CRE Index Edges Down

A commercial real estate index maintained by the National Association of Realtors edged down in the first quarter, its third straight quarterly decline after hitting a record high last year, according to the NAR. The Commercial Leading Indicator for Brokerage Activity stood at 119.0 in the first quarter, down 0.7% from a downwardly revised 119.9 in the fourth quarter, the association reported. The record high of 120.5 was reached in the second quarter of 2007. "The moderate erosion in the index suggests that commercial activity, as measured by net absorption and the completion of new commercial buildings, will be positive but somewhat weaker over the next six to nine months," said NAR senior economist Lawrence Yun. "Private nonresidential investment in structures is likely to subtract one-third to one-half percentage point off [gross domestic product] growth." The association can be found online at http://www.realtor.org.