Post-pandemic real estate begins to show signs of recovery

June 6, 2026 - 02:42

The commercial real estate sector, which took a heavy hit during the pandemic, is finally showing faint but noticeable signs of a rebound. Bruce Mosler, global brokerage chairman at Cushman & Wakefield, recently offered his analysis of the current state of the market, focusing on key hubs like New York and California.

Mosler noted that while the office market remains under pressure due to hybrid work models, there is a growing sense of stability. In New York City, leasing activity has picked up, particularly for high-quality, amenity-rich spaces. Tenants are no longer just waiting out the market; they are making decisions, which is a positive shift from the paralysis seen in 2020 and 2021.

California presents a more mixed picture. The tech-heavy markets of San Francisco and Silicon Valley are still struggling with high vacancy rates, largely due to layoffs and remote work policies. However, Mosler pointed out that life sciences and biotech firms are absorbing space, providing a much-needed buffer. He also emphasized that the flight to quality is real. Older, less efficient buildings are being left behind, while newer, sustainable properties are attracting tenants willing to pay a premium.

The overall takeaway, according to Mosler, is cautious optimism. The market is not roaring back, but it is healing. Investors are starting to see opportunities again, especially as interest rates show signs of stabilizing. The post-pandemic real estate landscape will not look like it did before, but the foundation for a recovery is being laid, one lease at a time.