NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 14010
The Bloomington, IL commercial real estate market is not as strong compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 40.0
Overall economic conditions are not as strong than nationally.
The apartment property market is about the same than nationally.
The office property market is stronger than nationally.
The industrial property market is about the same than nationally.
The retail property market is not as strong than nationally.
The hotel/lodging property market is about the same than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 90 88 88 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 1 (0) (5) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 1.2% -0.5% -5.8% 4.1% 4.0% -6.0%
Unemployment rate (%) 3.8% 3.7% 5.9% 4.2% 4.7% 6.7%
Average weekly wages $1,000 $1,022 $910 $1,080 $1,073 $1,038
Wage growth, year-over-year 7.5% 17.3% 15.1% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -5.3% -0.3% 3.3% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $68,784 $64,822 $65,936 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) (0.8) (2.0) (1.6) 0 0 0
Population ('000) 171 171 172 331,501 328,330 326,838
Population growth (%) -0.01% -0.64% -0.23% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 2.1% 2.1% 4.2% 4.6% 4.6% 6.6%
Absorption of units over the quarter 5 65 29 78,063 189,629 94,740
Absorption of units in past 12 months 197 221 461 714,672 731,349 376,273
Absorption in past 12 months as % of inventory 2.2% 2.5% 5.2% 4.2% 4.3% 2.3%
Market asking rent per unit $896 $902 $778 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 15.1% 16.6% 3.9% 11.3% 10.6% 0.5%
Effective rent per unit $893 $899 $771 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 15.7% 16.9% 3.6% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 10.3% 10.1% 9.8% 16.3% 16.3% 15.2%
Supply indicators
Inventory 8,993 8,989 8,797 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months - - 263 369,993 387,542 434,591
Net delivered units, as % of inventory - - 3.0% 2.2% 2.3% 2.6%
Units under construction - - - 681,402 692,701 687,551
Units under construction, as % of inventory - - - 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units - - (20.5) 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) $5 $67 $36 $86,764 $63,211 $47,522 Sales transactions are not rising as fast than nationally
Transaction sales price per unit $104,000 $96,273 $71,776 $235,199 $231,697 $212,033 Prices are rising faster nationally
Market cap rate 7.1% 7.2% 7.3% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 2.6% 2.5% 3.0% 12.2% 2.5% 3.0%
Absorption in sq.ft. over the quarter (11,173) 5,388 26,743 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months 34,169 72,085 (13,026) (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory 0.5% 1.0% -0.2% -0.5% -1.2% -1.0%
Market rent per sq.ft. $14.0 $14.0 $14.0 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 0.6% 0.8% 0.2% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) 0.1 (0.1) (0.5) 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 7,177,602 7,188,775 7,143,433 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. 6,000 6,000 - 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory 0.1% 0.1% - 0.8% 0.8% 0.6%
Under construction in sq.ft. - - 6,000 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory - - 0.1% 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $4 $2 $1 $28,031 $29,974 $21,646 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $79 $59 $67 $305 $306 $301 Prices are rising faster nationally
Market cap rate 9.8% 9.8% 9.8% 7.0% 7.0% 7.0%
The area has stronger absorption than nationally
U.S.
Bloomington, IL
Population growth is slower than nationally
The area has a lower vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic out-migration
Job creation is weaker than nationally
Unemployment rate is lower than nationally
Wages are rising faster than nationally
Cap rates are higher than nationally
Bloomington, IL
More delivered space relative to inventory than nationally
Cap rates are higher than nationally
Stronger office job creation than nationally
The area has a lower vacancy rate than nationally
Renting is more affordable than nationally
The area has lower absorption than nationally
Rents are rising faster than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 14010
Bloomington, IL
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 3.3% 4.7% 9.6% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter 163,725 90,628 36,668 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months 772,923 645,866 (962,677) 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory 6.4% 5.5% -8.6% 3.0% 2.7% 1.4%
Market rent per sq.ft. $6.4 $6.3 $6.0 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 5.8% 5.4% 2.9% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 12,004,671 11,840,946 11,231,748 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. - - - 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory - - - 1.7% 1.8% 1.9%
Under construction in sq.ft. - - - 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory - - - 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) $1 $7 $14 $34,773 $30,151 $29,578 Sales transactions are not rising as fast as nationally
Transaction sale price per sq.ft. $31 $40 $94 $144 $127 $110 Prices are not rising as fast than nationally
Market cap rate 7.9% 7.9% 7.6% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 7.6% 7.3% 6.7% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter (26,150) (28,894) 26,522 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months (83,789) (31,117) (255,404) 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory -1.0% -0.4% -2.9% 0.7% 0.4% -0.3%
Market rent per sq.ft. $14.3 $14.2 $14.1 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 1.0% 0.4% 0.1% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) (0.10) 0.00 0.00 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 8,734,226 8,760,376 8,818,015 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. - - -6,990 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory - - -0.1% 0.2% 0.3% 0.4%
Under construction in sq.ft. - - - 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory - - - 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $13 $4 $12 $24,585 $21,801 $18,723 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $141 $129 $363 $237 $204 $192 Prices are not rising as fast than nationally
Market cap rate 7.5% 7.5% 7.5% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) 9.6 9.2 8.5 15,362 15,397 12,896
Y/Y change ('000) 0.7 0.6 (2.1) 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment 10.7% 10.5% 9.7% 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has stronger absorption than nationally
The area has lower absorption than nationally
Cap rates are higher than nationally
The area has a higher vacancy rate than nationally
Higher fraction of workers in leisure industry than nationally
Job creation in the leisure industry is stronger than nationally
Cap rates are higher than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has lower vacancy rate than nationally
Bloomington, IL
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 16020
The Cape Girardeau, MO-IL commercial real estate market is stronger compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 52.4
Overall economic conditions are stronger than nationally.
The apartment property market is about the same than nationally.
The office property market is stronger than nationally.
The industrial property market is not as strong than nationally.
The retail property market is about the same than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 45 45 44 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 1 1 (2) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 2.3% 2.1% -3.9% 4.1% 4.0% -6.0%
Unemployment rate (%) 2.9% 2.7% 3.8% 4.2% 4.7% 6.7%
Average weekly wages $708 $718 $652 $1,080 $1,073 $1,038
Wage growth, year-over-year 12.4% 16.3% -2.5% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -2.0% -1.1% 1.4% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $52,624 $48,026 $47,927 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) 0.1 (0.3) (0.1) 0 0 0
Population ('000) 97 97 97 331,501 328,330 326,838
Population growth (%) 0.22% -0.12% 0.13% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 2.3% 2.6% 6.5% 4.6% 4.6% 6.6%
Absorption of units over the quarter 4 17 (8) 78,063 189,629 94,740
Absorption of units in past 12 months 47 35 (39) 714,672 731,349 376,273
Absorption in past 12 months as % of inventory 4.3% 3.2% -3.7% 4.2% 4.3% 2.3%
Market asking rent per unit $697 $694 $680 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 2.5% 2.8% 2.2% 11.3% 10.6% 0.5%
Effective rent per unit $695 $692 $677 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 2.7% 2.6% 2.2% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 11.3% 11.1% 11.9% 16.3% 16.3% 15.2%
Supply indicators
Inventory 1,097 1,093 1,050 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months - - - 369,993 387,542 434,591
Net delivered units, as % of inventory - - - 2.2% 2.3% 2.6%
Units under construction - - - 681,402 692,701 687,551
Units under construction, as % of inventory - - - 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units - - - 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) - - - $86,764 $63,211 $47,522
Transaction sales price per unit - - - $235,199 $231,697 $212,033
Market cap rate 7.0% 7.0% 7.0% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 0.9% 3.3% 2.8% 12.2% 3.3% 2.8%
Absorption in sq.ft. over the quarter 37,855 (4,248) (2,277) 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months 29,766 (10,366) (14,061) (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory 2.0% -0.7% -0.9% -0.5% -1.2% -1.0%
Market rent per sq.ft. $16.3 $16.3 $16.1 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 1.2% 1.5% 0.6% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) - - - 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 1,519,650 1,481,795 1,489,884 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. - - - 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory - - - 0.8% 0.8% 0.6%
Under construction in sq.ft. - - - 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory - - - 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $0 $0 $0 $28,031 $29,974 $21,646
Transaction sale price per sq.ft. $0 $0 $0 $305 $306 $301
Market cap rate 9.5% 9.5% 9.5% 7.0% 7.0% 7.0%
The area has stronger absorption than nationally
U.S.
