Here at RealtyMogul.com, we keep our finger on the pulse of all things real estate, from finance to technology and everything in between. We make a point of sharing interesting articles and think pieces among RealtyMogul.com staff to help our team stay abreast of the market, and ahead of the curve.
So we thought, why not share some of these insights with you, our partners?
Got A Minute? Here’s some recommended reading with key points from the content:
The 13 Coolest Neighborhoods in America (Business Insider)
- The list was compiled from a recent retail report by C&W in which they explore the rise of new retail districts that have impacted by Millennials. The list:
- Sunset Park — Brooklyn, NY
- Logan Square — Chicago, IL
- Over-the-Rhine — Cincinnati, OH
- RiNo (River North) Arts District — Denver, CO
- Silver Lake — Los Angeles, CA
- Wynwood — Miami, FL
- North Loop / Warehouse Historic District — Minneapolis, MN
- Roosevelt Row — Phoenix, AZ
- Carytown — Richmond, VA
- East Village — San Diego, CA
- Jackson Square — San Francisco, CA
- Delmar Loop — St. Louis, MO
- Shaw — Washington, DC
Experts Say Medical Tenants to Become Even More Prevalent at Shopping Centers (Bisnow)
- An interview Todd Caruso, the CBRE Americas head of retail owner/agency practices and Mitchell Berkey, the CSG co-chair of real estate, development and land use, where they discuss the growing presence of medical facilities at retail centers. Among the reasons they cite for the trend:
- Americans spending an increasing amount on healthcare and aging demographics.
- Americans want easier, faster access than the traditional ER visit. Customers are also looking for alternatives to the heavy cost of extended stays in hospitals.
- The shrinking number of credit tenants in retail.
- Growth of the urgent care sector.
- Tendency of medical tenants to have strong balance sheets and investment in their space.
Office Tenants Dodge ‘Curveballs’ As Demand Cools (Globestreet)
- C&W has put out their US National Office report for Q2 and here are the highlights:
- Leasing volume slowed down over the first half of the year as tenants strategize how to react to the events of the first half including China’s slowdown, Brexit, and weak GDP growth. However, net absorption is positive and asking rents have continued to rise in ~75% of the 87 metro areas that C&W tracks.
- Overall, net absorption is down 36% year-over-year as of Q2 2016. However, construction has been tempered and is in line with tenant demand as the vacancy rate has remained at 13.4% - unchanged from Q1 and 50 bps lower year-over-year. By comparison, the vacancy rate is down 400 bps from the peak of 2010.
- Asking rents are up 5.8% year-over-year nationwide as 67 markets (of 87) saw increases.
Despite Rising Vacancies, Apts. Still Strong (Globestreet)
- An interview with Ten-X’s chief economist Perter Muoio who predicts:
- Multifamily average annual growth of 3.6% per year between now and 2018.
- Development has picked up and vacancies have rose along with them. He sees vacancies settling in to about 5% by 2018 and development will slow accordingly.
Walgreens Expects to Shutter Only 500 Stores After Rite-Aid Deal Closes (Fortune)
- Walgreens is confident their purchase of Rite-Aid will be completed by the end of 2016. The 500 store closings mentioned is less than the number that was initially floated of “as many as 1,000 stores.”