Newmark Knight Frank researchers across the U.S. collaborated to examine six popular commercial real estate myths of 2018 and determine to what extent they are anchored in reality. For each myth, we summarize the popular theory from a national perspective, then address the reality with examples from three major metro markets. Key findings of the report include:

• Myth: Brick-and-mortar retail is being replaced by e-commerce
  Reality: Brick-and-mortar retail remains vital, but a transformation toward experiential retail is accelerating
• Myth: Office design is primarily about efficiency and cost control
  Reality: Office design is about creating productive workspaces and attracting/retaining talent
• Myth: Foreign investors have soured on U.S. commercial real estate
  Reality: Foreign investors are becoming more cautious but are still investing significantly in U.S. commercial real estate
• Myth: Older, close-in industrial product is often vacant and obsolete
  Reality: Industrial locations close to major cities are highly desirable for last-mile distribution facilities
• Myth: Suburban office locations are no longer desirable
  Reality: Suburban office space is highly desirable to some tenant types, particularly if the space is amenity-rich
• Myth: Millennials are the future of multihousing demand
  Reality: Seniors and boomers are increasingly drawn to apartment living