Mary K. Ludgin, PhD, of Heitman Financial, gave an excellent presentation of economic forecasts for US property markets at the February 20, 2014 meeting of the CCIM Institute. She predicted accelerating job growth in 2014, though that growth rate will vary widely by city, with Texas cities among the highest and Chicago, alas, among the lowest job growth areas. Transaction volumes are back to near pre-recession highs, with cap rates a bit above 8%. Retail, office, and industrial properties should grow faster than apartments. Real property prices may or may not rise with rising interest rates. Construction levels are low, which supports continued increase in property values. Apartment values may be at their peak. Industrial values and rents are improving as demand has risen sharply, with Chicago area industrial rents up 8.5%. Increasing amounts of e-commerce warehouse space is needed in all markets. Office employment growth has risen but demand is still sluggish. Downtown Chicago demand is up, with little new construction. Retail vacancies and mall sales per square foot are up, the latter to $420, as high as the 2007 peak. Student housing has had consistent net operating income growth. Medical offices continue in demand, with low volatility. Senior housing demand and occupancy are recovering. A free copy of the presentation is available by writing email@example.com with “CCIM Forecast” in the subject line.