Bookmarks: 5 Interesting Articles That May Help You This Week

January 29th, 2018

Each week, I select a few articles that rise above the fray and hopefully help you on your journey in the CRE world. They pull from one of four “corners:” corporate real estate, technology, management science and anything positive. I welcome your comments on these articles and the submissions of others (with credit to you if I post them). I wish you a terrific week! 

Credit: iStock

GDP Grew 2.6% at Year End, Extending Strong Stretch (paywall)
“Eight years into what has been an unexpectedly slow expansion, the U.S. economy appears to have picked up steam.

Business executives have reported solid quarterly earnings in recent weeks and pointed optimistically to investment and hiring plans for 2018, supported in part by federal tax cuts. Stock prices keep churning higher.” www.wsj.com

Three CRE Jobs That Will Change With The Rise Of Predictive Analytics
“After speaking with hundreds of commercial real estate professionals during the development of our real estate predictive analytics platform, we’ve realized that although everyone wants to capitalize on big data and predictive analytics, few people have a solid understanding of the impact emerging predictive analytics technologies could have on jobs.

There are three commercial real estate jobs I believe will be fundamentally disrupted by the power of predictive analytics and machine learning. After the widespread adoption of predictive analytics products in real estate, chances are good the roles of these professionals will look much different.” www.forbes.com

Tax Incentive Puts More Robots on Factory Floors (paywall)
“New tax rules are hastening automation and modernizing in U.S. factories by giving manufacturers an incentive to buy machinery and boost productivity in a tight labor market. For the next five years, the revised tax code allows companies to immediately deduct the entire cost of equipment purchases from their taxable income.” www.wsj.com

US Workers Increasingly Prioritize Flexible Working and Personal Development Over Status
A new survey from LinkedIn and Harris claims that the priorities of US workers are shifting in the new world of work. Where once they would have craved the status of a corner office, they now hanker for personal development, flexible working and autonomy and many see work largely as a means to pay bills. A growing number of professionals are also keen on developing side projects away from work that they believe are more closely aligned with their personality and interests, according o the study of 2,000 people.” www.workplaceinsight.net

Amazon’s Checkout-Free Store Makes Shopping Feel Like Shoplifting
“Just as striking as the shopping experience was the scene outside, where there’s evidence that the company famously seeking a second home city is still gobbling up its first. South of the store was territory the company has already colonized—gleaming office towers where 40,000 employees work, expensive apartments where many of them live, glassy domes filled with rare tropical plants. Across the street, four cranes sprouted from a hole in the ground that will eventually anchor another office tower.” www.theatlantic.com

Your success blesses others. I wish you a great a hugely impactful week!

Ken

 

Bookmarks: 5 Interesting Articles That May Help You This Week

January 22nd, 2018

Each week, I select a few articles that rise above the fray and hopefully help you on your journey in the CRE world. They pull from one of four “corners:” corporate real estate, technology, management science and anything positive. I welcome your comments on these articles and the submissions of others (with credit to you if I post them). I wish you a terrific week! 

Credit: iStock

3 Commercial Real Estate Trends To Watch In 2018
“Political and economic uncertainty has pervaded the past year, with the U.S. economy showing signs of growth amid low inflation and a distressed retail segment in 2017, as accountants struggle to understand all the implications of the recently passed changes to the tax laws and Europe prepares for Brexit. Here’s a look at three commercial real estate trends to watch in 2018.” www.forbes.com

Office Party? Atlanta Market 2018 Forecast
Yours truly pens a post: 2017 was a mighty fine year for Atlanta office real estate. Macro events such as tax law changes, a roaring stock market, very healthy corporate profits and strong employment numbers helped corporate America to have a pep in it’s collective step. And Atlanta was no exception.

