T
he US commercial real estate market is showing signs of a rebound, driven by strong consumer demand and accelerated decision-making. According to Avison Young, sectors like industrial, data centers, multifamily, and experiential retail are leading the way, while hybrid work continues to redefine office space.

    Harry Klaff, Principal and U.S. President of Avison Young, notes that confidence is returning, decisions are accelerating, and the market is turning a corner. The industrial sector is experiencing sustained growth due to strong consumer spending and data demands from AI adoption. Warehousing, logistics, and data center facilities are in high demand, particularly in markets with access to tech infrastructure and transportation hubs.

    The office sector is adapting to evolving work habits, with hybrid models softening overall demand but Class A office space remaining in demand among companies seeking premium environments. Tech-driven startups are moving towards higher-end office locations in innovation hubs like California, Manhattan, and Austin.

    Retail is shifting towards experiential models, while multifamily housing shows strong absorption trends in urban and transit-accessible markets. The acceleration of AI adoption is driving a wave of innovation across industries, increasing demand for tech talent, lab space, and data infrastructure.

    AI-focused companies are expanding their physical footprints, often choosing premium office locations near top universities and venture capital hubs. Despite ongoing tariff disputes and global supply chain disruptions, the current trajectory reflects renewed energy in US commercial real estate, driven by technology transformation and consumer engagement.