- Land Sales Rose 3%: While the COVID-19 pandemic battered the commercial real estate market in 2020, the land market held up to the pandemic’s severe blow, according to survey participants. The 3% increase in land sales contrasts starkly with a 40% drop in commercial sales transactions of properties or portfolios of at least $2.5 million.
- Land Sales Prices Rose 2%: Respondents reported that land sales prices increased by 2% on average in 2020. In contrast, the Green Street Commercial Price Index, an appraisal-based index of the properties held by REITS, indicates that commercial real estate prices fell 6% in 2020.
- Strongest Price Increases in Residential and Recreational Land: Respondents reported that the sales price of residential land rose 6.8% on average in 2020. Recreational land had the next highest price gain, at 3.6%. The price of land for industrial use rose 3.4% while the price of ranch land rose 3.1%.
“Copyright National Association of REALTORS®. Reprinted with permission.”