Cape Girardeau, MO-IL
Population growth is slower than nationally
The area has a lower vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic in-migration
Job creation is weaker than nationally
Unemployment rate is lower than nationally
Wages are rising faster than nationally
Cap rates are higher than nationally
Cape Girardeau, MO-IL
Cap rates are higher than nationally
The area has a lower vacancy rate than nationally
Renting is more affordable than nationally
The area has stronger absorption than nationally
Rents are rising more slowly than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 16020
Cape Girardeau, MO-IL
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 1.7% 2.4% 2.0% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter 27,060 (2,600) 25,236 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months 3,504 1,680 25,758 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory 0.1% 0.0% 0.5% 3.0% 2.7% 1.4%
Market rent per sq.ft. $4.8 $4.7 $4.5 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 7.0% 5.7% 3.4% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 5,526,683 5,499,623 5,523,179 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. (12,600) - - 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory -0.2% - - 1.7% 1.8% 1.9%
Under construction in sq.ft. - - - 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory - - - 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) $2 - - $34,773 $30,151 $29,578
Transaction sale price per sq.ft. $32 - - $144 $127 $110
Market cap rate 8.2% 8.2% 8.2% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 2.8% 2.7% 4.8% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter 19,099 (4,869) 48,197 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months 139,655 168,753 (23,012) 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory 2.5% 3.0% -0.4% 0.7% 0.4% -0.3%
Market rent per sq.ft. $12.0 $12.0 $11.8 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 2.3% 2.1% 1.3% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) - - - 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 5,681,301 5,662,202 5,535,046 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. 27,100 3,500 47,350 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory 0.5% 0.1% 0.9% 0.2% 0.3% 0.4%
Under construction in sq.ft. - 23,600 14,500 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory - 0.4% 0.3% 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $1 $10 $3 $24,585 $21,801 $18,723 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $60 $24 $32 $237 $204 $192 Prices are rising faster nationally
Market cap rate 8.8% 8.6% 8.6% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) - - - 15,362 15,397 12,896
Y/Y change ('000) - - - 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment - - - 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has lower absorption than nationally
Less deliveries relative to inventory than nationally
The area has stronger absorption than nationally
More delivered space relative to inventory than nationally
Cap rates are higher than nationally
The area has a lower vacancy rate than nationally
Cap rates are higher than nationally
Relatively more units delivered than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has lower vacancy rate than nationally
Cape Girardeau, MO-IL
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 16060
The Carbondale-Marion, IL commercial real estate market is not as strong compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 14.3
Overall economic conditions are not as strong than nationally.
The apartment property market is not as strong than nationally.
The office property market is about the same than nationally.
The industrial property market is not as strong than nationally.
The retail property market is not as strong than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 59 57 56 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 3 2 (4) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 4.6% 3.6% -5.9% 4.1% 4.0% -6.0%
Unemployment rate (%) 4.4% 4.5% 6.1% 4.2% 4.7% 6.7%
Average weekly wages $822 $821 $796 $1,080 $1,073 $1,038
Wage growth, year-over-year 1.0% 1.1% 1.6% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -5.5% -0.7% 2.9% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $46,882 $42,716 $43,892 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) (0.5) (1.1) (0.9) 0 0 0
Population ('000) 135 136 137 331,501 328,330 326,838
Population growth (%) -0.30% -0.63% -0.52% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 13.9% 14.3% 15.5% 4.6% 4.6% 6.6%
Absorption of units over the quarter 15 28 (45) 78,063 189,629 94,740
Absorption of units in past 12 months 62 2 (90) 714,672 731,349 376,273
Absorption in past 12 months as % of inventory 1.9% 0.1% -2.7% 4.2% 4.3% 2.3%
Market asking rent per unit $717 $718 $715 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 0.2% 0.6% 0.9% 11.3% 10.6% 0.5%
Effective rent per unit $713 $713 $710 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 0.3% 0.5% 0.8% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 10.0% 10.0% 10.3% 16.3% 16.3% 15.2%
Supply indicators
Inventory 3,338 3,323 3,274 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months - - - 369,993 387,542 434,591
Net delivered units, as % of inventory - - - 2.2% 2.3% 2.6%
Units under construction - - - 681,402 692,701 687,551
Units under construction, as % of inventory - - - 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units - - - 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) - $3 $6 $86,764 $63,211 $47,522
Transaction sales price per unit - $24,180 $82,432 $235,199 $231,697 $212,033
Market cap rate 7.6% 7.5% 7.4% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 5.9% 5.3% 2.6% 12.2% 5.3% 2.6%
Absorption in sq.ft. over the quarter (8,880) (46,398) 4,806 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months (47,750) (34,064) 30,199 (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory -3.5% -2.5% 2.1% -0.5% -1.2% -1.0%
Market rent per sq.ft. $16.0 $15.9 $15.8 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 1.1% 1.4% 0.5% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) - - - 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 1,378,546 1,387,426 1,426,296 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. - - - 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory - - - 0.8% 0.8% 0.6%
Under construction in sq.ft. 15,000 15,000 - 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory 1.1% 1.1% - 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $0 $1 $3 $28,031 $29,974 $21,646 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $85 $84 $110 $305 $306 $301 Prices are not rising as fast than nationally
Market cap rate 10.0% 9.9% 9.9% 7.0% 7.0% 7.0%
The area has lower absorption than nationally
U.S.
Carbondale-Marion, IL
Population growth is slower than nationally
The area has a lower vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic out-migration
Job creation is stronger than nationally
Unemployment rate is higher than nationally
Wages are rising at a slower pace than nationally
Cap rates are higher than nationally
Carbondale-Marion, IL
Construction activity is slower than nationally
Cap rates are higher than nationally
The area has a higher vacancy rate than nationally
Renting is more affordable than nationally
The area has lower absorption than nationally
Rents are rising more slowly than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 16060
Carbondale-Marion, IL
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 13.0% 13.0% 10.4% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter 0 (676) (39,323) 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months (78,969) (118,292) 48,024 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory -2.9% -4.4% 1.7% 3.0% 2.7% 1.4%
Market rent per sq.ft. $4.3 $4.2 $4.0 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 6.2% 4.7% 2.7% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 2,681,235 2,681,235 2,760,204 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. - - - 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory - - - 1.7% 1.8% 1.9%
Under construction in sq.ft. - - - 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory - - - 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) $2 $0 $0 $34,773 $30,151 $29,578 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $22 $35 $40 $144 $127 $110 Prices are not rising as fast than nationally
Market cap rate 8.2% 8.2% 8.2% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 7.4% 9.1% 7.2% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter 132,508 7,929 (90,136) 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months (4,158) (226,802) (291,985) 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory -0.1% -3.5% -4.4% 0.7% 0.4% -0.3%
Market rent per sq.ft. $12.7 $12.6 $12.4 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 2.1% 1.7% 1.1% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) - - - 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 6,704,961 6,572,453 6,709,119 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. 7,574 - 2,200 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory 0.1% - 0.0% 0.2% 0.3% 0.4%
Under construction in sq.ft. - 7,574 2,274 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory - 0.1% 0.0% 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $1 $4 $3 $24,585 $21,801 $18,723 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $40 $104 $108 $237 $204 $192 Prices are not rising as fast than nationally
Market cap rate 8.0% 8.0% 8.0% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) - - - 15,362 15,397 12,896
Y/Y change ('000) - - - 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment - - - 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has lower absorption than nationally
The area has lower absorption than nationally
Less delivered space relative to inventory than nationally
Cap rates are higher than nationally
The area has a higher vacancy rate than nationally
Cap rates are higher than nationally
Relatively more units delivered than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has higher vacancy rate than nationally
Carbondale-Marion, IL
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 16580
The Champaign-Urbana, IL commercial real estate market is not as strong compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 36.0
Overall economic conditions are not as strong than nationally.
The apartment property market is not as strong than nationally.
The office property market is stronger than nationally.
The industrial property market is not as strong than nationally.
The retail property market is not as strong than nationally.
The hotel/lodging property market is stronger than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 121 119 115 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 4 4 (4) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 3.8% 3.3% -3.6% 4.1% 4.0% -6.0%
Unemployment rate (%) 3.8% 3.7% 5.9% 4.2% 4.7% 6.7%
Average weekly wages $892 $905 $847 $1,080 $1,073 $1,038
Wage growth, year-over-year 4.6% 4.0% -4.6% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -2.1% -0.2% -1.0% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $53,081 $52,912 $50,999 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) (2.2) (2.7) (3.1) 0 0 0
Population ('000) 226 226 227 331,501 328,330 326,838
Population growth (%) -0.20% -0.26% -0.21% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 4.1% 4.1% 5.6% 4.6% 4.6% 6.6%
Absorption of units over the quarter 9 32 94 78,063 189,629 94,740
Absorption of units in past 12 months 286 371 609 714,672 731,349 376,273
Absorption in past 12 months as % of inventory 1.8% 2.4% 4.0% 4.2% 4.3% 2.3%
Market asking rent per unit $933 $930 $898 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 3.9% 4.3% 1.3% 11.3% 10.6% 0.5%
Effective rent per unit $928 $925 $889 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 4.4% 4.8% 1.3% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 12.0% 11.8% 12.1% 16.3% 16.3% 15.2%
Supply indicators
Inventory 15,524 15,515 15,239 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months 43 62 216 369,993 387,542 434,591
Net delivered units, as % of inventory 0.3% 0.4% 1.4% 2.2% 2.3% 2.6%
Units under construction 9 9 52 681,402 692,701 687,551
Units under construction, as % of inventory 0.1% 0.1% 0.3% 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units 102.3 61.3 (19.9) 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) $1 $16 $4 $86,764 $63,211 $47,522 Sales transactions are not rising as fast than nationally
Transaction sales price per unit $63,333 $385,171 $42,819 $235,199 $231,697 $212,033 Prices are rising faster nationally
Market cap rate 7.4% 7.4% 7.4% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 8.0% 8.2% 9.0% 12.2% 8.2% 9.0%
Absorption in sq.ft. over the quarter 9,268 (57,011) (7,225) 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months 55,445 38,952 (23,127) (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory 1.1% 0.8% -0.5% -0.5% -1.2% -1.0%
Market rent per sq.ft. $19.7 $19.7 $19.5 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 0.9% 1.0% 0.4% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) 0.3 0.2 0.5 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 4,978,207 4,968,939 4,922,762 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. - - 63,100 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory - - 1.3% 0.8% 0.8% 0.6%
Under construction in sq.ft. - - - 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory - - - 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $0 $1 $14 $28,031 $29,974 $21,646 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $0 $108 $69 $305 $306 $301 Prices are not rising as fast than nationally
Market cap rate 9.5% 9.5% 9.5% 7.0% 7.0% 7.0%
The area has stronger absorption than nationally
U.S.
