Market confidence continues to shrink

The commercial real estate market, from a national and global perspective, teeters on another possible downturn, say top executives of large publicly traded firms in the industry.

The comments, which CEOs made during recent second-quarter earnings calls, are part of a report on the industry from CoStar, a real estate data firm. The major theme in the report is that even though sales activity, especially in the U.S. and South America, is solid, several problems hover over the industry. These issues aren't new, from uncertainty about elections to slow job growth to the European economic mess.

Another trend doesn't bode well for Gulf Coast landlords: Tenants nationwide continue to delay expansion decisions, which has led to a decrease in lease volumes and rates. For example, Chicago-based Jones Lang LaSalle projects leasing volumes in 2012 will be 10% lower than 2011, according to CoStar.