Originally published for NAIOP's Development Magazine Summer 2021 Issue by Trey Barrineau.
Women and minorities have made some progress in reaching the C-suite in commercial real estate investment management firms during the past few years, but the 2021 NAREIM Diversity & Inclusion Survey shows that there is still a lot of work to do.
Originally published on September 14, 2021, for NAIOP E-Newsletter.
The House Ways and Means Committee, chaired by Rep. Richie Neal (D-MA), will continue its committee markup this week of provisions to be included in the estimated $3.5 trillion reconciliation legislation to be considered by the House. The committee is conducting the markup remotely, as the full House is not scheduled to return until next week. The Senate returns this week, and Senate Majority Leader Charles Schumer (D-NY) has tasked Senate Democratic committee chairs with having their reconciliation bill language ready by Sept. 15.
Demand for industrial real estate continues to be strong as the long-term trend toward e-commerce (and away from in-store sales) continues with no end in sight. With nearly 100 million new square feet delivered nationally since the beginning of the year, 450 million square feet currently under construction and another 450 million planned, the demand for industrial real estate still outpaces supply.1
Because of this, authors Dr. Hany Guirguis and Dr. Michael Seiler forecast that the total net absorption in the second half of 2021 will be 162.6 million square feet with a quarterly average of 81.3 million square feet. In 2022, the projected net absorption is 334.6 million square feet with a quarterly average of 83.6 million square feet. An improvement in the outlook for the economy in 2021 and 2022 is behind the upward revision of the 2022 forecast. For example, the real GDP growth rate is now forecast to be 7% in 2021, above the previous forecast of 5% growth. As economic growth is projected to revert toward long-term growth rates in 2023, net absorption in the first half of the year is forecast to be 160.5 million square feet, for a quarterly average of 80.2 million square feet.
Originally published on August 24, 2021, for NAIOP News.
Through his experience leading a turnaround as the former CEO of Prologis, Walt Rakowich realized leaders today must lean into timeless values and principles, but with a fresh perspective on the new and complex realities of our leadership climates. In a keynote address next week at I.CON West: The Industrial Conference, Rakowich will share advice on engaging your values and your organization with purpose and passion. Join the 700+ industrial real estate leaders planning to attend I.CON West next week in Long Beach.
Network with NAIOP at SouthPark’s first rooftop bar! Enjoy some after-work beverages while catching up with friends and making new connections. This event is for NAIOP members only. Limited space is available.
Originally published on August 18, 2021, by Toby Burke for NAIOP.
The federal government has provided additional support for state and local governments in response to the COVID-19 pandemic. President Joe Biden signed the American Rescue Plan Act (ARP) into law on March 11, which established the Coronavirus State and Local Fiscal Recovery Funds. The new federal funds provide $350 billion to support state, local, territorial, and tribal governments in responding to the COVID-19 pandemic and spurring economic growth. These federal funds are a windfall for some governments that did not experience a fiscal shortfall, particularly at the state level.
The first draft of the Unified Development Ordinance (UDO) is expected to be released to the public on or around October 4th. A recent presentation from Planning Staff to Charlotte’s Transportation, Planning, & Environment Committee contained the following:
Originally published by Shantala Weiss for NAIOP's Development Magazine.
In the wake of COVID-19, workplaces are presented with a unique opportunity to shape corporate culture's future and use physical space to foster a sense of community and innovation that can’t be offered when working from home. Building elements that align with the goals of active, sustainable, and universal design have the potential to play a crucial role in post-pandemic commercial real estate.
Originally published on August 17, 2021 for NAIOP E-Newsletter.
The Senate last week passed the INVEST in America Act (H.R. 3684), a bipartisan infrastructure package that had been backed by the White House, by a vote of 69-30. The spirit of bipartisanship was short-lived, however, as Senate Democrats moved quickly to pass a $3.5 trillion budget resolution (S. Con. Res. 14) by a vote of 59-49, with all Republicans present voting in opposition. Adoption of a budget resolution is the first step in developing budget reconciliation legislation that could pass the Senate with a simple majority and not be subject to a Senate filibuster that would require 60 votes to overcome. Senate Democrats, who control 50 votes, can pass legislation since Vice President Kamala Harris casts the tie-breaking vote under the U.S. Constitution.
