Demographics - Unemployment & Income - the Real Estate Unknown !

National unemployment statistics of today approximates 9.8%. However it does not include the disenfranchised worker, the one who is no longer w0rking. In real estate it is typical to estimate that each user of an office building will take up 200 - 300 per sf. These absolute numbers total a very large amount of SF no longer being utilized.

Hidden from these statistics are also the new worker, those coming out of high school and college and are looking for work. These two groups are not counted in first time claims because typically they have never worked to begin with.

Also, for those on a commission or bonus basis, with the economy faltering these economic groups are making less, significantly less. While still employed they too have curtailed their spending.

Thus all of real estate is affected, some property types more directly than others. Pundits have called this phase of "the recovery" a jobless recovery... so far. However, no jobs, no sales and no one to take up 250 per SF.

America's GDP relies upon the consumer to spend in order to grow. Lower sales lower rents and increases vacancies at the retail property. Financial service sectors losses have left large amounts of office space available for rent. Fewer goods shipped less of a need for industrial space. etc;

Real demand for space in real estate is based upon the number of jobs in the market, not just the sales of a property. No jobs, No Sales and hopefully no building during this period.