The coronavirus has affected every industry and every person in some way or another, and sadly, commercial real estate is also taking a hit. Businesses continue to reopen in Maryland as cases slowly fall, but some business locations are likely to diminish.
RCLCO, a real estate consulting firm in Bethesda, Maryland, conducted a COVID-19 Real Estate Sentiment survey to discover what Marylanders’ expectations were for the commercial real estate economy. Many responded with the positive outlook that the economy would bounce back by around the end of 2020 or the beginning of 2021. It would take time to recover, but that recovery would look like a nearly symmetrical bell curve shape. Other participants voiced the expectation of a slower process; a full recovery may look like a long, gentle slope upward lasting years.
Retail & Restaurants
Retail and restaurants in Maryland have fully opened up again, and indoor dining is even allowed once more. Many restaurants have maintained take-out and delivery options since March, but for some, those measures aren’t enough. Maryland is expecting a closure of around 25% of its restaurants. As for retail, online shopping has rivaled shopping malls and shopping centers for years already, and could struggle to maintain a positive income.
On the other hand, the demand for restaurants and physical retail stores still persists, and other forms of retail, like grocery stores, have had a significant increase in sales. While life begins to look a little more normal in Maryland again, eventual recovery is still on the horizon.
Office spaces have become controversial since COVID-19. Why meet and work in person when everyone can be just as effective remotely? A trend in cutting down on commercial office space is looming nigh as working from home increases. Another change in the office space landscape is the move from open-concept layouts to closed layouts. With enclosed, individual offices, tenants can maintain distance more effectively. While these trends may cause concern for the commercial real estate market, no one yet knows how the virus will ultimately impact office spaces.
Trust the Professionals at Clagett Enterprises for Your Realty Needs
If you’re looking for an experienced property management company, the perfect realtor for your property, or a professional to assist you during your purchase of any home, you can rely on Clagett Enterprises. Clagett Enterprises is a full-service real estate company with almost 30 years of experience in the Frederick and Western Maryland area. For assistance with commercial sales, leasing, management, and development and consulting, contact us online or give us a call at 301-665-6009. To meet our team and see some of our beautiful homes, follow us on Facebook, Twitter, and Pinterest.