spaces. North America and East Asia are leading the charge, with significant investment in office buildings, data centers, and mixed-use developments.
A new JLL report reveals that a staggering $1 trillion is needed to modernize and revitalize approximately half of the global office space at risk of obsolescence. This investment is crucial to adapt to evolving workplace preferences, stricter sustainability regulations, and shifting real estate demands.
The commercial real estate market is experiencing a surge in foreclosures, driven by rising interest rates and lingering post-pandemic shifts in demand. While the situation is concerning, experts remain divided on the outlook. Some predict continued rises in foreclosures, while others point to potential market rebounds driven by opportunistic buyers seeking lower prices.
Morguard Corporation has acquired a 20% interest in Telus Garden, a Class AAA office building in Vancouver’s revitalized eastside central business district. This strategic acquisition reflects Morguard’s commitment to sustainable investments and strengthens its presence in Canada’s premier office market.
Medline, a leading healthcare supply chain company, has signed a long-term lease agreement with Vornado Realty Trust to expand its presence at THE MART in downtown Chicago. This expansion will make Medline one of the largest tenants at the property, highlighting the continued demand for high-quality office space in the city.
Cousins Properties has secured a Fortune 100 technology company as a tenant for its Domain 12 property in Austin, Texas. The new lease, taking effect in 2026, demonstrates the strong demand for high-quality office space and Cousins’ continued success in attracting top-tier tenants.
Billionaire hedge fund titan Ken Griffin is investing in a towering 62-story skyscraper at 350 Park Ave., aiming to revitalize Midtown Manhattan and lure workers back to the office after the COVID-19 pandemic. The skyscraper, designed by Foster + Partners, will feature a vibrant public concourse and incorporate air rights from St. Patrick’s Cathedral and Saint Bartholomew’s Church to support their maintenance. Mayor Eric Adams hailed the project as a symbol of Midtown Manhattan’s resurgence, while Griffin emphasized the tower’s allure for in-person work. The skyscraper is slated for completion by 2032 and is expected to boost New York City’s status as a global business hub.
