Originally published on June 15, 2021, by Esther Fung for the Wall Street Journal.
During the worst of the pandemic, many landlords offered deals where ailing retailers paid a percentage of their monthly sales in rent—rather than a fixed amount—to help them survive. Now, this once temporary way of charging tenants looks poised to outlast Covid-19.
Originally published on May 2021 by Hany Guirguis, Ph.D., Manhattan College and Michael J. Seiler, DBA, William & Mary and the University of Cambridge.
The U.S. economy is experiencing a strong rebound from the COVID-19-induced recession, resulting in job growth in office-using sectors. However, tenant-safety concerns remain a drag on office leasing. The U.S. office market posted continued declines in net absorption in the fourth quarter of 2020 (-26.7 million square feet) and the first quarter of 2021 (-34.8 million square feet). Nonetheless, as coronavirus safety concerns abate and the economy continues to expand, negative net absorption is forecast to moderate over the next two quarters, with a return to positive absorption in the fourth quarter of this year (Figure 1). Quarterly net absorption in 2022 is expected to average 11.7 million square feet, in line with the 2015-2019 quarterly average of 11.6 million square feet.
Originally published on June 22, 2021, for NAIOP E-Newsletter.
In the wake of failed infrastructure discussions between the White House and Senate Republican leadership, represented by Senator Shelley Moore-Capito (R-WV), the focus of attention has turned to the second group of Senators attempting to forge a bipartisan deal. The effort, led by Senators Kyrsten Sinema (D-AZ) and Rob Portman (R-OH), gained momentum last week with the endorsement of 21 senators, including 11 Republicans and 10 Democrats. A draft framework of the plan leaked to the press last week, but the particulars of the plan remain in flux, subject to changes based on a review by President Joe Biden and the White House staff.
The following statement was issued by REBIC on Tuesday, June 22, 2021.
Last night the “Plan Policy” section of the 2040 Comprehensive Plan passed the Charlotte City Council by a 6-5 vote. This outcome had been widely expected for several weeks. In the end, REBIC took the position that moving ahead to the more difficult challenges, such as the debate over the “Implementation Strategy” and “Manuals and Metrics” sections, as well as the Place Type mapping and ultimately the Unified Development Ordinance (UDO) was in the best interests of all parties. It was evident that members of City Council had withdrawn to their respective corners and that any further compromise was not possible.
A few spots are still available to attend next week’s Breakfast with Principals. This event provides an opportunity to meet with fellow members, make connections, and discuss what is going on with NAIOP and Charlotte’s commercial real estate industry while enjoying breakfast from two of Charlotte’s local hot spots Community Matters Café and Nick’s Cafe.
Table hosts are Pete Kidwell, Beacon Partners, Pat Pierce, Selwyn Property Group, Sagar Rathie, Crescent Communities, and Chris Thomas, Childress Klein.
Space is limited to 6 people per table, with a maximum of 2 tables per location. This is a NAIOP member-only event.
There is no charge to sign up for this event. Breakfast will be on own – make sure to come hungry and help support local businesses!
If you have questions, please contact the NAIOP Charlotte office at [email protected].
Network with NAIOP members and guests at the Charlotte Beer Garden! Make new connections, catch up with friends, and enjoy the Charlotte summertime!
Originally published on June 15, 2021, by the NAIOP E-Newsletter.
Last week President Joe Biden broke off talks with Senate Republicans, led by Senator Shelley Moore Capito (R-WV), on a bipartisan infrastructure package. While both sides took pains to say the talks were held in good faith, the parties could not bridge the differences regarding the overall size of the package, the scope of what should be included as infrastructure, and the methods for funding the initiative.
Originally published on June 2, 2021, by Sasha Jones for Bloomberg News.
The future of the office sector remains largely uncertain at this point post-pandemic, but there’s one segment that continues to see huge gains.
Originally published on June 2, 2021, by Aquilles Suarez for NAIOP's blog.
Last week, President Joe Biden submitted his proposed the fiscal year 2022 budget to Congress, providing lawmakers with additional details regarding the major infrastructure and social spending initiatives comprising his American Jobs Plan and American Families Plan. In times of divided government in Washington, a White House budget is oftentimes described as “dead on arrival” as far as Congress is concerned. But with the Senate and House of Representatives controlled by his fellow Democrats, Biden’s recommendations are sure to be given substantial deference by lawmakers. Nevertheless, differences of opinion do exist among members of the president’s own party regarding many of his proposals. As such, last week’s submission simply marks the beginning of challenging negotiations that are likely to take place over the next two months.
