Many of us have seen more than one commercial real estate market cycle from boom to bust and back again, but many have not. Those who are relatively new to the assessment profession may benefit from a look at results from IncomeWorks over the past few years.
The patented IncomeWorks model has been in existence since 2003, but most interesting might be a snapshot of how values of average ranked properties changed since recovery began after the Great Recession to about 10 years later, in one of our client markets.
Within a specific segment of each of these general Property Type sectors: Apartment, Retail, and Hotel, a particular property subtype is summarized below. Note the contrast in rates of change over time:
Changes are dynamic, non-linear and distinctly different by property type. Given how quickly a jurisdiction can get behind on values, it is clear your job as an Assessment Professional is critical. Good choice!