Throughout the US, communities are pushing for rent control measures in an attempt to keep housing affordable. These measures may be off-putting to some investors, who fear that multifamily assets will be politically bottlenecked in these markets. Rent control doesn’t kill profitability, though. Rent-controlled properties can present an opportunity to CRE professionals who understand how […]
Historically, the six primary markets in the commercial real estate sector have performed well: New York City, San Francisco, Washington D.C., Chicago, Los Angeles, and Boston (a few experts consider Dallas and Houston to be members of this group as well). These metros may be unrivaled when it comes to population, the number of […]
Despite a wave of brick-and-mortar retail closures, grocery stores are faring well and do not seem to be as impacted by the economic pressures and new types of competitors affecting other sellers. In fact, new grocery store openings increased by 30% in 2018, a surge that is largely driven by the expansion of well-known retailers […]
A relatively new trend in CRE is gaining in popularity as the rising desire for walkability and entertainment transforms how people want to work, live, and play. Urban hubs are combining these three factors into one centralized location, creating new and localized communities. A hub is the effective center of an activity, region, or […]
The country-wide bid for Amazon’s HQ2 location caused quite the CRE stir, perhaps only outshined by its Queens, New York, withdrawal on Valentine’s Day 2019. The selection process was highly publicized and competitive, with 238 cities offering millions in incentives to attract the world’s most valuable public company. Ultimately, Amazon decided to split its […]
The commercial real estate market offers some of the best potential ROI of any asset class and continues to outshine the threat of recession. Still, no investment is free of risk. The possibility of taking a loss can be nerve-wracking for investors, especially those who are new to the CRE market. With the word “downturn” […]
It is now widely accepted among CRE professionals that the strain of late-cycle hyper supply is fully upon us. Increased supply paired with a high occupancy rate means that many markets have reached a peak, causing a plateau in possible NOI due to stagnant demand. Because of lower yields, many investors are seeking out diversification […]
As the e-commerce sector continues to expand, the demand for warehouse space to process and distribute orders is increasing. One in every three dollars of monthly discretionary income is now spent online. Consumers are motivated to make online purchases primarily due to the convenience. After all, the see-click-buy purchasing methodology requires virtually no energy or […]
The well-documented amenity creep phenomenon puts pressure on owners/operators to provide best-in-class amenities and experiences to CRE tenants. The principle is simple: once an amenity is introduced, competitors begin to offer the same services or goods. As a result, what was once a superfluous perk soon becomes an expectation, leading to an ever-expanding base of […]
The commercial real estate industry is quickly evolving, and so are investor expectations. Investors are not satisfied with yesterday’s level of engagement, communication, and data access. Rather, they seek and demand a relationship with their CRE sponsor that makes them feel confident that they chose the correct partner. So, how can you meet and exceed […]
With many industry professionals believing the CRE cycle to be in the hypersupply phase, some sponsors and investors are turning their attention to secondary markets and less common asset classes. One area the industry is seeing increased interest is with regards to medical office buildings. According to NREI, the average rent for medical offices was […]
Transparency is a hot topic in CRE, and for good reason. Over 60% of investors cite degree of transparency as being an important consideration for their investment, and the accelerating rate of CRE tech adoption brings with it a greater demand for more transparency around investing. Despite the inevitable winds of change, however, transparency (when […]