Commercial Real Estate - Argentina

  • Argentina
  • The projected value of the Commercial Real Estate market market in Argentina is expected to reach US$1.10tn in 2024.
  • It is anticipated to have an annual growth rate (CAGR 2024-2028) of 2.62%, leading to a market volume of US$1.22tn by 2028.
  • When compared globally, the United States is forecasted to generate the highest Real Estate value with US$25,370.00bn in 2024.
  • The commercial real estate market in Argentina is experiencing a surge in demand due to the country's growing economy.

Key regions: United Kingdom, China, Asia, France, Europe

 
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Analyst Opinion

The Commercial Real Estate market in Argentina has been experiencing significant growth and development in recent years.

Customer preferences:
Customers in the Commercial Real Estate market in Argentina are increasingly looking for modern and well-equipped office spaces. They prefer locations that offer easy access to transportation and amenities such as restaurants, cafes, and retail outlets. Additionally, there is a growing demand for flexible office spaces that can accommodate the changing needs of businesses.

Trends in the market:
One of the key trends in the Commercial Real Estate market in Argentina is the increasing popularity of coworking spaces. This trend is driven by the rise of startups and small businesses that prefer the flexibility and cost-effectiveness of shared office spaces. Coworking spaces also provide networking opportunities and a collaborative work environment, which is appealing to many entrepreneurs. Another trend in the market is the growing interest in sustainable and green buildings. Customers are increasingly conscious of the environmental impact of their office spaces and are seeking buildings that are energy-efficient and environmentally friendly. Developers are responding to this trend by incorporating sustainable features into their projects, such as solar panels, green roofs, and efficient heating and cooling systems.

Local special circumstances:
Argentina has a large and diverse economy, with various industries driving the demand for commercial real estate. The country has a strong agricultural sector, as well as a growing technology and services industry. This diversity in the economy creates a demand for different types of commercial real estate, ranging from warehouses and logistics centers to office spaces and retail outlets.

Underlying macroeconomic factors:
The Commercial Real Estate market in Argentina is influenced by several macroeconomic factors. One of the key factors is the overall economic growth of the country. When the economy is growing, businesses expand and require more office spaces and commercial properties. On the other hand, during economic downturns, there may be a decrease in demand for commercial real estate as businesses scale back their operations. Another important factor is the interest rate environment. Lower interest rates make borrowing more affordable, which can stimulate investment in commercial real estate. Conversely, higher interest rates can make borrowing more expensive and dampen demand for commercial properties. Government policies and regulations also play a role in shaping the Commercial Real Estate market in Argentina. Policies that promote foreign investment and ease of doing business can attract more investors and drive demand for commercial properties. Additionally, regulations related to zoning and construction permits can impact the availability and cost of commercial real estate. In conclusion, the Commercial Real Estate market in Argentina is experiencing growth and development driven by customer preferences for modern and flexible office spaces, as well as sustainable and green buildings. The diverse economy of Argentina creates demand for different types of commercial properties, and macroeconomic factors such as economic growth, interest rates, and government policies also influence the market.

Methodology

Data coverage:

Figures are based on value of commercial real estate.

Modeling approach / Market size:

Market sizes are determined by a bottom-up approach. As a basis for evaluating this market, we use national statistical offices. Next, we use relevant key market indicators and data from country-specific associations such as share of industry, manufacturing, and services of the GPD, price level index, GDP. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the market, for example, exponential trend smoothing.

Additional Notes:

The market is updated twice per year in case market dynamics change. The impacts of the Russia-Ukraine war are considered at a country-specific level.

Overview

  • Value
  • Analyst Opinion
  • Methodology
  • Key Market Indicators
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