A soft landing is still possible as the US economy enters a transition phase, a leading CRE analyst told attendees at the GlobeSt Fall Net Lease conference last week in Los Angeles.
"The economy will transition," Natalie Ambrosio Preudhomme, associate director at Moody's Analytics, said Tuesday. "There will be further softening, but no cliff. We expect to see a small increase in growth in the near term."
Preudhomme says Moody's expects the labor market to remain steady but unemployment to increase to hit 3.9% by year-end and peak at 4.2% sometime next year. Occupancy and rents are expected to struggle "a bit" in the near term as well, but Preudhomme said the overall expectation is that the financial system will remain "fairly stable."
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