Navigating the California CRE Market in 2025: Challenges Businesses Face
DnG Is The KeyCalifornia remains a high-demand real estate market, but 2025 introduces new complexities for both buyers and tenants.
1. Inventory Is Still Tight
Prime locations are in short supply, driving up rental rates and limiting flexibility for small businesses.
Get an overview of California’s CRE trends in 2025.
2. Regulatory Changes Are Increasing
From environmental codes to zoning shifts, legislation like Assembly Bill 1033 is influencing where and how commercial activities can operate.
3. Flexible Spaces Are in Demand—But Hard to Find
Hybrid work models are pushing demand for shared and modular office environments, yet availability is limited.
FAQs
Q: Is now a good time to lease or buy commercial space in California?
It depends on your sector. Industrial and flex spaces remain hot, while some office markets are stabilizing.
Q: How do I stay ahead of local market shifts?
Partnering with a CRE professional and staying informed on key trends is essential.
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