The projected stock (of real estate), at a defined future point in time, can be defined as the rentable area (RA) of the current total stock along with the total area that is currently in the pipeline. This stock is projected to reach effective completion by the defined point in time (PIT).
Why mention this defined PIT? A clear-cut prediction is one that is for a set future date, not one that is ambiguous and could include a whole range of dates.
For an accurate analysis, the geographic area must be well defined. A demand-supply analysis should look at a specific real estate asset class (a.k.a property category). For example, this could be for office space within a specific office node in a city, or it could be for single-family housing for an entire city. One cannot compare apples with pears. The housing market differs greatly from the office market.
The projected stock at a defined PIT excludes the RA of stock that is currently being or will be re-developed by that PIT. This excluded stock will undergo (and reach effective completion in) a change in property category by the defined PIT. See total stock under conversion.
The above definition is useful as it explicitly sets the boundaries for analysis around the supply of real estate and therein the demand gaps can be filled by opportunists. Developers, investors, and asset managers would find this metric useful.
There are other useful terms to consider when exploring the dynamics of a real estate market. Vacant space, nominal vacancy rate, structural vacancy rate, shadow space, expanded vacant space, delivery, on hold, stalled development, abandoned development and pipeline entries. These are all important concepts that form the makeup of real estate supply and demand.
