The research firm says an overvaluation of the bond market will cause U.S. office building prices to fall by 40% by the end of next year
According to Capital Economics, an increase in bond yields may cause a collapse in prices in the office sector. This is because rising Treasury bond yields may impact office building capitalization rates, driving down prices. The company forecasts that office prices could fall 40% from peak to trough by the end of next year. Landing …