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.
• Flexible Parking Structures as Civic Catalysts by Will Macht of Urban Land Magazine.
“For urban planners who consider the automobile the major cause of the deterioration of cities, loss of community spaces, elimination of mixed uses, and decimation of urban street life, it may seem a contradiction to propose construction of parking structures as the cure. Yet that is precisely the intent and result of a proposal submitted in a design challenge sponsored by a nonprofit entity, supported by a regional foundation, and entered by leading architects and urban planners.”
• Hold the Upgrades! Why Luxury Amenities Are Not a Top Priority for Students by Danny Vanecko for Student Housing Business.
“Students were asked to rank their favorite amenities from eight choices. The top three were all traditional amenities: larger units, in-unit washer/dryer and storage space. Meanwhile, the luxury amenities fell below in the following order: fitness center, pool, community café, game room and training room (What Millennials Want – Residential Preferences in Student Housing Design and Amenities, J Turner Research, 2013).”
• 2015 U.S. Hotel Forecast Released, Strong Demand Continues by Miho Favela of World Property Journal.
“‘Lodging demand has recently expanded at more than twice its long-run pace,” said Adam Sacks, president of Tourism Economics. “This over-performance tells us that room demand is likely to realize more modest gains in 2015, despite the likelihood of stronger economic growth. Meanwhile, room rates will make the largest contributions to RevPAR as hotels are emboldened by elevated occupancy rates. We expect inflation-adjusted ADR to reach a new peak in 2015.”
• Commercial Real Estate Is Now a Market of the Haves and Have Nots by Peter Grant of the Wall Street Journal.
“The rebounding real estate market isn’t treating all commercial property owners equally. Properties like apartment buildings and downtown office buildings have recovered all the value they lost during the bust and then some. But other types of properties, like suburban office buildings, are still worth a lot less than they were before the crash.”
• High Streets: Investors Rush Into Luxury Urban Retail by Randyl Drummer of CoStar Group.
“Even the $1.77 billion in high-end retail property sales in 2007 doesn't come close to this year's dollar volume for deals at the priciest end of the retail investment spectrum. Super-rich retail property sales are breaking records even subtracting two separate $700 million purchases in Manhattan and Hawaii that are the year's two largest transactions priced over $2,000 per square foot.”