New legislation fuels confidence in economic growth and commercial
real estate space demand, while expectations of a rising interest rate climate keep exuberance in check.
Not exact matches
«The traditional workspace is being redefined in gateway cities across the globe, as evolving business practices increase
demand for flexible office
space,» said Anthony Myers, Blackstone's head of European
real estate.
Job growth and a strong economy are expected to increase the
demand for office
space in San Diego this year, concludes a recently released forecast from
real estate brokerage Marcus & Millichap.
Some of these risks include: a deterioration in national, regional, and local economies; tenant defaults; local
real estate conditions, such as an oversupply of, or a reduction in
demand for, rental
space; property mismanagement; changes in operating costs and expenses, including increasing insurance costs, energy prices,
real estate taxes, and costs of compliance with laws, regulations, and government policies.
Investor interest may have less to do with the supply and
demand of downtown office
space and more to do with a rising supply of capital earmarked for
real estate.
It has changed the way we look at brick and mortar
real estate, created a domino effect as it relates to industrial and land acquisitions, and a higher
demand for office
space... which then leads to an increase in home sales.
Industrial outlook Chicago is home to one of the largest industrial
real estate markets in the country with a base of 949 million sq. ft.. The
demand for
space has remained strong in 2000.
NAFTA logistics activity has generated tremendous capital investment in U.S. industrial
real estate over the last 20 years, especially along logistics / supply chain corridors and
demand for
space should continue to grow, Tolliver adds.
In fact,
real estate economist Hugh Kelly predicts new
demand for office
space will exceed 400 million square feet by 2015.
As a result, commercial
real estate professionals are becoming increasingly innovative in order to compete, scrambling to locate available
space or build new structures fast enough to keep up with current
demand.
Despite the overwhelmingly negative response to Zillow Instant Offers, some feel it represents just one of many evolutionary models entering the
real estate space, and that such shifts are inevitable given the changing
demands of increasingly tech - savvy consumers.
These flexible tech - geared
spaces are also mirrored in
demand in commercial
real estate, Beyke says, where businesses and organizations need multipurpose rooms, meeting places, and high - tech integration with AI for video conferences, presentations, and more.
As technological advances unchain workers from the confines of a desk and office, the type and configuration of
space that companies
demand from
real estate providers is changing.
That low supply, coupled with
demand from better - performing retailers for quality
space, helped push rents across all types of retail
real estate higher and vacancy rates down to about 10 percent at the end of 2015 from 11.1 percent in 2011 — as retailers slowly shrugged off the recession's vacancy spike.
When news of sluggish sales hits the retail
real estate sector, department stores and apparel retailers emerge as the usual suspects for waning
demand for
space.
Schnure does concede that growth in
demand for retail
real estate space is at only 40 percent of where it had been about a decade earlier.
Citing a federal estimate that the number of freelancers, temp workers, independent contractors and solopreneurs will rise from 30 percent of the workforce in 2016 to 40 percent five years later, research from commercial
real estate services company JLL shows the pipeline of potential
demand for U.S. co-working
space is expected to keep filling up.
They typically increase because the economy is improving, which can benefit commercial
real estate in several ways: More job creation and consumer spending bolster occupational
demand for commercial
space and may allow building owners to increase rents (even if in - place leases do not allow rents to adjust immediately, expected future increases are priced into current values).
If your client purchases
real estate in a high - crime area, he will have to deal with weak tenant
demand, poor or no appreciation, and tons of unused
space — hardly ideal.
In fact, e-commerce
demand for industrial
space has doubled over the last three years and will continue to grow at a healthy clip, according to a recent report by industrial
real estate investment firm Prologis Inc..
The lease and sale pricing will be completely automated based on factors like property and
space condition, general
real estate market trends, supply vs.
demand metrics, property / market / submarket vacancy rate trends and recent transactions.
In a bet on the continued
demand for West Loop office
space, Boston
real estate investment firm Beacon Capital Partners LLC has a deal to acquire 200 S. Wacker Drive for more than $ 121 million.
«The commercial
real estate sector is on the path to recovery, but subpar economic growth, lack of financing available to small investors and the industry trend towards squeezing more employees into existing
spaces will keep
demand from meaningful acceleration,» Yun said in the NAR press release highlighting the report.
According to CBRE's 2018 U.S.
Real Estate Market Outlook, despite record - setting wholesale absorption levels for three consecutive years, ever - increasing data consumption and the rapid evolution of technology will fuel strong
demand for data center
space in 2018.
New financing will be invested in the following: additional markets (funding looks as though it will flow more freely in 18 - hour cities), alternative assets (what constitutes
real estate will continue to expand), old is new again (older
space is now a hot item and it's making the market consider a wider range of potential investments), and alternative property types (medical office and senior housing may see a benefit from the change in demographics, along with data centers and lab
space, that may be in
demand due to technical changes).
As young, cash - strapped, ambitious professionals
demand housing in the most desirable locations,
real estate companies have developed the concept of the «coliving»
space: affordable shared living
spaces that include a wide range of amenities.
The improvement in the logistics property sector was tied to the simultaneous recovery of the global economy and increased
demand for
space created by e-commerce companies, who this year expect to see a 23 percent increase in sales, according to a recent report from commercial
real estate services firm CBRE.
However, the impact of a depreciating yuan on U.S. economic growth and
demand for
real estate space is likely to be decidedly mixed.
Last year was probably the peak for the growth surge in the
space, and
demand from tenants and building investors may temper in the next 10 months, according to Craig Meyer, president of industrial brokerage and capital markets for commercial
real estate services firm JLL Americas.
Even many of those at commercial
real estate corporations haven't yet bothered to analyze the various impact scenarios on their business, whether it's diminishing
demand for industrial
space or clients» needs for special purpose properties or robot - friendly infrastructure.
For more on the Rosenthal J. Rosenthal Center for
Real Estate Studies and the latest research report, Changing Dynamics and Practitioner Perspectives in the North American Market: Cross Border
Demand & Investment Shifting Office
Space Demand, contact Peter at
[email protected].
«Job growth is slowing, and therefore there is going to be less
demand for
real estate space going forward.»
She is also the conference - loving junkie behind Genuine Hustle, which is fast becoming one of the most popular and in -
demand formats for
real - life teaching and learning in the Real Estate sp
real - life teaching and learning in the
Real Estate sp
Real Estate space.
Defensively,
real estate investment represents a long - term bond - like income stream and the
demand for commercial office
space won't disappear.