As I look deeply into my crystal ball and based on reading and conversations with economists and market experts, I’ve begun to tune up some predictions for 2018 in seven areas… www.blog.cushwake.com

Stop Neglecting Remote Workers
“Employees want to feel connected to one another. In a recent Globoforce study about the value of work relationships, 87% of respondents said they trust their coworkers and 93% said it’s important to have colleagues think highly of them. These bonds stoke engagement and commitment to the company. Cisco found that face-to-face relationships in particular are a boon to effective collaboration, which improves productivity, efficiency, and innovation.” www.harvardbiz.com

Warehouse Boom Continues, Sector Poised for more Growth in 2018, Says Report
“As Amazon’s continued retail expansion requires more and more square feet get absorbed into the company’s warehouse empire, the value of industrial real estate has climbed. A new report from Cushman & Wakefield, the national commercial real estate brokerage and consultancy, predicts that this particular market will only continue to boom” www.curbed.com

Holiday Retail Sales Soared, With Biggest Increase Since Recession
“Shoppers came out in force during the holidays, driven by a strengthening economy, high consumer confidence and rebuilding efforts after a season of natural disasters across the country.

Retail sales during November and December increased 5.5 percent, to about $692 billion, from a year earlier, according to data released on Friday by the National Retail Federation.

It was the largest increase in holiday sales since the recession of 2008, exceeding the federation’s forecast of $682 billion, or growth of about 4 percent.” www.nytimes.com

Your success blesses others. I wish you a great a hugely impactful week!

Ken

 

Bookmarks: 5 Interesting Articles That May Help You This Week

January 8th, 2018

Credit: iStock

Credit: iStock

Each week, I select a few articles that rise above the fray and hopefully help you on your journey in the CRE world. They pull from one of four “corners:” corporate real estate, technology, management science and anything positive. I welcome your comments on these articles and the submissions of others (with credit to you if I post them). I wish you a terrific week!

What’s the Verdict on Urban vs. Suburban CRE Investment?
“In the past, urban assets have outperformed suburban asset returns in both office and multifamily sectors. From 1996 to 2016, suburban multifamily fell behind its urban counterpart by 80 basis points, while the suburban office sector underperformed urban by 110 basis points.

The present spread between urban and suburban multifamily is consistent with its long-term average at 81 basis points, meaning there is currently no worthwhile advantage to investing in suburban assets when considering the long term.” www.nrei.com

San Francisco’s Skyline, Now Inescapably Transformed by Tech
“SAN FRANCISCO — The skyscraper came late to this city, a shipping and manufacturing hub for much of its existence. The wealthy roosted on the hills and the masses toiled on the flats and the docks. Everyone lived close to the ground in a setting renowned for its natural beauty.

Now the things being shipped are virtual, and vast amounts of office space are needed to design, build and market them. Salesforce, a company that did not exist 20 years ago, will take up residence on Jan. 8 in the new Salesforce Tower, which at 1,070 feet is the tallest office building west of the Mississippi.” www.nytimes.com

Piedmont CEO Says Supply, Demand in Equilibrium Across Office Sector
“From a balance sheet perspective, Piedmont is “probably in the best position we’ve ever been,” according to Miller. The company expects to close on the sale of 14 assets in early January, which should reduce Piedmont’s leverage to its lowest level to date, he noted.

As for individual market performance, Miller noted that the Sun Belt region is probably the strongest right now. Chicago and Minneapolis are performing “quite well,” while Houston is probably the weakest market, he said. Washington, D.C. continues to be “a little bit of a drag on us,” Miller added.” www.reit.com

The Future Of Home Business Technology
The idea of a physical workplace is being replaced by the idea of conducting businesses from your own home. It’s easier now — we can create a virtual office and marketplace through the internet. You can take care of all aspects of the business from home and find the right balance between personal and professional life. 

Not only do home business owners save time and energy, but they are putting technology to the right use.” www.inc.com

Not Driving to Work Is the Hot New High-End Job Perk
“The percentage is down a little for lower- and middle-income workers since 2005, although it’s hard to detect much of a trend in either direction since the last recession. Among those making $75,000 or more, though, there’s been a significant decline since 2005, and it is continuing. Just as a reality check for Bloomberg’s many well-remunerated readers: Only 18.4 percent of U.S. workers made $75,000 or more in 2016, according to the ACS; the median was $35,815. (These numbers are all for individuals; median household incomes, also released last week, are higher.)

So while a big majority of higher-income workers still drives to work, that percentage is shrinking in a way that it isn’t for lower-income workers. How are those higher-income workers getting there instead? Well, public transportation…..” www.bloomberg.com

Your success blesses others. I wish you a great a hugely impactful week!

Ken