Company: MMI
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0001578732-25-000031
Chunk: 105

Company: Marcus & Millichap, Inc.
Filing Date: 2025-05-07
Form: 10-Q
Item: Part I, Item 8
Chunk 105
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764 13$20 $262 Private Client Market ($1 – <$10 million)8322,688 77,705 8082,590 73,163 2498 4,542 Middle Market ($10 – <$20 million)851,202 20,889 59802 15,093 26400 5,796 Larger Transaction Market (≥$20 million)592,646 20,003 492,166 16,455 10480 3,548 1,175$6,659 $123,623 1,102$5,661 $109,475 73$998 $14,148 

Factors Affecting Our Business 

Our business and our operating results, financial condition and liquidity are significantly affected by the number and size of commercial real estate investment sales and financing transactions that we close in any period. The number and size of these transactions are affected by our ability to recruit and retain investment sales and financing professionals, identify and contract properties for sale, and identify those that need financing and refinancing. We principally monitor the commercial real estate market through four factors, which generally drive our business. The factors are the economy, commercial real estate supply and demand, capital markets, and investor sentiment and investment activity.

29

The Economy 

Our business is dependent on economic conditions within the markets in which we operate. Changes in the economy on a global, national, regional, or local basis can have a positive or negative impact on our business. Economic indicators and projections related to job growth, unemployment, interest rates, retail spending and consumer confidence trends can have a positive or negative impact on our business. Overall market conditions, including global trade, interest rate changes, inflation, job creation, and global events can affect investor sentiment and, ultimately, the demand for our services from investors in real estate.

Overall economic performance was sound in the first quarter of 2025, with low unemployment and the addition of 456,000 new jobs. Retail sales remained active and inflation trended lower. Entering the second quarter of 2025, however, economic uncertainty increased dramatically as the U.S. reset its global trade policies with dramatic tariff increases. The resulting financial market volatility, falling consumer sentiment and general uncertainty have spurred increased caution among both consumers and businesses. Elevated caution may cause businesses and consumers to limit investment and spending as a potential trade war could weaken economic growth and spur inflation. Although most of the punitive tariffs were put on hold for 90