Press Releases

June 14, 2018

Houston – Outlining solid performance across key economic indicators, Transwestern’s latest edition of “the BRIEFING” finds that the U.S. economy has continued to thrive throughout the second quarter of 2018, a theme that will continue to play heavily during midterm elections.

“Thanks to a boost from year-end tax reform, we’ve witnessed stable, controlled growth throughout the first half of 2018,” said Tom McNearney, Transwestern Chief Investment Officer. “With unemployment at an 18-year low and wages rising, we expect to see a slight rise in GDP later this year.”

May unemployment fell to 3.8 percent nationally, while wages rose 2.7 percent from a year earlier. In addition, S&P 500 companies reported first-quarter earnings growth of 24.5 percent, the strongest gain in more than eight years, while bank profits soared 27.5 percent compared to the same period a year ago. Household formation remains healthy, driving robust consumer and business sentiment.

This rosy picture, however, is tainted by signs of political volatility, most notably an Italian political crisis that sparked a global equity selloff and raised concerns over the future of the European Union. Also, potential retaliation to U.S. tariffs on steel and aluminum from other nations may dampen trade relations.

“All eyes are on the global stage, because actions can quickly change the course the U.S. economy is enjoying,” McNearney said.

He continued, “For now, from a commercial real estate perspective, a lagging construction pipeline has kept supply largely in balance with user demand, pushing occupancy and rental rates upward. Property cash flows have slowed but are still growing, and lender and investor caution provide some buffers against overheating.”

Download the full report, including 20 fast facts for the big picture, at:


Transwestern is a privately held real estate firm of collaborative entrepreneurs who deliver a higher level of personalized service – the Transwestern Experience. Specializing in Agency Leasing, Tenant Advisory, Capital Markets, Asset Services and Research, our fully integrated global enterprise adds value for investors, owners and occupiers of all commercial property types. We leverage market insights and operational expertise from members of the Transwestern family of companies specializing in development, real estate investment management and research. Based in Houston, Transwestern has 35 U.S. offices and assists clients through more than 211 offices in 36 countries as part of a strategic alliance with BNP Paribas Real Estate. Experience Extraordinary at and @Transwestern.

Media Contact:

Stefanie Lewis