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J. Chie, Esquire

Our law firm provides legal work for real estate closings for over 30 years… What distinguishes Chicago Commercial Appraisal Group from other appraisers is the level of thoroughness and details.

A. Raila, Senior Tax Analyst

Gary is a hands-on professional always willing to pick up the phone and work with you... His appraisal firm produces one of the best real estate forecasting reports in the state. I highly recommend his work and his opinion is highly recognized by governmental agencies.

J. Norris, Property Tax Attorney

As an attorney, we deal with many appraisal reports used in tax appraisals. Gary's work has proven successful for our clients and I do not hesitate recommending him for tax assessment appeal appraisals.

C. Noone, property owner

I needed an appraisal for settling an estate. Mr. Peterson was very professional, punctual and helpful with the process. I received my report ina timely manner. I would certainly recommend this company, as well as use their services in the future.

J. Tsiaousis

Gary is one of the top commercial appraisers in Chicago. Every time I have a client in need of a commercial appraiser I refer all work to him without hesitation.

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Commercial Property Values Are Plummeting

The dramatic increases in interest rates are starting to noticeably hit commercial property values.  Green Street’s October 2022 price index reports the following national property value declines off recent peaks:


Shopping Malls           -23%

Apartments                 -17%

Warehouses                 -17%

Office Buildings         -14%


For all commercial property types, the decline is 13% from a peak earlier this year.   This is the largest decline since the 2008 financial crisis when prices dropped 35% according to Peter Rothemund, a researcher at the real estate analytics firm Green Street.


There is an obvious relationship with the cost of capital and property values. Sometimes, the price declines are mitigated by a compression in capitalization rates where buyers are willing to take lower returns.  In this case, the very steep increases in loan rates are noticeably impacting values.  The Federal Reserve’s 75-point bump was the fourth increase of that size.


In the South 2022 Tri this will become a bigger issue.  Even early 2021 sales could reflect market conditions that are no longer attainable. We will be keeping an eye out for such potential overassessments.

This data was reported in Bloomberg on November 4, 2022, in an article by John Gittelsohn.