Commercial Real Estate Delivers $3.5 Trillion Boost to U.S. GDP and Supports 20.4 Million Jobs, New NAIOP Research Finds

Download the Report: naiop.org/contributions26

WASHINGTON, Jan. 29, 2026 /PRNewswire/ -- Commercial real estate (CRE) continues to be a cornerstone of the U.S. economy, generating trillions of dollars in economic activity and supporting tens of millions of jobs, according to a new report released by the NAIOP Research Foundation.

Using 2025 data, the study examines the economic contributions of commercial real estate from new development and the ongoing operations of existing buildings. It finds that direct expenditures of $1.4 trillion tied to commercial real estate development and operations in 2025 rippled throughout the economy, producing significant multiplier effects across industries and regions.

New Development

• Contributed $1.6 trillion to GDP, driving employment and economic output across every phase of the development lifecycle.
• Supported 7.4 million American jobs and $555 billion in personal earnings, spanning construction, professional services, and building operations and supporting local economies nationwide.

Ongoing Operations
Totaling 73.8 billion square feet as of the second quarter of 2025, building operations produced an estimated $752.4 billion in direct expenditures and:

• Contributed $2.0 trillion to U.S. GDP
• Generated $697.5 billion in personal earnings
• Supported 13.1 million jobs nationwide.

Combined
The combined economic contributions of new commercial development and operations of commercial, residential, institutional and infrastructure real estate in 2025:

• Contributed $3.5 trillion to U.S. GDP
• Generated $1.3 trillion in personal earnings
• Supported a total of 20.4 million jobs

"This research underscores what communities across the country already know: commercial real estate is a major driver of economic activity," said Marc Selvitelli, president and CEO of NAIOP. "Through their work, developers help shape communities and deliver the places that support how people live and work."

New development of office, industrial, warehouse, retail and multifamily buildings generates economic activity across multiple phases, including preconstruction, site development, on-site construction, tenant improvements and initial building operations.

Commercial real estate's economic footprint also extends well beyond construction sites. Development activity supports a wide range of professional and business services, including architecture and engineering, legal services, marketing and management, site engineering, grading and paving, and interior design and construction.

"By examining both new development and existing building operations, the NAIOP Research Foundation study provides a comprehensive picture of commercial real estate's role in the U.S. economy," said Selvitelli. "The findings underscore the industry's importance not only as a driver of construction activity, but also as a long-term source of employment, income and economic stability at the national, state and local levels."

The full report includes detailed national and state-level data, including top states for development overall and by the sectors of industrial manufacturing, warehouse, office, retail and multifamily.

About NAIOP

NAIOP, the Commercial Real Estate Development Association, is the leading organization for developers, owners, investors and related professionals in office, industrial, retail and mixed-use real estate. NAIOP provides unparalleled industry networking and education and advocates for effective legislation on behalf of our members. NAIOP advances responsible, sustainable development that creates jobs and benefits the communities in which our members work and live. For more information, visit naiop.org.

About the NAIOP Research Foundation

The NAIOP Research Foundation was established in 2000 as a 501(c)(3) organization to support the work of individuals and organizations engaged in real estate development, investment and operations. The Foundation's core purpose is to provide information about how real properties impact and benefit communities throughout North America. For more information, visit naiop.org/researchfoundation.

Note to Editors: Please note that the official/legal name of the association is NAIOP.

If additional information is needed, the association can be called NAIOP, the Commercial Real Estate Development Association. The former name (National Association of Industrial and Office Properties) is no longer accurate and was changed in January 2009.

SOURCE NAIOP