After a year of strong economic performance, the Federal Open Market Committee (FOMC) voted at its year-end meeting to hike interest rates by 25 basis points. It also released projections revealing it intends to increase rates three more times in 2017
It’s been a bull run for the industrial real estate sector in recent years and industry pros expect that to continue in 2017. While new development levels are creeping up, leasing activity remains robust, occupancy rates at industrial properties are high and rents are continuing to grow.
Lenders are weighing the risk and reward of investing in tertiary markets carefully. CMBS and institutional lenders have a reputation for “cherry picking” the best deals, while local banks and credit unions are stepping in to provide capital and fill the funding gap.
Home prices continue to chart growth, rising on an annual basis to outpace inflation, according to CoreLogic’s recently released Home Price Index (HPI) for January 2017. Prices increased 0.7 percent month-over-month and 6.9 percent year-over-year.
Brick-and-mortar retailers have been shrinking their footprints due to the competition from e-commerce, and experts believe thousands of outlets will get shut down completely in 2017. But retail investors looking for solid returns can still find opportunities among well-located neighborhood centers.
Phoenix Galvanize is now open in the Warehouse District of downtown. Denver-based Galvanize Inc., the learning community for technology, opened its educational and co-working campus Feb. 20 to host the opening day of Phoenix Startup Week. The third largest Galvanize campus in the country has already attracted 220 members from 48 companies
Almost 15 years ago, Mesa landed a starring role on national prime-time TV. But it was the kind of publicity no city wants. Mike Wallace, the legendary – and feared – correspondent for CBS’ “60 Minutes,” had come to town to look into a nasty spat about the future of a prime corner in downtown Mesa.
Developers still hope that Millennials will help fill the slowly growing number of vacant apartments across the United States. They might be right. More than a million Millennials still live at home—less than a few years ago, but still a substantial number, including some who are likely to eventually rent apartments.
Dick’s Sporting Goods, REI, Bimbo Bakeries USA and Sub-Zero are four humongous buildings along Loop 303 in Goodyear, part of a growing effort to attract industrial employers to the West Valley. The distribution centers, all part of the PV303 business park that runs from Thomas Road to Camelback
A majority of commercial real estate investors plan to be net buyers this year, the highest level since 2014, spurred by prospects of increased U.S. economic growth and less regulation, a survey of investor intentions showed on Tuesday.
The news last week was good and seems to indicate that the economy is accelerating early in the new quarter. After a mediocre 4th quarter (1.9%), the first quarter of 2017 is shaping up to be better. Consumer confidence, as measured by the Conference Board, is now the highest since August 2001. Manufacturing is looking better, the non-manufacturing sector is expanding, and auto sales remain strong.
Tempe is on track to host the Valley’s first streetcar through an estimated $186 million transportation development. Streetcars have recently returned to popularity, with new construction springing up in Tucson and other cities across the U.S. Advocates say they add an option to the web of public transportation and bring development to surrounding areas.
A Nogales, Ariz., pipeline is so decrepit that untreated waste could leak sewage during heavy rains. At least 2,000 wells in the state are open and should be covered or shut down because they pose a hazard to the public. And roadways that carry millions of people should be widened
Access to capital is the lifeblood of the commercial real estate industry. It’s what allows a buyer to close an acquisition, enables expansions and renovations of properties and keeps projects afloat when a maturing loan comes due. In the first six months of this year alone, roughly $65.6 billion in CMBS debt will come due
This is the age of e-commerce, and the threat to brick-and-mortar retailers can’t be underestimated. Just in recent months, Macy’s, Sears, J.C. Penney and other big chains have announced hundreds of store closures across the nation, as innovative marketing by rivals like Amazon.com cut physical stores out of the loop. Yet it would be a mistake to assume
Fund management firm, BKM Capital Partners, acquired Northwest Business Center, an 11-building multi-tenant light industrial business park totaling 227,603 square feet in Phoenix, Arizona for $17.2 million. The business park is located at 2310-2440 W. Mission Ln., 9014-9034 N. 23rd Ave., and 9013-9033 N. 24th Ave. Phoenix, Arizona.
Industrial vacancy is at an all-time low, declining by 70 basis points from a year ago to an aggregate nationwide vacancy of 5.6 percent in the fourth quarter of 2016, according to the year-end industrial market report from real estate services firm JLL. JLL researcher Aaron Ahlburn says that the former record low vacancy was in 2000
The upward trend in CMBS delinquencies continued in February after taking a breather the month before, Trepp LLC said Friday. The late-pay rate for securitized commercial mortgages ticked upward by 13 basis points to 5.31%. It’s the 10th monthly increase in delinquencies over the past 12 months. Trepp cites loans from 2006 and 2007 reaching their maturity dates without refinancing
It was one of the most legendary roads in America. Winding from Virginia to downtown Los Angeles, old U.S. 60 carried generations of families across the country and right through the neon-lit hearts of Tempe and Mesa. The remains of that highway are now called Apache Boulevard in Tempe, and Main Street in Mesa. Aging motels, trailer parks, car-sales lots and auto repair shops are reminders of its heyday.
referred Apartment Communities Inc. has announced the acquisition of a student housing community adjacent to Arizona State University in Tempe. The company purchased the 225-unit, 640-bed campus asset through its wholly-owned subsidiary Preferred Campus Communities LLC. “We believe this property is a premier, well located student housing asset, providing residents with immediate access to the Arizona State campus
Lincoln Property Co. has bought a Class A office property on Camelback Road in Phoenix for $24.56 million. LPC bought 2777 Camelback from DRA Advisors/Fountainhead Equity Partners. The 104,618-square-foot office project is located near 28th Street and Camelback Road in one of Arizona’s top commercial corridors.
The first release of CoStar Commercial Repeat-Sale Indices (CCRSI) data for 2017 showed pricing of lower-priced CRE properties moving back into positive territory during January, helping offset an ongoing deceleration in pricing among larger assets in core U.S. markets. The equal-weighted U.S. Composite Index advanced by 1.4% during January, reversing a 1.4% decline the previous month
Bell Road in Surprise is split down the middle by a slim line of palm trees and dozens of chain restaurants and big-box stores on either side. Homegrown, independent businesses are fewer and farther between. Metro Phoenix has non-chain restaurants reminiscent of those in her hometown, but they’re mostly in areas such as Tempe and Scottsdale
With a commercial real estate executive now in the White House, more than two-thirds of the CRE executives (69%) surveyed by law firm Seyfarth Shaw said they expect President Trump will have an overall positive impact on commercial real estate in 2017. Rising interest rates continue to dominate concerns for U.S. commercial real estate executives in 2017
Last year, $502 billion in commercial mortgages was originated. That was down slightly from the $504 billion originated the year prior and well shy of the $537 billion that the Mortgage Bankers Association (MBA) had predicted.