• Vacancy continues to decline and rental rates are increasing in office and industrial properties.

• Class A properties in all property types have seen the most significant increases in rates and the greatest amount of leasing activity, causing a constraint in supply.

• The resultant lack of supply in Class A properties has provided a boost in rental growth for Class B and C properties.

• Investor demand remains high, while supply is limited.

• Speculative construction is still limited in office and industrial, but with continued increases in rent we inch closer to a point where developers can rationalize building.

• A tight labor pool along with regulatory compliance, permits and fees are key barriers to allowing for more speculative construction.

• Median home prices will continue to increase but may be more tempered than last year.