Over the past several months, my team and I have had many conversations with clients about the US property markets. While uncertainty is part of the landscape, a few clear trends are emerging that are shaping investor strategies, especially in construction and real estate.
Mixed-Use & Multi-Family Developments
Mixed-use and multi-family projects continue to capture attention. These developments aren’t just about building housing; they’re about creating integrated live-work-play communities. From an investment perspective, they make sense: more efficient use of land, potential for diversified revenue streams, and the ability to respond to evolving demographic demands.
Caution Around Traditional Office Spaces
Traditional office properties, particularly Class B and C buildings, are seeing more scrutiny. Investors are increasingly prioritizing assets that can adapt to demographic shifts, align with ESG goals, and take advantage of tax-incentivized redevelopment opportunities. Flexibility is key and the properties that can pivot in response to market demands are more attractive than ever.
Economic & Tax Considerations
Federal tax legislation passed in the summer of 2025 offers positive signals for real estate and construction, including bonus depreciation, an extended opportunity zone program, and a permanent qualified business income deduction. These provisions can help structure investments more strategically and improve cash flow.
However, challenges remain. Recent tariffs on imported materials like steel and aluminum are expected to drive up construction costs, forcing investors and developers to be more thoughtful about project budgeting and timing.
The Power of Data
One thing we emphasize in our client conversations is the power of data. Understanding the numbers allows investors to structure deals to maximize available credits, defer gains where possible, and preserve depreciation benefits. A data-driven approach isn’t just smart, it’s essential in today’s market.
Real estate investing in the US requires balance: staying agile in the face of economic uncertainty while capitalizing on opportunities to create value. Those who combine market insight, flexibility, and strategic planning are the ones best positioned to thrive.
If you need further guidance or have any questions on this topic, we are here to help. Please do not hesitate to reach out to discuss your specific situation.
This material has been prepared for general, informational purposes only and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. Should you require any such advice, please contact us directly. The information contained herein does not create, and your review or use of the information does not constitute, an accountant-client relationship.
