“We are well into the current nine-year economic cycle- second longest in the post WWII era to date. However, actual growth is a middle-of-the-road 23 percent. The key trend has been consumer confidence supporting consumption, as people are buying more products than before (retail up 6%). While the current cycle is projected to remain positive overall, labor force shortages and construction costs are on the minds of developers. There are currently seven million job openings and only 6.1 million looking for work. In all, labor shortage that drives wage growth, construction costs, and tariffs are all contributing to inflation. This inflation though, does not necessary predict bad news for the commercial real estate industry.”