Champaign-Urbana, IL
Population growth is slower than nationally
More jobs per delivered units than nationally
The area has a lower vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic out-migration
Job creation is weaker than nationally
Unemployment rate is lower than nationally
Wages are rising at a slower pace than nationally
Construction is weaker than nationally
Cap rates are higher than nationally
Champaign-Urbana, IL
Cap rates are higher than nationally
Stronger office job creation than nationally
The area has a lower vacancy rate than nationally
Renting is more affordable than nationally
The area has lower absorption than nationally
Rents are rising more slowly than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 16580
Champaign-Urbana, IL
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 5.9% 6.2% 7.7% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter 41,664 (167,023) 86,519 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months 257,617 302,472 (99,354) 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory 1.9% 2.3% -0.8% 3.0% 2.7% 1.4%
Market rent per sq.ft. $5.5 $5.4 $5.2 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 6.5% 5.3% 2.9% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 13,383,459 13,341,795 13,125,842 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. - - - 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory - - - 1.7% 1.8% 1.9%
Under construction in sq.ft. - - - 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory - - - 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) $5 $11 $0 $34,773 $30,151 $29,578 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $93 $57 $21 $144 $127 $110 Prices are rising faster nationally
Market cap rate 8.4% 8.4% 8.3% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 3.6% 4.0% 4.4% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter 55,177 (20,096) 200,957 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months 103,775 249,555 40,878 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory 0.8% 2.0% 0.3% 0.7% 0.4% -0.3%
Market rent per sq.ft. $15.2 $15.2 $15.0 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 1.4% 1.0% 0.5% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) (0.20) (0.20) (0.80) 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 12,659,464 12,604,287 12,555,689 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. 3,350 165,868 174,850 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory 0.0% 1.3% 1.4% 0.2% 0.3% 0.4%
Under construction in sq.ft. - 3,350 - 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory - 0.0% - 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $4 $24 $16 $24,585 $21,801 $18,723 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $178 $136 $201 $237 $204 $192 Prices are not rising as fast than nationally
Market cap rate 7.7% 7.7% 7.7% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) 11.0 11.1 9.0 15,362 15,397 12,896
Y/Y change ('000) 0.9 1.1 (3.5) 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment 9.1% 9.4% 7.8% 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has lower absorption than nationally
The area has stronger absorption than nationally
Less delivered space relative to inventory than nationally
Cap rates are higher than nationally
The area has a lower vacancy rate than nationally
Lower fraction of workers in leisure industry than nationally
Job creation in the leisure industry is stronger than nationally
Cap rates are higher than nationally
The area has stronger retail trade job creation than nationally
Relatively fewer units delivered than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has higher vacancy rate than nationally
Champaign-Urbana, IL
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 16980
The Chicago-Naperville-Elgin, IL-IN-WI commercial real estate market is not as strong compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 12.0
Overall economic conditions are not as strong than nationally.
The apartment property market is not as strong than nationally.
The office property market is not as strong than nationally.
The industrial property market is not as strong than nationally.
The retail property market is not as strong than nationally.
The hotel/lodging property market is stronger than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 4,572 4,502 4,385 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 162 115 (422) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 3.7% 2.6% -8.8% 4.1% 4.0% -6.0%
Unemployment rate (%) 5.6% 6.2% 8.5% 4.2% 4.7% 6.7%
Average weekly wages $1,151 $1,128 $1,084 $1,080 $1,073 $1,038
Wage growth, year-over-year 4.0% 7.1% 1.6% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -5.4% 0.7% 2.6% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $75,379 $70,760 $68,403 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) (81.2) (73.8) (83.4) 0 0 0
Population ('000) 9,407 9,454 9,485 331,501 328,330 326,838
Population growth (%) -0.50% -0.33% -0.30% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 5.6% 5.6% 7.8% 4.6% 4.6% 6.6%
Absorption of units over the quarter 1,721 4,471 712 78,063 189,629 94,740
Absorption of units in past 12 months 20,121 19,112 2,557 714,672 731,349 376,273
Absorption in past 12 months as % of inventory 4.1% 3.9% 0.5% 4.2% 4.3% 2.3%
Market asking rent per unit $1,537 $1,536 $1,419 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 8.3% 7.8% -1.9% 11.3% 10.6% 0.5%
Effective rent per unit $1,526 $1,524 $1,390 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 9.8% 9.7% -2.7% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 15.3% 15.5% 14.8% 16.3% 16.3% 15.2%
Supply indicators
Inventory 492,767 491,048 472,703 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months 9,033 8,052 9,135 369,993 387,542 434,591
Net delivered units, as % of inventory 1.8% 1.6% 1.9% 2.2% 2.3% 2.6%
Units under construction 10,356 10,289 14,603 681,402 692,701 687,551
Units under construction, as % of inventory 2.1% 2.1% 3.1% 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units 18.0 14.3 (46.2) 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) $1,641 $1,443 $952 $86,764 $63,211 $47,522 Sales transactions are not rising as fast than nationally
Transaction sales price per unit $198,489 $152,744 $130,693 $235,199 $231,697 $212,033 Prices are rising faster nationally
Market cap rate 5.8% 5.8% 5.8% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 14.5% 14.4% 13.2% 12.2% 14.4% 13.2%
Absorption in sq.ft. over the quarter (397,860) (878,791) (1,543,203) 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months (5,096,172) (6,241,515) (3,075,270) (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory -1.2% -1.4% -0.7% -0.5% -1.2% -1.0%
Market rent per sq.ft. $29.4 $29.4 $29.4 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 0.1% -0.2% -0.4% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) 19.2 30.4 (55.2) 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 433,701,312 434,099,168 438,795,424 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. 1,945,311 3,882,347 3,422,300 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory 0.4% 0.9% 0.8% 0.8% 0.8% 0.6%
Under construction in sq.ft. 4,273,986 2,425,775 4,197,197 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory 1.0% 0.6% 1.0% 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $563 $562 $900 $28,031 $29,974 $21,646 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $175 $152 $227 $305 $306 $301 Prices are not rising as fast than nationally
Market cap rate 7.4% 7.4% 7.4% 7.0% 7.0% 7.0%
The area has lower absorption than nationally
U.S.
Chicago-Naperville-Elgin, IL-IN-WI
Population growth is slower than nationally
More jobs per delivered units than nationally
The area has a higher vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic out-migration
Job creation is weaker than nationally
Unemployment rate is higher than nationally
Wages are rising at a slower pace than nationally
Construction is weaker than nationally
Cap rates are higher than nationally
Chicago-Naperville-Elgin, IL-IN-WI
More delivered space relative to inventory than nationally
Construction activity is slower than nationally
Cap rates are higher than nationally
Stronger office job creation than nationally
The area has a higher vacancy rate than nationally
Renting is more affordable than nationally
The area has lower absorption than nationally
Rents are rising more slowly than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 16980
Chicago-Naperville-Elgin, IL-IN-WI
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 5.3% 5.5% 6.5% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter 5,662,078 12,521,048 6,107,100 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months 32,956,184 33,401,206 15,978,276 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory 2.6% 2.7% 1.3% 3.0% 2.7% 1.4%
Market rent per sq.ft. $8.1 $7.9 $7.5 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 8.0% 6.5% 4.4% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 1,256,559,744 1,250,897,664 1,223,603,712 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. 17,622,543 19,905,138 19,543,445 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory 1.4% 1.6% 1.6% 1.7% 1.8% 1.9%
Under construction in sq.ft. 30,138,808 27,613,024 20,109,638 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory 2.4% 2.2% 1.6% 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) $1,782 $2,305 $1,485 $34,773 $30,151 $29,578 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $74 $88 $75 $144 $127 $110 Prices are not rising as fast than nationally
Market cap rate 6.7% 6.7% 6.7% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 6.0% 6.2% 6.4% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter 1,262,856 922,698 954,724 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months 3,065,065 2,756,933 137,895 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory 0.6% 0.5% 0.0% 0.7% 0.4% -0.3%
Market rent per sq.ft. $19.7 $19.5 $19.2 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 2.4% 1.8% -0.5% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) 4.10 3.80 (18.20) 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 544,635,392 543,369,728 541,567,488 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. 505,810 1,456,743 2,065,971 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory 0.1% 0.3% 0.4% 0.2% 0.3% 0.4%
Under construction in sq.ft. 1,284,358 1,090,055 1,045,863 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory 0.2% 0.2% 0.2% 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $1,004 $1,019 $759 $24,585 $21,801 $18,723 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $189 $161 $146 $237 $204 $192 Prices are rising faster nationally
Market cap rate 7.4% 7.4% 7.4% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) 394.0 395.7 308.8 15,362 15,397 12,896
Y/Y change ('000) 66.9 37.0 (181.5) 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment 8.6% 8.8% 7.0% 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has lower absorption than nationally
Less deliveries relative to inventory than nationally
The area has lower absorption than nationally
Less delivered space relative to inventory than nationally
Less delivered space relative to inventory than nationally
Cap rates are higher than nationally
The area has a higher vacancy rate than nationally
Lower fraction of workers in leisure industry than nationally
Job creation in the leisure industry is stronger than nationally
Cap rates are higher than nationally
Construction activity is slower than nationally
The area has stronger retail trade job creation than nationally
Relatively fewer units delivered than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has higher vacancy rate than nationally
Chicago-Naperville-Elgin, IL-IN-WI
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 19180
The Danville, IL commercial real estate market is not as strong compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 20.0
Overall economic conditions are not as strong than nationally.
