In this issue
Real Estate Matters - 2026, Issue 2
C&I Council: 2026 Real Estate Outlook...1
Strategic Vision: How Master Planning Drives Successful Real Estate Development...1
President’s Message...2
Lancaster Market: Key Observations by Asset Class...5
Adaptive Reuse of Industrial Buildings: A Brief History and Modern Conversion Playbook...7
President's Message
Thank you to everyone who joined us for the 40th Annual Lancaster Commercial & Industrial Real Estate Council meeting. In this issue of Real Estate Matters,we highlight key insights from my remarks at the meeting and updates shared by our asset class leaders. As we look ahead, the economic landscape continues to demonstrate both resilience and ongoing recalibration amid evolving market conditions.
Real GDP growth continues to out-perform expectations, supported by strong consumer spending and steady business investment. While inflation remains elevated, the Federal Reserve’s stance of maintaining higher interest rates is aimed at ensuring long-term stability. Job growth is expected to moderate in 2026 as businesses adapt to AI-driven efficiencies, demographic workforce pressures, and tariff-related uncertainties.
Across the real estate landscape, we continue to see varied but largely positive momentum. Industrial demand is buoyed by reshoring, e-commerce, and data center expansion. The multifamily sector remains stable, with controlled rent growth and ongoing affordability challenges. Retail continues to adapt, maintaining strong occupancy in prime centers. Office demand is showing early signs of stabilization, particularly in markets like Lancaster, where supply remains limited and high-quality space continues to attract tenants.
Locally, Lancaster’s performance stands out once again. Office absorption has reached its strongest level since COVID, industrial development remains robust, and multifamily fundamentals reflect healthy demand despite broader national headwinds. Our teams continue to pursue strategic growth while supporting our region’s evolving needs.
As we navigate these dynamics together, our focus remains on disciplined execution, long‑term value creation, and strengthening the communities we serve. Thank you for your continued partnership and support as we move forward into a promising 2026.
Mark Fitzgerald
President and Chief Operating Officer
High Real Estate Group LLC
