IRVINE, Calif., Sept. 9, 2025 /PRNewswire/ — LightBox, a leading provider of commercial real estate data and technology, today released its August CRE Activity Index, which slipped to 104.8, down from July’s 111.8 and June’s multi-year high of 116.2. While part of the decline reflects the typical late-summer slowdown, the dip also signals rising caution as market participants digest a mix of economic signals on inflation, jobs, corporate earnings, and consumer spending.
“August’s dip is in part due to the usual summer lull, but perhaps also a reflection of growing market caution,” said Manus Clancy, head of Data Strategy at LightBox. “With job data showing softening, corporate earnings pointing to stress, and tariff uncertainty clouding forecasts, the pullback is understandable.”
Despite the two-month downturn, the latest LightBox Index reading has now registered seven consecutive months above the 100-point benchmark for healthy CRE activity. Moreover, the 12-month moving average climbed to 100.1, breaking the 100-point benchmark for the first time since early 2022.
The CRE LightBox Activity Index, rooted in more than 30,000 data points, is the industry’s early measure of appraisals procured, properties coming to market, and environmental due diligence demand.
- Commercial property listings dropped 12% month over month following a similar decline in July after strong gains in June, reflecting a pause in momentum after steady growth earlier this year.
- Pre-transaction and lending environmental due diligence, measured by the volume of Phase I ESA activity, continued its steady streak for the third straight month.
- Lender-driven commercial appraisal volume fell a modest 3% in August, as rate uncertainty and tariff concerns weighed on underwriting.
The report notes that the broader macro backdrop continues to shape sentiment. GDP growth was revised upward in Q2, but momentum slowed through the first half of 2025 as consumer spending softened, the labor market showed cracks, and inflation pressures persisted.
“Even with mostly positive corporate earnings, the reliance on cost-cutting and automation underscores fragility below the surface, reinforcing a cautious lending and investment environment,” said Dianne Crocker, research director at LightBox.
The report highlights recent steady momentum heading into Q4, with summer deal flow holding firm and sales above $50 million continuing at a strong pace. While underwriting remains cautious amid tariff uncertainty, labor softness, and inflation, lenders are still putting capital to work, particularly on lower-risk transactions. Investor enthusiasm is already building around the prospect of a September Fed rate cut, which could provide an added boost to lending and investment in the final months of the year.
“The next few months will be critical for gauging whether CRE can sustain this momentum,” said Clancy. “Historically, September marks a rebound as capital re-engages post-summer, and this year that bounce could be amplified if the Fed delivers its widely expected rate cut.”
Download the August CRE Activity Index
About LightBox
At LightBox, we are at the forefront of delivering advanced and precise solutions for commercial real estate intelligence. Our dedication to innovation propels real estate professionals forward by providing them with the essential tools required to navigate complex decisions, minimize risk, and boost productivity across the spectrum of real estate operations. LightBox is renowned for its commitment to promoting excellence and fostering connections in the industry, serving an extensive clientele of over 30,000 customers. Our diverse client base spans commercial and government sectors, including but not limited to brokers, developers, investors, lenders, insurers, technologists, environmental advisors, appraisers, and other businesses that depend on geospatial information. To discover more about how LightBox can illuminate the path to informed real estate solutions, visit us at: www.LightBoxRE.com
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