The apartment property market is not as strong than nationally.
The office property market is stronger than nationally.
The industrial property market is not as strong than nationally.
The retail property market is not as strong than nationally.
The hotel/lodging property market is about the same than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 27 26 26 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 1 1 (2) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 2.3% 2.3% -6.1% 4.1% 4.0% -6.0%
Unemployment rate (%) 5.3% 5.3% 6.8% 4.2% 4.7% 6.7%
Average weekly wages $791 $805 $758 $1,080 $1,073 $1,038
Wage growth, year-over-year 3.5% 7.6% -4.6% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -2.6% -0.3% -0.4% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $43,111 $43,655 $42,345 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) (0.8) (1.0) (1.0) 0 0 0
Population ('000) 75 76 77 331,501 328,330 326,838
Population growth (%) -1.16% -1.26% -1.31% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 7.9% 7.9% 9.3% 4.6% 4.6% 6.6%
Absorption of units over the quarter 0 2 1 78,063 189,629 94,740
Absorption of units in past 12 months 12 13 (1) 714,672 731,349 376,273
Absorption in past 12 months as % of inventory 1.6% 1.7% -0.1% 4.2% 4.3% 2.3%
Market asking rent per unit $720 $715 $686 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 5.0% 6.1% 3.9% 11.3% 10.6% 0.5%
Effective rent per unit $716 $711 $681 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 5.1% 6.1% 3.8% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 10.4% 10.2% 10.3% 16.3% 16.3% 15.2%
Supply indicators
Inventory 768 768 756 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months - - - 369,993 387,542 434,591
Net delivered units, as % of inventory - - - 2.2% 2.3% 2.6%
Units under construction - - - 681,402 692,701 687,551
Units under construction, as % of inventory - - - 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units - - - 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) - - - $86,764 $63,211 $47,522
Transaction sales price per unit - - - $235,199 $231,697 $212,033
Market cap rate 7.8% 7.8% 7.7% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 2.2% 2.2% 4.5% 12.2% 2.2% 4.5%
Absorption in sq.ft. over the quarter - (2,400) 8,900 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months 24,416 33,316 (2,825) (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory 2.3% 3.2% -0.3% -0.5% -1.2% -1.0%
Market rent per sq.ft. $15.6 $15.6 $15.5 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 0.8% 1.0% 0.3% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) 0.2 0.1 (0.1) 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 1,050,297 1,050,297 1,025,881 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. - - - 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory - - - 0.8% 0.8% 0.6%
Under construction in sq.ft. - - - 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory - - - 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $4 $14 $2 $28,031 $29,974 $21,646 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $75 $209 $218 $305 $306 $301 Prices are not rising as fast than nationally
Market cap rate 9.6% 9.6% 9.7% 7.0% 7.0% 7.0%
The area has stronger absorption than nationally
U.S.
Danville, IL
Population growth is slower than nationally
The area has a lower vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic out-migration
Job creation is weaker than nationally
Unemployment rate is higher than nationally
Wages are rising at a slower pace than nationally
Cap rates are higher than nationally
Danville, IL
Cap rates are higher than nationally
Slower office job creation than nationally
The area has a higher vacancy rate than nationally
Renting is more affordable than nationally
The area has lower absorption than nationally
Rents are rising more slowly than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 19180
Danville, IL
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 5.3% 5.4% 11.2% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter 1,892 89,000 (19,960) 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months 377,968 356,116 (22,809) 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory 6.2% 5.8% -0.4% 3.0% 2.7% 1.4%
Market rent per sq.ft. $3.6 $3.5 $3.3 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 6.4% 5.8% 2.8% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 6,142,923 6,141,031 5,764,955 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. - - - 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory - - - 1.7% 1.8% 1.9%
Under construction in sq.ft. - - - 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory - - - 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) $2 $0 $0 $34,773 $30,151 $29,578 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $28 $27 $23 $144 $127 $110 Prices are not rising as fast than nationally
Market cap rate 9.8% 9.7% 8.4% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 9.1% 7.6% 6.8% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter (66,556) (392) (84,117) 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months (85,051) (102,612) (142,548) 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory -2.1% -2.5% -3.4% 0.7% 0.4% -0.3%
Market rent per sq.ft. $11.3 $11.2 $11.1 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 1.7% 1.6% 1.3% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) 0.00 0.00 (0.10) 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 4,058,222 4,124,778 4,143,273 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. 19,500 19,500 14,900 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory 0.5% 0.5% 0.4% 0.2% 0.3% 0.4%
Under construction in sq.ft. - - 19,500 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory - - 0.5% 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $5 $1 $5 $24,585 $21,801 $18,723 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $325 $51 $19 $237 $204 $192 Prices are rising faster nationally
Market cap rate 9.0% 8.9% 8.6% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) 2.1 2.2 1.9 15,362 15,397 12,896
Y/Y change ('000) 0.1 0.2 (0.2) 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment 7.8% 8.3% 7.3% 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has stronger absorption than nationally
The area has lower absorption than nationally
More delivered space relative to inventory than nationally
Cap rates are higher than nationally
The area has a higher vacancy rate than nationally
Lower fraction of workers in leisure industry than nationally
Job creation in the leisure industry is stronger than nationally
Cap rates are higher than nationally
The area has stronger retail trade job creation than nationally
Relatively more units delivered than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has higher vacancy rate than nationally
Danville, IL
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 19340
The Davenport-Moline-Rock Island, IA-IL commercial real estate market is not as strong compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 32.0
Overall economic conditions are not as strong than nationally.
The apartment property market is not as strong than nationally.
The office property market is stronger than nationally.
The industrial property market is not as strong than nationally.
The retail property market is not as strong than nationally.
The hotel/lodging property market is about the same than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 179 179 176 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 2 5 (11) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 1.3% 2.9% -5.8% 4.1% 4.0% -6.0%
Unemployment rate (%) 4.2% 4.2% 5.4% 4.2% 4.7% 6.7%
Average weekly wages $952 $966 $949 $1,080 $1,073 $1,038
Wage growth, year-over-year 5.4% 11.9% 3.9% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -2.0% 0.8% -0.1% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $62,001 $55,635 $54,173 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) (2.7) (1.8) (2.0) 0 0 0
Population ('000) 378 380 380 331,501 328,330 326,838
Population growth (%) -0.48% -0.16% -0.30% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 4.3% 4.9% 7.5% 4.6% 4.6% 6.6%
Absorption of units over the quarter 83 129 1 78,063 189,629 94,740
Absorption of units in past 12 months 523 441 267 714,672 731,349 376,273
Absorption in past 12 months as % of inventory 4.1% 3.5% 2.2% 4.2% 4.3% 2.3%
Market asking rent per unit $859 $853 $823 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 4.4% 3.0% 0.8% 11.3% 10.6% 0.5%
Effective rent per unit $855 $848 $815 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 5.0% 3.3% 0.5% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 10.3% 10.1% 9.9% 16.3% 16.3% 15.2%
Supply indicators
Inventory 12,852 12,769 12,330 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months 108 108 382 369,993 387,542 434,591
Net delivered units, as % of inventory 0.8% 0.8% 3.1% 2.2% 2.3% 2.6%
Units under construction 88 88 108 681,402 692,701 687,551
Units under construction, as % of inventory 0.7% 0.7% 0.9% 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units 21.3 46.3 (28.5) 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) $10 $11 $10 $86,764 $63,211 $47,522 Sales transactions are not rising as fast than nationally
Transaction sales price per unit $113,068 $47,896 $31,169 $235,199 $231,697 $212,033 Prices are rising faster nationally
Market cap rate 7.7% 7.7% 7.6% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 3.8% 3.8% 3.1% 12.2% 3.8% 3.1%
Absorption in sq.ft. over the quarter 31,785 (100,225) 52,336 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months 17,153 37,704 (34,508) (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory 0.2% 0.4% -0.3% -0.5% -1.2% -1.0%
Market rent per sq.ft. $17.3 $17.3 $17.1 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 1.0% 1.1% 0.4% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) 0.1 0.0 (0.5) 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 10,746,392 10,714,607 10,729,239 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. 90,000 60,000 (15,212) 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory 0.8% 0.6% -0.1% 0.8% 0.8% 0.6%
Under construction in sq.ft. - 30,000 55,000 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory - 0.3% 0.5% 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $5 $23 $15 $28,031 $29,974 $21,646 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $38 $115 $69 $305 $306 $301 Prices are not rising as fast than nationally
Market cap rate 10.4% 10.3% 10.4% 7.0% 7.0% 7.0%
The area has stronger absorption than nationally
U.S.
