The latest Allen Matkins/UCLA Anderson Forecast California Commercial Real Estate Survey provides clues to current commercial real estate asset prices and a turn around in the market. Over the past 18 months Class A commercial real estate values have increased to near peak levels. The increase is not supported by the current rental and occupancy rates. This rise in asset prices is either an indicator of investor expectations of improving fundamentals over the next three to four years or the beginning of a new asset bubble.
