The Bend Chamber of Commerce hosted the 2013 Real Estate Forecast Breakfast at the Riverhouse Convention Center on March 19. Below are some of the highlights presented by speakers Bruce Kemp, partner and broker at Compass Commercial Real Estate Services, and Ralph W. Cole, SR. VP of research, Ferguson Wellman Capitol Management:
· Home values should increase 4 to 8% annually for the next couple of years.
· Lack of housing inventory in Bend will continue to put pressure on home values.
· As the economy strengthens and younger workers gain employment, members of this generation will seek housing and move out of mom and dad’s house. This should create a strong demand for apartments.
· There is a general lack of residential and industrial land in Bend.
· Industrial property in Redmond is undervalued, and lease rates remain low.
· New housing starts are up both locally and nationally.
· 2012 showed good absorption of retail and industrial space, but vacancy rates remain above average, leading to depressed lease rates for the near term.