Davenport-Moline-Rock Island, IA-IL
Population growth is slower than nationally
More jobs per delivered units than nationally
The area has a lower vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic out-migration
Job creation is weaker than nationally
Unemployment rate is higher than nationally
Wages are rising faster than nationally
Construction is weaker than nationally
Cap rates are higher than nationally
Davenport-Moline-Rock Island, IA-IL
More delivered space relative to inventory than nationally
Cap rates are higher than nationally
Stronger office job creation than nationally
The area has a lower vacancy rate than nationally
Renting is more affordable than nationally
The area has lower absorption than nationally
Rents are rising more slowly than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 19340
Davenport-Moline-Rock Island, IA-IL
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 2.3% 2.4% 2.2% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter 66,107 45,790 380,318 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months (24,881) 289,330 356,048 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory -0.1% 0.7% 0.8% 3.0% 2.7% 1.4%
Market rent per sq.ft. $5.1 $5.0 $4.7 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 6.8% 5.8% 3.4% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 44,101,728 44,035,624 44,126,608 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. 4,750 12,750 8,000 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory 0.0% 0.0% 0.0% 1.7% 1.8% 1.9%
Under construction in sq.ft. 251,100 - 4,750 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory 0.6% - 0.0% 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) $15 $29 $8 $34,773 $30,151 $29,578 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $17 $41 $21 $144 $127 $110 Prices are not rising as fast than nationally
Market cap rate 9.1% 9.1% 9.0% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 4.1% 4.0% 4.1% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter (22,756) (44,827) 19,940 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months 45,151 87,847 40,954 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory 0.2% 0.4% 0.2% 0.7% 0.4% -0.3%
Market rent per sq.ft. $12.8 $12.8 $12.7 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 1.1% 0.7% 0.3% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) 0.00 0.00 (0.80) 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 24,678,120 24,700,876 24,632,968 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. 27,986 52,017 55,565 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory 0.1% 0.2% 0.2% 0.2% 0.3% 0.4%
Under construction in sq.ft. - - 21,563 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory - - 0.1% 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $8 $15 $50 $24,585 $21,801 $18,723 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $174 $193 $119 $237 $204 $192 Prices are rising faster nationally
Market cap rate 8.4% 8.4% 8.5% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) 16.5 16.8 16.4 15,362 15,397 12,896
Y/Y change ('000) 0.8 0.4 (2.5) 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment 9.2% 9.4% 9.3% 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has lower absorption than nationally
Less deliveries relative to inventory than nationally
The area has lower absorption than nationally
Less delivered space relative to inventory than nationally
Less delivered space relative to inventory than nationally
Cap rates are higher than nationally
The area has a lower vacancy rate than nationally
Lower fraction of workers in leisure industry than nationally
Job creation in the leisure industry is stronger than nationally
Cap rates are higher than nationally
The area has stronger retail trade job creation than nationally
Relatively fewer units delivered than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has lower vacancy rate than nationally
Davenport-Moline-Rock Island, IA-IL
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 19500
The Decatur, IL commercial real estate market is not as strong compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 20.0
Overall economic conditions are not as strong than nationally.
The apartment property market is not as strong than nationally.
The office property market is not as strong than nationally.
The industrial property market is not as strong than nationally.
The retail property market is not as strong than nationally.
The hotel/lodging property market is about the same than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 49 48 47 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 2 1 (4) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 3.2% 1.9% -7.4% 4.1% 4.0% -6.0%
Unemployment rate (%) 7.0% 7.5% 9.4% 4.2% 4.7% 6.7%
Average weekly wages $1,043 $1,018 $931 $1,080 $1,073 $1,038
Wage growth, year-over-year 9.5% 5.7% -4.7% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -5.1% -3.0% -1.5% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $50,839 $50,066 $51,970 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) (1.0) (0.6) (1.0) 0 0 0
Population ('000) 103 104 105 331,501 328,330 326,838
Population growth (%) -0.96% -0.49% -0.90% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 9.2% 8.7% 8.4% 4.6% 4.6% 6.6%
Absorption of units over the quarter (15) (5) (5) 78,063 189,629 94,740
Absorption of units in past 12 months (26) (16) (23) 714,672 731,349 376,273
Absorption in past 12 months as % of inventory -0.9% -0.6% -0.8% 4.2% 4.3% 2.3%
Market asking rent per unit $608 $607 $597 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 2.0% 2.4% 1.1% 11.3% 10.6% 0.5%
Effective rent per unit $605 $604 $594 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 1.9% 2.2% 1.5% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 6.7% 6.8% 7.3% 16.3% 16.3% 15.2%
Supply indicators
Inventory 2,893 2,907 2,918 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months - - - 369,993 387,542 434,591
Net delivered units, as % of inventory - - - 2.2% 2.3% 2.6%
Units under construction - - - 681,402 692,701 687,551
Units under construction, as % of inventory - - - 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units - - - 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) - - - $86,764 $63,211 $47,522
Transaction sales price per unit - - - $235,199 $231,697 $212,033
Market cap rate 7.9% 7.9% 7.7% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 5.9% 5.7% 5.0% 12.2% 5.7% 5.0%
Absorption in sq.ft. over the quarter (14,088) (5,940) 23,646 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months (48,596) (10,862) 10,934 (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory -1.0% -0.2% 0.2% -0.5% -1.2% -1.0%
Market rent per sq.ft. $14.7 $14.6 $14.5 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 0.8% 0.9% 0.1% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) 0.2 0.1 0.0 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 4,791,119 4,805,207 4,839,715 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. (1,768) (1,768) - 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory 0.0% 0.0% - 0.8% 0.8% 0.6%
Under construction in sq.ft. - - - 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory - - - 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $0 $5 $6 $28,031 $29,974 $21,646 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $24 $360 $273 $305 $306 $301 Prices are not rising as fast than nationally
Market cap rate 9.2% 9.2% 9.3% 7.0% 7.0% 7.0%
The area has lower absorption than nationally
U.S.
Decatur, IL
Population growth is slower than nationally
The area has a lower vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic out-migration
Job creation is weaker than nationally
Unemployment rate is higher than nationally
Wages are rising faster than nationally
Cap rates are higher than nationally
Decatur, IL
More delivered space relative to inventory than nationally
Cap rates are higher than nationally
The area has a higher vacancy rate than nationally
Renting is more affordable than nationally
The area has lower absorption than nationally
Rents are rising more slowly than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 19500
Decatur, IL
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 5.4% 5.8% 3.2% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter 35,278 (87,424) 206,011 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months (241,511) (70,778) 69,107 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory -2.3% -0.7% 0.7% 3.0% 2.7% 1.4%
Market rent per sq.ft. $5.0 $4.9 $4.6 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 6.8% 5.8% 3.4% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 10,317,006 10,281,728 10,558,517 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. - - - 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory - - - 1.7% 1.8% 1.9%
Under construction in sq.ft. - - - 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory - - - 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) $2 - $1 $34,773 $30,151 $29,578 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $7 - $12 $144 $127 $110 Prices are not rising as fast than nationally
Market cap rate 8.5% 8.5% 8.4% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 12.1% 12.4% 13.4% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter 22,720 83,917 (95,109) 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months 88,299 (29,530) (321,966) 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory 1.5% -0.5% -5.4% 0.7% 0.4% -0.3%
Market rent per sq.ft. $13.2 $13.1 $13.0 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 1.7% 0.9% 0.5% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) 0.00 0.00 (0.10) 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 6,036,482 6,013,762 5,948,183 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. 3,500 - 20,000 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory 0.1% - 0.3% 0.2% 0.3% 0.4%
Under construction in sq.ft. - 3,500 - 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory - 0.1% - 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $7 $12 $4 $24,585 $21,801 $18,723 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $173 $207 $123 $237 $204 $192 Prices are rising faster nationally
Market cap rate 8.1% 8.1% 8.5% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) 4.5 4.4 3.9 15,362 15,397 12,896
Y/Y change ('000) 0.5 0.4 (0.9) 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment 9.3% 9.2% 8.4% 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has lower absorption than nationally
The area has stronger absorption than nationally
Less delivered space relative to inventory than nationally
Cap rates are higher than nationally
The area has a higher vacancy rate than nationally
Lower fraction of workers in leisure industry than nationally
Job creation in the leisure industry is stronger than nationally
Cap rates are higher than nationally
The area has stronger retail trade job creation than nationally
Relatively fewer units delivered than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has higher vacancy rate than nationally
Decatur, IL
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 28100
The Kankakee, IL commercial real estate market is not as strong compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 16.0
Overall economic conditions are not as strong than nationally.
The apartment property market is not as strong than nationally.
The office property market is not as strong than nationally.
The industrial property market is not as strong than nationally.
The retail property market is not as strong than nationally.
