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The CRE Landscape
Commercial real estate (CRE) encompasses any property used primarily for business purposes rather than residential living. The U.S. CRE market is valued at over $20 trillion across five major sectors: office (corporate headquarters, coworking spaces), retail (shopping centers, strip malls, standalone stores), industrial (warehouses, distribution centers, manufacturing), multifamily (apartment buildings with five or more units), and specialty (hotels, healthcare facilities, data centers, self-storage). Each sector has distinct demand drivers, tenant profiles, lease structures, and risk characteristics. Understanding these differences is fundamental to CRE investment analysis.