CRE Firms Must Develop New Talent to Thrive
It’s well known that companies are focused on competing for the best employees. The so-called War for Talent was in full swing even when unemployment levels reached double digits. Now that the unemployment rate has fallen to a historically low 4.4 percent, the commercial real estate sector is feeling the pinch of tight labor markets in multiple ways.
A lack of qualified labor is having an impact on real estate demand as well as new supply. As companies have difficulty hiring the people they need, the need for expansion space is diminished. And new development is hindered in part by rising construction costs, brought on by a shortage of experienced construction workers.