The hotel/lodging property market is about the same than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 44 44 42 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 2 1 (4) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 3.8% 2.6% -8.3% 4.1% 4.0% -6.0%
Unemployment rate (%) 5.3% 5.3% 6.8% 4.2% 4.7% 6.7%
Average weekly wages $988 $988 $971 $1,080 $1,073 $1,038
Wage growth, year-over-year 0.3% 1.8% 1.8% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -2.0% 2.6% 3.5% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $60,923 $51,404 $58,539 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) (0.9) (0.3) (0.8) 0 0 0
Population ('000) 109 110 110 331,501 328,330 326,838
Population growth (%) -0.89% -0.27% -0.60% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 1.8% 1.8% 2.5% 4.6% 4.6% 6.6%
Absorption of units over the quarter 1 1 6 78,063 189,629 94,740
Absorption of units in past 12 months 7 12 13 714,672 731,349 376,273
Absorption in past 12 months as % of inventory 0.7% 1.2% 1.3% 4.2% 4.3% 2.3%
Market asking rent per unit $850 $840 $814 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 4.4% 1.9% 1.4% 11.3% 10.6% 0.5%
Effective rent per unit $846 $837 $810 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 4.5% 1.8% 1.5% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 9.9% 9.7% 9.6% 16.3% 16.3% 15.2%
Supply indicators
Inventory 1,007 1,006 1,000 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months - - - 369,993 387,542 434,591
Net delivered units, as % of inventory - - - 2.2% 2.3% 2.6%
Units under construction - - - 681,402 692,701 687,551
Units under construction, as % of inventory - - - 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units - - - 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) $1 $1 $7 $86,764 $63,211 $47,522 Sales transactions are not rising as fast than nationally
Transaction sales price per unit $40,172 $88,125 $73,108 $235,199 $231,697 $212,033 Prices are not rising as fast than nationally
Market cap rate 7.6% 7.6% 7.5% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 15.3% 15.5% 17.3% 12.2% 15.5% 17.3%
Absorption in sq.ft. over the quarter 4,077 (810) (51,050) 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months 37,715 (17,412) (92,440) (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory 2.3% -1.1% -5.9% -0.5% -1.2% -1.0%
Market rent per sq.ft. $17.4 $17.4 $17.3 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 0.9% 1.0% 0.3% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) 0.6 (0.2) 0.0 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 1,616,925 1,612,848 1,579,210 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. - - - 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory - - - 0.8% 0.8% 0.6%
Under construction in sq.ft. - - - 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory - - - 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $0 $0 $0 $28,031 $29,974 $21,646 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $0 $76 $44 $305 $306 $301 Prices are not rising as fast than nationally
Market cap rate 10.3% 10.3% 10.3% 7.0% 7.0% 7.0%
The area has stronger absorption than nationally
U.S.
Kankakee, IL
Population growth is slower than nationally
The area has a higher vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic out-migration
Job creation is weaker than nationally
Unemployment rate is higher than nationally
Wages are rising at a slower pace than nationally
Cap rates are higher than nationally
Kankakee, IL
Cap rates are higher than nationally
The area has a lower vacancy rate than nationally
Renting is more affordable than nationally
The area has lower absorption than nationally
Rents are rising more slowly than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 28100
Kankakee, IL
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 16.8% 14.9% 16.4% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter (237,800) 173,165 (68,352) 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months (49,435) 120,013 (324,899) 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory -0.5% 1.1% -3.1% 3.0% 2.7% 1.4%
Market rent per sq.ft. $4.9 $4.8 $4.6 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 6.6% 5.7% 3.0% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 10,424,294 10,662,094 10,473,729 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. - - - 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory - - - 1.7% 1.8% 1.9%
Under construction in sq.ft. - - - 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory - - - 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) $32 $0 $2 $34,773 $30,151 $29,578 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $39 $40 $48 $144 $127 $110 Prices are not rising as fast than nationally
Market cap rate 8.8% 8.5% 8.5% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 11.3% 11.0% 10.2% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter (22,120) (7,722) (103,693) 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months (75,139) (156,712) (438,093) 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory -1.2% -2.5% -6.9% 0.7% 0.4% -0.3%
Market rent per sq.ft. $14.8 $14.7 $14.8 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 0.3% 0.3% 2.3% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) 0.20 0.20 0.00 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 6,305,509 6,327,629 6,380,648 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. 4,901 4,901 - 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory 0.1% 0.1% - 0.2% 0.3% 0.4%
Under construction in sq.ft. - - - 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory - - - 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $5 $8 $7 $24,585 $21,801 $18,723 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $38 $206 $232 $237 $204 $192 Prices are not rising as fast than nationally
Market cap rate 8.1% 8.1% 8.0% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) 3.5 3.8 3.1 15,362 15,397 12,896
Y/Y change ('000) 0.5 0.4 (1.2) 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment 7.9% 8.7% 7.4% 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has lower absorption than nationally
The area has lower absorption than nationally
Less delivered space relative to inventory than nationally
Cap rates are higher than nationally
The area has a higher vacancy rate than nationally
Lower fraction of workers in leisure industry than nationally
Job creation in the leisure industry is stronger than nationally
Cap rates are higher than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has higher vacancy rate than nationally
Kankakee, IL
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 37900
The Peoria, IL commercial real estate market is not as strong compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 32.0
Overall economic conditions are not as strong than nationally.
The apartment property market is not as strong than nationally.
The office property market is stronger than nationally.
The industrial property market is not as strong than nationally.
The retail property market is not as strong than nationally.
The hotel/lodging property market is stronger than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 165 165 159 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 3 3 (12) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 1.5% 2.0% -7.1% 4.1% 4.0% -6.0%
Unemployment rate (%) 5.0% 4.9% 6.9% 4.2% 4.7% 6.7%
Average weekly wages $998 $981 $940 $1,080 $1,073 $1,038
Wage growth, year-over-year 6.8% 9.8% 11.0% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -6.1% -4.1% 2.7% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $60,372 $58,603 $57,453 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) (4.0) (3.5) (4.5) 0 0 0
Population ('000) 397 401 403 331,501 328,330 326,838
Population growth (%) -0.95% -0.68% -0.92% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 3.5% 3.5% 7.1% 4.6% 4.6% 6.6%
Absorption of units over the quarter 6 105 9 78,063 189,629 94,740
Absorption of units in past 12 months 412 415 349 714,672 731,349 376,273
Absorption in past 12 months as % of inventory 3.8% 3.8% 3.3% 4.2% 4.3% 2.3%
Market asking rent per unit $814 $803 $755 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 7.7% 6.4% 0.7% 11.3% 10.6% 0.5%
Effective rent per unit $811 $800 $749 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 8.2% 6.8% 0.5% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 9.3% 9.4% 9.2% 16.3% 16.3% 15.2%
Supply indicators
Inventory 10,859 10,853 10,448 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months - 30 76 369,993 387,542 434,591
Net delivered units, as % of inventory - 0.3% 0.7% 2.2% 2.3% 2.6%
Units under construction 127 127 127 681,402 692,701 687,551
Units under construction, as % of inventory 1.2% 1.2% 1.2% 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units - 110.0 (159.2) 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) $18 $19 $62 $86,764 $63,211 $47,522 Sales transactions are not rising as fast than nationally
Transaction sales price per unit $54,266 $65,375 $74,674 $235,199 $231,697 $212,033 Prices are not rising as fast than nationally
Market cap rate 7.6% 7.5% 7.5% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 4.6% 4.8% 4.9% 12.2% 4.8% 4.9%
Absorption in sq.ft. over the quarter 30,184 (889) 38,016 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months 46,102 53,934 13,422 (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory 0.4% 0.5% 0.1% -0.5% -1.2% -1.0%
Market rent per sq.ft. $16.3 $16.3 $16.2 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 1.0% 0.9% 0.1% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) (0.4) (0.5) (1.6) 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 11,460,741 11,430,557 11,414,639 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. - - (3,870) 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory - - 0.0% 0.8% 0.8% 0.6%
Under construction in sq.ft. - - - 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory - - - 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $5 $3 $14 $28,031 $29,974 $21,646 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $26 $73 $77 $305 $306 $301 Prices are not rising as fast than nationally
Market cap rate 9.6% 9.6% 9.7% 7.0% 7.0% 7.0%
The area has stronger absorption than nationally
U.S.
