Weekend Reading for CRE Professionals - June 14, 2019
Written by Brent Carnduff | June 14, 2019
In our effort to stay current on the opportunities, challenges, and trends in the real estate space, we follow or subscribe to almost 100 publications that cover economics, local markets, real estate, and political news. Our goal with this weekly blog post is to share the best of those articles with the commercial real estate industry.
- Downtown Phoenix area becoming the place to do business.
- Cold storage is hot!
- How strong is the coworking model?
- Lots of buyers but few sellers in the Industrial sector.
Phoenix Sees Explosive Growth Along Central Avenue by Steve Burks on AZ Big Media
(T)he Downtown Phoenix area is quickly becoming the place to do business or just be. Downtown Phoenix has a distinct air of excitement among real estate developers, with several projects ready to come online in 2019 and plenty more coming in the next few years.
Cold is the Hottest New Real Estate Investment by Diana Olick on CNBC
Cold storage warehouses and distribution centers are suddenly in high demand thanks to new food delivery services such as Peapod by Giant, Amazon Fresh and Blue Apron.
“It is very niche. About 2% or 3% of all goods on groceries are bought online, and we expect the space could explode to 13% over the next 5 years because of the penetration of the internet,” . . .
Tertiary Markets Lead the Growth Frontier for Flexible Workspace Offerings by Dan Spiegel on CCIM Institute
The buzz in the commercial real estate industry for the past 18 months has centered around the coworking space occupancy model. Coworking companies are leasing space at a fast pace, and coworking services are providing tenants with alternatives to offer space to employees.
Outside large urban markets - which notably have a high concentration of technology companies - will coworking be a factor? While coworking spaces in secondary and tertiary markets haven't exploded, several factors point to these markets offering an additional growth frontier.
Coworking Growth Continues to Accelerate, but for How Long? by Stephen Newbold on Colliers Knowledge Leader
Leasing activity by coworking and flexible workspace operators, which has been growing at a frenetic pace, is accelerating at an even faster clip. In our January 2019 U.S. Flexible Workspace & Coworking report, we noted that coworking inventory across the 19 markets we surveyed increased by almost 50% in the 18-month period ending in Q2 2018 to a total of 27.2 million square feet.
High Pricing, Few Available Assets Deter Industrial Investment Sales by Patricia Kirk on National Real Estate Investor
Industrial and multifamily are currently the most popular commercial property types among investors, notes Mark Glagola, senior managing director of Transwestern’s Mid-Atlantic capital markets group. “There’s lots of money looking for a home, and all types of investors are allocating more to industrial real estate than ever before,” he says.
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