Originally published by Hany Guirguis, Ph.D., Manhattan College and Michael J. Seiler, DBA, William & Mary in August 2021
Demand for industrial real estate continues to be strong as the long-term trend toward e-commerce (and away from in-store sales) continues with no end in sight. With nearly 100 million new square feet delivered nationally since the beginning of the year, 450 million square feet currently under construction, and another 450 million planned, the demand for industrial real estate still outpaces supply.1
Originally published by Rob Naso for NAIOP Development Magazine Summer 2021 Issue
The COVID-19 pandemic has redefined the role that office landlords play in creating safe, healthy work environments. While most office workers packed up their laptops and headed home to ride out the pandemic, building owners and property managers had to pivot quickly to elevate safety measures for the essential workers who remained, in an environment with fast-changing public health guidelines. Now, they face the next stage of recovery — ensuring tenants feel comfortable returning to the workplace as vaccination rates increase.
There is one opportunity left to participate in CRCBR/NAIOP Charlotte’s annual golf tournament that will be held on September 27 at Carolina Golf Club!
Make plans to join us as the Longest Drive Contest (Female) sponsor to get your company name in front of developers and brokers and catch up with your industry peers at this fun and valuable event! This opportunity includes player registrations.
Sponsorship opportunities are available on a first-come, first-served basis.
At this time, player spots are only available through sponsorship of the tournament.
Originally published by Philip Wilkinson and Teresa Bucco for NAIOP Development Magazine Summer 2021 issue.
For nearly two decades, online shopping has seen steady growth in both traffic and sales, which has forced traditional retailers to think of new ways to draw people into brick-and-mortar stores. In more recent years, shifts toward experiential retail saw many retailers overhauling store designs to give shoppers more hyperlocal, boutique or high-end encounters while encouraging online buying and in-store pickup.
The City of Charlotte is seeking applications for two community commissions. The application deadline has been extended to August 27, 2021. Nominations will occur on September 13 and appointments will occur on September 27. Below is more information on the opportunities.
Charlotte Equitable Development Commission
Originally published on July 29, 2021, by Sheheryar Hafeez for the NAIOP E-Newsletter.
Real estate investment trust (REIT) merger and acquisition activity has emerged from the pandemic in full force with some $75 billion in investment nationally from January through mid-July 2021. This robust activity is expected to continue throughout what could potentially be a record-breaking year. While all 11 Global Industry Classification Standard sectors are in positive territory for the year, real estate ranks second highest with a strong 27% performance, just slightly below energy.
Originally published on August 3, 2021, for NAIOP E-Newsletter.
The bipartisan group of senators negotiating infrastructure legislation finalized legislative text over the weekend and officially introduced the measure Sunday night. Senate Majority Leader Chuck Schumer (D-NY) has stated he plans to hold a vote on the bill later this week.
Originally published by Scott Murdoch for the Summer 2021 Issue of NAIOP Development Magazine.
While grocery e-commerce was growing prior to the pandemic, the sector saw staggering market penetration over the course of 2020 and beyond. Concerned about safely accessing food, consumers across all demographics turned to online grocery shopping as a convenient, safe option.
Originally published on July 27, 2021, by Ester Fung for the Wall Street Journal.
U.S. commercial real-estate sales this year have rebounded to pre-pandemic levels, fueled by historically low-interest rates and the belief of many investors that the worst of Covid-19 is over.
Originally published on July 21, 2021, for NAIOP E-Newsletter.
Owners and developers of commercial real estate recognize that obtaining local building permits is an essential and fundamental requirement for the development and improvement of their properties. The processes for obtaining these permits vary by municipality and state. These variations lead to uncertainties and delays in projects moving forward, which impacts the development project’s financing, cost and the retention of contractors, construction equipment and other materials.
Originally published on July 27, 2021, for NAIOP E-Newsletter.
Republican and Democratic Senators negotiating infrastructure legislation signaled they were close to a final deal, with lead negotiator Rob Portman (R-OH) saying they were “90% of the way there.” The coming days are critical after Senate Majority Leader Chuck Schumer (D-NY) forced a procedural vote last week on moving a bill forward despite there being no legislative language available. The vote failed to garner the 60 votes needed for passage of the procedural motion, with the lead negotiators arguing they hoped to have any remaining issues resolved and legislative text drafted this week.