Peoria, IL
Population growth is slower than nationally
The area has a lower vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic out-migration
Job creation is weaker than nationally
Unemployment rate is higher than nationally
Wages are rising faster than nationally
Construction is weaker than nationally
Cap rates are higher than nationally
Peoria, IL
Cap rates are higher than nationally
Stronger office job creation than nationally
The area has a lower vacancy rate than nationally
Renting is more affordable than nationally
The area has lower absorption than nationally
Rents are rising more slowly than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 37900
Peoria, IL
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 3.7% 4.5% 3.6% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter 252,387 (294,587) 6,425 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months (28,542) (274,504) (229,989) 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory -0.1% -0.9% -0.7% 3.0% 2.7% 1.4%
Market rent per sq.ft. $5.1 $5.0 $4.8 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 6.0% 5.4% 2.8% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 30,869,824 30,617,438 30,898,368 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. - 20,000 20,000 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory - 0.1% 0.1% 1.7% 1.8% 1.9%
Under construction in sq.ft. - - - 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory - - - 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) $3 $17 $3 $34,773 $30,151 $29,578 Sales transactions are not rising as fast as nationally
Transaction sale price per sq.ft. $23 $23 $46 $144 $127 $110 Prices are not rising as fast than nationally
Market cap rate 8.5% 8.3% 8.4% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 5.0% 5.2% 5.2% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter 44,399 (2,934) 76,240 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months 63,907 95,748 25,160 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory 0.3% 0.4% 0.1% 0.7% 0.4% -0.3%
Market rent per sq.ft. $13.0 $13.0 $12.9 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 1.0% 0.6% 0.1% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) (1.30) (0.90) (0.20) 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 25,079,496 25,035,096 25,015,588 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. 23,614 22,064 12,770 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory 0.1% 0.1% 0.1% 0.2% 0.3% 0.4%
Under construction in sq.ft. - - 9,014 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory - - 0.0% 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $13 $21 $44 $24,585 $21,801 $18,723 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $127 $91 $175 $237 $204 $192 Prices are not rising as fast than nationally
Market cap rate 8.8% 8.8% 8.6% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) 14.9 16.2 11.7 15,362 15,397 12,896
Y/Y change ('000) 0.8 1.7 (5.5) 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment 9.1% 9.8% 7.4% 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has lower absorption than nationally
The area has lower absorption than nationally
Less delivered space relative to inventory than nationally
Cap rates are higher than nationally
The area has a higher vacancy rate than nationally
Lower fraction of workers in leisure industry than nationally
Job creation in the leisure industry is stronger than nationally
Cap rates are higher than nationally
The area has stronger retail trade job creation than nationally
Relatively more units delivered than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has lower vacancy rate than nationally
Peoria, IL
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 40420
The Rockford, IL commercial real estate market is not as strong compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 28.0
Overall economic conditions are not as strong than nationally.
The apartment property market is not as strong than nationally.
The office property market is stronger than nationally.
The industrial property market is not as strong than nationally.
The retail property market is not as strong than nationally.
The hotel/lodging property market is stronger than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 143 140 139 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 4 (0) (12) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 2.9% -0.1% -7.7% 4.1% 4.0% -6.0%
Unemployment rate (%) 7.6% 8.6% 7.8% 4.2% 4.7% 6.7%
Average weekly wages $922 $891 $933 $1,080 $1,073 $1,038
Wage growth, year-over-year -0.7% 2.5% 4.0% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -8.8% -1.1% 3.1% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $61,078 $55,829 $55,484 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) (2.4) (2.0) (2.1) 0 0 0
Population ('000) 334 336 337 331,501 328,330 326,838
Population growth (%) -0.50% -0.36% -0.35% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 3.2% 3.3% 3.2% 4.6% 4.6% 6.6%
Absorption of units over the quarter 14 (29) 7 78,063 189,629 94,740
Absorption of units in past 12 months 23 16 48 714,672 731,349 376,273
Absorption in past 12 months as % of inventory 0.3% 0.2% 0.6% 4.2% 4.3% 2.3%
Market asking rent per unit $873 $869 $824 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 5.9% 5.4% 3.9% 11.3% 10.6% 0.5%
Effective rent per unit $870 $866 $821 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 6.0% 5.5% 3.9% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 10.9% 11.2% 10.1% 16.3% 16.3% 15.2%
Supply indicators
Inventory 7,910 7,896 7,888 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months 18 18 - 369,993 387,542 434,591
Net delivered units, as % of inventory 0.2% 0.2% - 2.2% 2.3% 2.6%
Units under construction - - 18 681,402 692,701 687,551
Units under construction, as % of inventory - - 0.2% 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units 222.2 (11.1) - 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) $5 $47 $11 $86,764 $63,211 $47,522 Sales transactions are not rising as fast than nationally
Transaction sales price per unit $47,083 $71,421 $70,120 $235,199 $231,697 $212,033 Prices are not rising as fast than nationally
Market cap rate 7.8% 7.8% 7.6% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 7.8% 8.1% 11.9% 12.2% 8.1% 11.9%
Absorption in sq.ft. over the quarter 16,462 52,390 (300,144) 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months 325,513 8,907 (325,369) (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory 4.4% 0.1% -4.6% -0.5% -1.2% -1.0%
Market rent per sq.ft. $16.1 $16.0 $15.9 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 1.2% 1.5% 0.6% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) (0.4) (0.3) 0.0 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 7,362,050 7,345,588 7,036,537 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. - - 10,018 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory - - 0.1% 0.8% 0.8% 0.6%
Under construction in sq.ft. - - - 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory - - - 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $4 $1 $1 $28,031 $29,974 $21,646 Sales transactions are rising faster than nationally
Transaction sale price per sq.ft. $12 $71 $59 $305 $306 $301 Prices are not rising as fast than nationally
Market cap rate 10.4% 10.4% 10.6% 7.0% 7.0% 7.0%
The area has stronger absorption than nationally
U.S.
Rockford, IL
Population growth is slower than nationally
More jobs per delivered units than nationally
The area has a lower vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic out-migration
Job creation is weaker than nationally
Unemployment rate is higher than nationally
Wages are rising at a slower pace than nationally
Cap rates are higher than nationally
Rockford, IL
Cap rates are higher than nationally
The area has a lower vacancy rate than nationally
Renting is more affordable than nationally
The area has lower absorption than nationally
Rents are rising more slowly than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 40420
Rockford, IL
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 7.6% 7.5% 9.3% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter (58,501) 219,935 281,897 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months 360,110 700,508 128,193 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory 1.0% 1.9% 0.4% 3.0% 2.7% 1.4%
Market rent per sq.ft. $4.6 $4.5 $4.3 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 6.4% 5.4% 2.8% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 36,551,072 36,290,572 35,871,960 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. (313,500) (313,500) 66,856 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory -0.9% -0.9% 0.2% 1.7% 1.8% 1.9%
Under construction in sq.ft. 160,360 160,360 - 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory 0.4% 0.4% - 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) $6 $21 $32 $34,773 $30,151 $29,578 Sales transactions are not rising as fast as nationally
Transaction sale price per sq.ft. $29 $94 $27 $144 $127 $110 Prices are not rising as fast than nationally
Market cap rate 8.9% 8.8% 8.8% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 6.5% 6.8% 7.8% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter 61,683 (24,404) 191,666 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months 336,293 466,276 (114,814) 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory 1.6% 2.2% -0.6% 0.7% 0.4% -0.3%
Market rent per sq.ft. $12.8 $12.7 $12.6 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 1.5% 1.1% 0.4% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) 0.30 (0.20) (1.00) 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 20,799,276 20,737,592 20,462,984 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. 43,848 42,048 24,580 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory 0.2% 0.2% 0.1% 0.2% 0.3% 0.4%
Under construction in sq.ft. 112,136 113,936 70,000 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory 0.5% 0.5% 0.3% 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $16 $25 $14 $24,585 $21,801 $18,723 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $108 $50 $48 $237 $204 $192 Prices are rising faster nationally
Market cap rate 9.4% 9.4% 9.1% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) 13.0 13.6 10.7 15,362 15,397 12,896
Y/Y change ('000) 1.7 1.7 (3.7) 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment 9.1% 9.7% 7.7% 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has lower absorption than nationally
Less deliveries relative to inventory than nationally
The area has stronger absorption than nationally
More delivered space relative to inventory than nationally
Less delivered space relative to inventory than nationally
Cap rates are higher than nationally
The area has a higher vacancy rate than nationally
Lower fraction of workers in leisure industry than nationally
Job creation in the leisure industry is stronger than nationally
Cap rates are higher than nationally
Construction activity is more robust than nationally
The area has stronger retail trade job creation than nationally
Relatively more units delivered than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has higher vacancy rate than nationally
Rockford, IL
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 44100
The Springfield, IL commercial real estate market is not as strong compared to the overall U.S. market.
NAR Commercial Real Estate Market Conditions Index* 28.0
Overall economic conditions are not as strong than nationally.
The apartment property market is not as strong than nationally.
The office property market is stronger than nationally.
The industrial property market is not as strong than nationally.
The retail property market is not as strong than nationally.
The hotel/lodging property market is stronger than nationally.