Originally published in NAIOP's Development Magazine Spring 2021 Issue by Ann Moore.
Megaprojects can transform landscapes, improve quality of life and deliver significant economic benefits to their communities. When they are sited on a waterfront in a binational urban area, they take on even more complexity. In Southern California’s San Diego County, a megaproject will transform a formerly blighted stretch of waterfront into a thriving destination. The project team is pursuing innovative ways to reduce the risk that could be instructive to other development teams.
Originally published on June 8, 2021, by the NAIOP Source E-NEwsletter
Discussions over a bipartisan infrastructure deal have entered a critical stage as the Biden administration negotiates with Senate Republicans, with progressive Democrats increasing pressure on the White House to pass legislation with only Democratic votes. The White House and Senate Republicans remain at odds on major issues but have continued to seek an agreement. Republicans oppose the inclusion of what they consider non-infrastructure spending, such as long-term care for seniors and people with disabilities, in an infrastructure deal. The White House and Democrats have used the term “human infrastructure” to refer to these initiatives. Both sides also continue to argue over the funding mechanism, with President Joe Biden originally proposing an increase in the corporate tax rate from 21% to 28%, but recently dropping that in favor of a 15% global minimum corporate tax as a means of paying for the infrastructure plan.
Learn more about the Charlotte Future 2040 Comprehensive Plan from Assistant City Manager, Taiwo Jaiyeoba.
The NAIOP Research Foundation has published the NAIOP Office Space Demand Forecast for Q2 2021.
Key Takeaways:
Originally published on May 18, 2021, by Knorad Putzier for The Wall Street Journal.
More than a year into the pandemic, high-rise office buildings are largely empty. About one of every two hotel rooms is unoccupied. Malls are struggling to attract shoppers.
Originally published on May 25, 2021 for NAIOP E-Newsletter.
President Joe Biden set Memorial Day as his deadline for reaching an agreement with Senate Republicans on a bipartisan infrastructure initiative, but despite several meetings and counterproposals, the two sides appear to remain far apart on a deal. With Democrats controlling the Senate, Biden had said he would resort to budget reconciliation, a procedural measure that would enable the White House to avoid a filibuster and pass legislation with only Democratic votes in the Senate, to get most of his proposed $2.25 trillion American Jobs Plan infrastructure initiative enacted into law.
Originally published by Richard Florida for Bloomberg CityLab on May 14, 2021.
Just last spring, a chorus of pundits loudly proclaimed a sweeping urban exodus and the impending death of cities. Now, just slightly more than a year later, our cities are springing back to life. Sidewalks are starting to bustle; restaurants, which have spilled onto the streets, are teeming with patrons; museums and galleries are reopening; and fans are heading back to baseball parks, basketball arenas and even outdoor concert venues.
Originally published in the Spring 2021 Issue by Jennifer LeFurgy, Ph.D. for Development Magazine.
Quarantines and business shutdowns fueled by the COVID-19 pandemic have led to a dramatic decrease in parking demand. Subsequently, many sectors of the economy that depend on parking revenue are facing budget shortfalls this year.
Next week, join the conversation with Charlotte native and distinguished architect, David Furman, as he talks about how he got started in the industry and what opportunities, successes, and challenges have shaped his 40+ year career.
Take advantage of this opportunity to meet and learn from a leader in the Charlotte community!
Originally published on May 4, 2021, by Esther Fung for The Wall Street Journal.
Mall owners have hit on a new way to fill gaping holes left by failed department stores and other departing big-box tenants: hosting public schools in need of more space.
Originally published on May 7, 2021, for the Building Design and Construction Network.
Construction employment was unchanged from March to April as nonresidential contractors and home builders alike struggled to obtain materials and find enough workers, according to an analysis by the Associated General Contractors of America of government data released today. Association officials said the industry’s recovery was being hampered by problems getting stable prices and reliable deliveries of key materials, while the pandemic and federal policies were making it harder for firms to find workers to hire.
CREW Charlotte is excited to host its first in-person luncheon in over a year! Space is limited so do not delay.