Market Data

Regional Outlook(18)

EAST

Despite fears that metro D.C. leasing activity will slow this year due to federal government cutbacks, Market Square, a 679,710-sf mixed-use complex sold for around $615 million, setting a new record for office sales at $904 psf, according to the Washington Business Journal. Wells Real Estate Investment Trust II purchased the property from Beacon Capital Partners at a 4.9 percent capitalization rate, reports Jones Lang LaSalle.

MIDWEST


WEST

Retail 2.0

“The country simply has too many empty stores — and houses — out in its hinterlands for the original ‘chasing the rooftops’ strategy to make sense anytime soon.”
—Jeff Green, CEO of Phoenix-based Jeff Green Partners, in Chain Store Age


Great Hearts Academies, which operates 12 state-funded charter schools in the Phoenix area, purchased the Arcadia Corporate Center in east Phoenix for $5.96 million, according to Colliers International, which represented the buyer. The 141,000-sf building on 13 acres will serve as Great Hearts headquarters and house two schools after an extensive renovation to add more school facilities. Charter schools are finding great reuse opportunities in today’s real estate market, says Great Hearts CEO Dan Scoggin. The school, which began in a strip mall, also has purchased and renovated a former grocery store and light industrial property to serve as school campuses.

EAST

Boston Tees Up

The Canadian superstore Golf Town opened five locations in the Boston area with a sixth to open this summer. The stores are 20,000 sf or larger with putting greens and six computer golf simulators that allow customers to test products. The company plans to open 12 stores in the Northeast over the next two years, says Golf Town president and CEO Stephen Bebis, who hopes to eventually expand into all U.S. markets with 600 stores.

SOUTH

Hot Picks for Headquarters

Companies looking to cut costs are more attracted to secondary cities, particularly those in Florida, according to a report in Site Selection magazine. A recent business costs study found Orlando, Fla., the least expensive headquarters city, with operating costs totaling $19.9 million annually, compared with the U.S.’s most expensive city, New York, where operating costs total $28.4 million. The study also found Jacksonville, Palm Beach County, and Tampa-St.Petersburg competitive on operating costs. Perhaps the report will help Florida office vacancy rates, which, while high, are moving in the right direction.

NORTH

Recommended

Building Progress

Fall 2020

Moody's Analytics Reis Chief Economist Victor Calanog, Phd, CRE, outlines how construction in many sectors will fail to meet expectations for 2020.

Read More

This Is the Altered Normal

Fall 2020

Esri’s data on consumer behavior, demographics, and employment can help real estate adapt in the COVID-19 world.

Read More

The CMBS Stress Test

Summer 2020

The commercial mortgage-backed securities market is particularly vulnerable amid the COVID-19 pandemic, with borrowers and lenders looking for creative solutions to unprecedented problems.

Read More

Market Trends in Commercial Real Estate

Summer 2020

Office Renters Change Priorities in Wake of Pandemic | Recreational Real Estate on the Rise | Case Study: COVID-19's Impact on Eastern PA Big-Box Market | Hospitality Owners Have Reservations as Occupancy Drop | Seniors Housing Responds to Mounting Pressure from Pandemic | Mixed-Use Developments Can Keep It Local | Supply Chain Reacts to Social Distancing | Self-Storage Weathers Early COVID-19 Storm

Read More