I. Economic and Demographic
Economic 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Total non-farm employment ('000) 104 104 101 150,098 147,650 143,602
Y/Y chg.in nonfarm payroll employment ('000) 1 2 (8) 5,977 5,704 (9,244)
Y/Y % chg. in nonfarm payroll employment 1.4% 1.6% -6.9% 4.1% 4.0% -6.0%
Unemployment rate (%) 4.4% 4.4% 7.3% 4.2% 4.7% 6.7%
Average weekly wages $963 $941 $1,005 $1,080 $1,073 $1,038
Wage growth, year-over-year -1.2% 2.0% 13.4% 4.8% 4.5% 6.7%
(data are as of last month of the quarter)
2020 2019 2018 2020 2019 2018
GDP growth (%) -6.2% -0.2% 3.3% -3.4% 2.3% 2.9%
2019 2018 2017 2019 2018 2017
Median household income $62,205 $63,521 $61,573 $87,470 $84,423 $81,284
Demographic 2020 2019 2018 2020 2019 2018
Net domestic migration ('000) (1.1) (1.3) (1.7) 0 0 0
Population ('000) 206 207 208 331,501 328,330 326,838
Population growth (%) -0.55% -0.49% -0.66% 0.97% 0.46% 0.53%
II. Multifamily
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 6.6% 6.6% 7.4% 4.6% 4.6% 6.6%
Absorption of units over the quarter (1) 8 6 78,063 189,629 94,740
Absorption of units in past 12 months 58 65 (75) 714,672 731,349 376,273
Absorption in past 12 months as % of inventory 0.9% 1.0% -1.2% 4.2% 4.3% 2.3%
Market asking rent per unit $793 $782 $743 $1,543 $1,532 $1,387
Market asking rent per unit, y/y % chg 6.7% 5.9% 3.2% 11.3% 10.6% 0.5%
Effective rent per unit $790 $780 $740 $1,534 $1,523 $1,367
Effective rent per unit, y/y % chg 6.7% 6.0% 3.3% 12.2% 11.6% -0.1%
Rent as a percent of 2-person annual wage income 9.4% 9.5% 8.5% 16.3% 16.3% 15.2%
Supply indicators
Inventory 6,278 6,279 6,220 17,112,020 17,034,566 16,401,950
Net delivered units in past 12 months - - - 369,993 387,542 434,591
Net delivered units, as % of inventory - - - 2.2% 2.3% 2.6%
Units under construction - - - 681,402 692,701 687,551
Units under construction, as % of inventory - - - 4.0% 4.1% 4.2%
Ratio of jobs created to net delivered units - - - 16.2 14.7 (21.3)
(as of latest available month of the quarter)
Sales transactions
Total investment acquisitions (in million $) - - $18 $86,764 $63,211 $47,522
Transaction sales price per unit - - $37,387 $235,199 $231,697 $212,033
Market cap rate 6.9% 6.9% 6.9% 5.2% 5.2% 5.3%
III. Office
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 4.7% 5.7% 7.0% 12.2% 5.7% 7.0%
Absorption in sq.ft. over the quarter 106,069 44,274 97,277 14,567,728 5,676,582 (34,912,824)
Absorption in sq.ft. over 12 months 252,974 244,182 546,696 (39,446,204) (88,926,760) (74,605,520)
Absorption in past 12 months as % of inventory 2.4% 2.3% 5.2% -0.5% -1.2% -1.0%
Market rent per sq.ft. $15.5 $15.4 $15.3 $34.4 $34.3 $34.3
Market rent growth, y/y % chg. 0.9% 1.1% 0.0% 0.1% -0.3% -1.5%
Y/Y chg.in professional/business services jobs ('000) 0.4 0.4 0.4 1,134 1,092 (870)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 10,701,009 10,594,940 10,448,035 7,237,517,312 7,222,925,312 7,276,806,144
Net delivered over 12 months, in sq.ft. - - 374,549 59,502,409 57,367,205 45,533,641
Net delivered units, as % of inventory - - 3.6% 0.8% 0.8% 0.6%
Under construction in sq.ft. - - - 142,297,840 141,203,264 155,258,080
Under construction, as % of inventory - - - 2.0% 2.0% 2.1%
Sales transactions
Total investment acquisitions (in million $) $6 $1 $6 $28,031 $29,974 $21,646 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $22 $55 $47 $305 $306 $301 Prices are not rising as fast than nationally
Market cap rate 10.2% 10.2% 10.3% 7.0% 7.0% 7.0%
The area has stronger absorption than nationally
U.S.
Springfield, IL
Population growth is slower than nationally
The area has a lower vacancy rate than nationally
Rents are rising faster than nationally
Area is experiencing net domestic out-migration
Job creation is weaker than nationally
Unemployment rate is higher than nationally
Wages are rising at a slower pace than nationally
Cap rates are higher than nationally
Springfield, IL
Cap rates are higher than nationally
Stronger office job creation than nationally
The area has a higher vacancy rate than nationally
Renting is more affordable than nationally
The area has lower absorption than nationally
Rents are rising more slowly than nationally
NAR Commercial Real Estate Metro Market Report | 2021.Q4
Core-Based Statistical Area Code: 44100
Springfield, IL
IV. Industrial
U.S.
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 2.3% 1.8% 2.8% 4.2% 4.6% 5.5%
Absorption in sq.ft. over the quarter (34,200) 36,720 69,423 134,147,704 163,473,664 85,677,192
Absorption in sq.ft. over 12 months 41,195 144,818 271,234 502,819,872 454,349,376 223,162,272
Absorption in past 12 months as % of inventory 0.6% 2.2% 4.3% 3.0% 2.7% 1.4%
Market rent per sq.ft. $6.5 $6.4 $6.1 $9.8 $9.5 $9.0
Market rent growth, y/y % chg. 5.7% 5.0% 3.1% 8.6% 7.2% 4.6%
Supply indicators
Inventory in sq. ft. 6,404,937 6,439,137 6,363,742 16,815,425,536 16,680,851,456 16,312,040,448
Net delivered over 12 months, in sq.ft. 7,200 7,200 115,800 283,714,234 297,459,785 307,128,078
Net delivered units, as % of inventory 0.1% 0.1% 1.8% 1.7% 1.8% 1.9%
Under construction in sq.ft. - - 7,200 508,025,152 466,780,896 340,499,936
Under construction, as % of inventory - - 0.1% 3.0% 2.8% 2.1%
Sales transactions
Total investment acquisitions (in million $) - $3 $1 $34,773 $30,151 $29,578
Transaction sale price per sq.ft. - $120 $28 $144 $127 $110
Market cap rate 8.8% 8.8% 8.8% 6.3% 6.3% 6.4%
V. Retail
Demand indicators 2021 Q4 2021 Q3 2020 Q4 2021 Q4 2021 Q3 2020 Q4
Vacancy rate 4.1% 5.2% 4.2% 4.6% 4.8% 5.1%
Absorption in sq.ft. over the quarter 147,190 661 47,287 28,236,304 29,377,518 689,343
Absorption in sq.ft. over 12 months 7,889 (92,014) 3,911 76,321,048 48,774,088 (28,079,124)
Absorption in past 12 months as % of inventory 0.1% -0.7% 0.0% 0.7% 0.4% -0.3%
Market rent per sq.ft. $13.1 $13.0 $12.9 $22.5 $22.3 $21.9
Market rent growth, y/y % chg. 1.3% 0.8% 0.4% 2.8% 2.1% 0.8%
Y/Y chg.in retail trade payroll employment ('000) (0.30) 0.30 0.10 372.10 387.70 (473.90)
(as of latest available month of the quarter)
Supply indicators
Inventory in sq. ft. 12,541,444 12,394,254 12,533,555 11,209,097,216 11,180,823,552 11,132,858,368
Net delivered over 12 months, in sq.ft. - - 41,353 21,047,385 28,105,270 41,736,234
Net delivered units, as % of inventory - - 0.3% 0.2% 0.3% 0.4%
Under construction in sq.ft. - - - 50,577,712 53,660,692 52,556,572
Under construction, as % of inventory - - - 0.5% 0.5% 0.5%
Sales transactions
Total investment acquisitions (in million $) $12 $17 $13 $24,585 $21,801 $18,723 Sales transactions are not rising as fast than nationally
Transaction sale price per sq.ft. $85 $160 $54 $237 $204 $192 Prices are rising faster nationally
Market cap rate 8.3% 8.1% 8.1% 7.0% 7.0% 7.0%
VI. Hotel/Lodging
2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec) 2021 Q4 (Nov) 2021 Q3 (Sept) 2020 Q4 (Dec)
Leisure and hospitality payroll workers ('000) 8.6 9.5 6.7 15,362 15,397 12,896
Y/Y change ('000) 0.5 0.9 (3.8) 2,533.0 1,841.0 (3,541.0)
% share to nonfarm payroll employment 8.3% 9.2% 6.6% 10.2% 10.4% 9.0%
Sources of data used: CoStar®, US Census Bureau, US Bureau of Labor Statistics, and US Bureau of Economic Analysis.
*An index below 50 means local market conditions are weaker than nationally, above 50 means local market conditions are stronger, and 50 means local market conditions are about the same as nationally.
NAR derived the index by assigning 1 point for each indicator where local market conditions are better than the national (US) condition.
The total points for each local market are divided by the number of variables that are available at the local area, with 25 indicators if all the data are available. The fraction is multiplied by 100 to get the index.
Economic data may not be available for all markets. In some submarkets or metropolitan divisions (e.g., Long Island) reported by CoStar®, the economic data that is reported (e.g. employment) is of the metropolitan area
(New York-Newark-Jersey City) . The 390 markets in this report are based on the CoStar® market areas.
NAR reserves the right to add new variables or drop variables that comprise the index based on its analysis of variables that impact market trends.
Market cap rate is based on CoStar proprietary model that is based on both sales transaction cap rates and modeled cap rates based on characteristics of compararable properties in the geographic area.
Data may not be available for some markets or property types.
For information about this report, email [email protected]tor.
Visit NAR's Commercial Research webpage at
https://www.nar.realtor/research-and-statistics/research-reports/commercial-research
The area has lower absorption than nationally
Less deliveries relative to inventory than nationally
The area has lower absorption than nationally
Cap rates are higher than nationally
The area has a lower vacancy rate than nationally
Lower fraction of workers in leisure industry than nationally
Job creation in the leisure industry is stronger than nationally
Cap rates are higher than nationally
The area has weaker retail trade job creation than nationally
Rent growth is slower than nationally
Rent growth is slower than nationally
The area has lower vacancy rate than nationally
Springfield, IL
