Each Wednesday, The Wrap presents a compilation of recent noteworthy commercial real estate stories from a variety of publications. Below are links to five stories that caught our eyes in recent days.
•Urban Landscapes Transformed by New Lifestyles by Byron Carlock for NREI.
Key Excerpt:
“But a number of factors are influencing store format changes. We’re seeing an abundance of new smaller stores, with fresh, organic and ready-to-serve options, augmenting superstores with their staples and breadth of product. It’s a distribution model that’s become more varied, based on frequency of experience (once a month for staples), and daily need (fresh purchases multiple times a week). Online grocery shopping and delivery is also impacting the types of store structures being designed and built.”
•Boomers Push Developers to Innovate by Barbara Ballinger for Multifamily Executive.
Key Excerpt:
“Brian Hoffman of Red Seal Homes, a family developer in Northbrook, Illinois, also puts new product in the top ‘wish list trifecta’ for this age group, along with ample storage and low maintenance. Other housing features boomers want: a strong Walk Score, a variety of floor plans from which to choose, and, of course, amenities aplenty.”
•Declining Oil Prices Impacting Global Real Estate Markets by Michael Gerrity of World Property Journal.
Key Excerpt:
“According to 'Do Oil Prices Hold Real Estate Over a Barrel?', a new report by global real estate adviser Cushman & Wakefield, global real estate markets are most vulnerable in economies with not just a greater dependency on oil but also in those with a high cost of oil production. Combined, the above factors will squeeze profit margins in these markets, leading to staff reductions and ultimately forcing companies to reorganize, downsize and consolidate their real estate footprint.”
•Doubling Down On the Rebirth of the American Shopping Mall by Krystina Gustafson of CNBC.
Key Excerpt:
“But balance is being restored in the sector. The amount of new retail space hasn't topped 40 million feet a year since 2009, according to CBRE, a real estate brokerage firm. This comes after many years with more than 150 million square feet added to the market annually. And now some of the country's biggest developers are making huge bets that the shopping mall—long a symbol of the American suburbs—still has a bright future; albeit with a major makeover.”
•What’s Really Driving Sustainability? By Paul Rosta of Commercial Property Executive.
Key Excerpt:
“Asked to pick the No 1. consideration shaping their company’s sustainability strategies, 53 percent of respondents named corporate responsibility. That is nearly double the 27 percent who said that the top reason is the opportunity to generate goodwill with clients, tenants and customers.”