Surban Office Market in Limbo

Office buildings in New York, Washington, and San Francisco have been showing an unexpected recovery. Unfortunately, the surburban market hasn't been so lucky. Vacancy rates have started to fall in cities while staying flat in the suburbs, in part due to declines in the surburban heavy seactors such as housing. The index tracking suburban office property values has stayed relatively flat after falling more than 42% from peaks.

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Renter Nation provided by Barron's

The recession and shifting demographics will swell the ranks of people who will rent, not buy, housing over the next five years.

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