During the next two decades we will experience the largest wealth transfer in history. Baby boomers, born between 1946 and 1964, currently own an outsized share of America’s economic engine, and their next move could reshape entire markets.
The Numbers Are Staggering
- 50% of all commercial real estate in the U.S. is held by baby boomers.
- Nearly half of all small businesses are owned by them.
- They also control millions of investment properties across the country.
- 10,000 baby boomers retire daily.
- $68 trillion in wealth transfer projected by 2030 and $124 trillion by 2048.
For decades, these assets have been the backbone of local economies. But with the oldest boomers now in their late 70s, the question is no longer if they will transition out — it’s how.
Why This Matters
When one generation controls this much of the nation’s business and property base, their collective exit will have ripple effects. The decisions they make in the next 5–10 years will influence:
- Property values in both local and national markets.
- Business continuity for employees, customers, and communities.
- Investment opportunities for the next wave of owners.
If a large portion of boomers sell at once, it could create both challenges and opportunities — potentially leading to lower sale prices for sellers and great buys for savvy investors.
The Exit Strategy Gap
Here’s the catch, studies show a significant portion of baby boomers do not have a formal exit plan. Many are delaying decisions, either because they love their work, feel emotionally tied to the asset, or are unsure of the best path forward.
This leaves three common scenarios:
- Outright Sale – Selling to investors or other businesses.
- Succession/Family Transfer – Passing it to children or key employees.
- Liquidation – Closing shop and selling off the assets piece by piece.
Without planning, owners risk losing value, paying more in taxes, or watching their business or property underperform during transition.
Why Now Is the Time to Plan
Markets are cyclical. Interest rates, buyer demand, and economic trends can all work for or against an owner. Acting during the right window can make the difference between a premium sale price and a disappointing exit.
For baby boomer owners, the clock is ticking. Whether you plan to sell in two years or ten, the smartest move is to start strategizing now.
At Solex Commercial Real Estate, we understand these conversations aren’t easy, but you can trust us to help you navigate the complexities of family dynamics and generational wealth transfers in commercial real estate.
Hani Aldulaimi, CCIM
Managing Director
Solex CRE
