Reuters reported that commercial real estate markets in many parts of the world are falling and in the United States, things are poised for a deep and lingering dive.

Commercial real estate markets around the globe are facing debt repayment issues, declining values, and deteriorating rents and occupancies in different combinations. Prices are resetting lower at different speeds and magnitudes country by country.

Mr Jacques Gordon global strategist and head of Research for LaSalle Investment Management told the Reuters Real Estate Summit that "I have never seen the sector get so tied up in knots as it is right now."

Mr Gordon said that "The UK is way out ahead. We do not see the US teed up to be the number two in the re pricing process. We are seeing Australia, even signs of Japan and Germany out ahead in terms of re pricing."

According to research firm Real Capital Analytics, commercial real estate sales worldwide in the second quarter are expected to be off 67% from a year earlier, with US volume down by 83%.

(Sourced from www.reuters.com)