The document provides a summary and outlook of the 2014 commercial real estate market from a presentation given by KC Conway, Chief Economist at Colliers International. Some key points from the presentation include:
- GDP growth slowed to under 2% in the first half of 2014 due to inventory build up in late 2013, but was expected to rebound above 2% in the second half.
- Employment numbers needed closer monitoring due to factors like labor participation rates and long-term unemployment.
- Banks were expected to continue slowing commercial real estate loan growth due to stress tests showing a potential 35% decline in property values.
- Interest rates were forecasted to remain volatile within a range of 2-4%.
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The Canadian housing market and economy showed signs of recovery in October. Home sales and prices increased across most of Canada, with the national average home price rising 13.6% year-over-year. The strong housing market recovery has contributed to Canada being one of the first developed nations to emerge from recession. While exports may be dampened by a stronger Canadian dollar, private investment and consumer spending are expected to support continued economic growth. Overall, recent data indicates Canada is well-positioned for a sustained rebound from the economic downturn.
This paper reviews housing markets in 11 countries that are members of the International Housing Association (IHA). It finds that several issues have emerged post-recession, including a lack of affordable low-income housing and improper regulation of mortgage markets. Canada is highlighted as stabilizing its housing market since 2009 through early Bank of Canada intervention and later macroprudential policies that tightened mortgage lending guidelines. The paper also examines factors driving up housing prices in Australia such as resource sector booms lacking adequate planning and infrastructure.
The document is a 2009 fall edition of RICS Americas magazine. It features several articles on issues related to commercial real estate markets in North America and globally during the economic crisis and recovery. The main article discusses how while other parts of the economy appear to be recovering, the commercial real estate market will likely lag behind and face a long road to full recovery. The magazine also includes articles on sustainable finance, integrating real estate and art, principles of sustainable property evaluation, and real estate markets in Canada, Mexico, Italy, and the Caribbean.
The US Senate voted that climate change is real, though not caused by humans. This was a strategic move by climate change denier James Inhofe to get the Keystone XL pipeline bill passed without specifying the cause of climate change. While most Republicans voted for the amendment, Inhofe continues to publicly oppose climate change funding and policies, showing the vote did not represent a real shift in views. The debate avoided addressing climate change with appropriate seriousness.
This document presents a slideshow about case studies in New York City property development. It examines development projects in NYC and the economic benefits provided by the city to encourage development. It discusses issues like vacant and underused land, including parking lots and low-rise "taxpayer" buildings near subway stations. It analyzes specific properties in Manhattan and Brooklyn that are assessed at much lower values than comparable properties, suggesting property owners are benefitting from low tax assessments. The slideshow argues that raising land value tax assessments would not reduce affordable housing and would incentivize more efficient use of land.
Slideshow presented November 22, 2013 & February 5, 2014, at the Henry George School. Shows the effect of under-taxing land and over-taxing buildings and improvements. Based on the Henry George Single Tax theorem.
This document contains a proposed bill that would allow American citizens to modify their existing home mortgages to a 4% interest rate without changing lenders. This is intended to help stimulate the economy by decreasing unemployment, preventing foreclosures and bank-owned homes, stabilizing the housing market, increasing tax revenues, and helping household budgets. The bill is supported by findings that banks are lending little due to losses on home loans, the slow job and housing market recovery since 2007, the problem of "zombie foreclosures" lingering for years in process while damaging home values, and forecasts of a continued difficult year for the mortgage industry in 2014 due to new regulations.
CEL-CEIBS PE Scholarship - Alex F. Favila - 2009-03-24alexfavila
This document discusses the opportunities for private equity in China despite the current economic downturn. It provides context on the state of the global and Chinese economies, including significant slowdowns and factory closures in China. While conditions are challenging, the document argues that China's domestic economy still has growth potential and private equity can play an important role in facilitating China's economic transition by providing financial expertise and capital to companies. Private equity has evolved from early leveraged buyouts in the 1960s-1980s to focus more on long-term value creation through turnarounds and lower leverage today. Access to leveraged funding is now a challenge for private equity due to the credit market crisis.
The Canadian housing market and economy showed signs of recovery in October. Home sales and prices increased across most of Canada, with the national average home price rising 13.6% year-over-year. The strong housing market recovery has contributed to Canada being one of the first developed nations to emerge from recession. While exports may be dampened by a stronger Canadian dollar, private investment and consumer spending are expected to support continued economic growth. Overall, recent data indicates Canada is well-positioned for a sustained rebound from the economic downturn.
This paper reviews housing markets in 11 countries that are members of the International Housing Association (IHA). It finds that several issues have emerged post-recession, including a lack of affordable low-income housing and improper regulation of mortgage markets. Canada is highlighted as stabilizing its housing market since 2009 through early Bank of Canada intervention and later macroprudential policies that tightened mortgage lending guidelines. The paper also examines factors driving up housing prices in Australia such as resource sector booms lacking adequate planning and infrastructure.
The document is a 2009 fall edition of RICS Americas magazine. It features several articles on issues related to commercial real estate markets in North America and globally during the economic crisis and recovery. The main article discusses how while other parts of the economy appear to be recovering, the commercial real estate market will likely lag behind and face a long road to full recovery. The magazine also includes articles on sustainable finance, integrating real estate and art, principles of sustainable property evaluation, and real estate markets in Canada, Mexico, Italy, and the Caribbean.
The US Senate voted that climate change is real, though not caused by humans. This was a strategic move by climate change denier James Inhofe to get the Keystone XL pipeline bill passed without specifying the cause of climate change. While most Republicans voted for the amendment, Inhofe continues to publicly oppose climate change funding and policies, showing the vote did not represent a real shift in views. The debate avoided addressing climate change with appropriate seriousness.
This document presents a slideshow about case studies in New York City property development. It examines development projects in NYC and the economic benefits provided by the city to encourage development. It discusses issues like vacant and underused land, including parking lots and low-rise "taxpayer" buildings near subway stations. It analyzes specific properties in Manhattan and Brooklyn that are assessed at much lower values than comparable properties, suggesting property owners are benefitting from low tax assessments. The slideshow argues that raising land value tax assessments would not reduce affordable housing and would incentivize more efficient use of land.
Slideshow presented November 22, 2013 & February 5, 2014, at the Henry George School. Shows the effect of under-taxing land and over-taxing buildings and improvements. Based on the Henry George Single Tax theorem.
This document contains a proposed bill that would allow American citizens to modify their existing home mortgages to a 4% interest rate without changing lenders. This is intended to help stimulate the economy by decreasing unemployment, preventing foreclosures and bank-owned homes, stabilizing the housing market, increasing tax revenues, and helping household budgets. The bill is supported by findings that banks are lending little due to losses on home loans, the slow job and housing market recovery since 2007, the problem of "zombie foreclosures" lingering for years in process while damaging home values, and forecasts of a continued difficult year for the mortgage industry in 2014 due to new regulations.
CEL-CEIBS PE Scholarship - Alex F. Favila - 2009-03-24alexfavila
This document discusses the opportunities for private equity in China despite the current economic downturn. It provides context on the state of the global and Chinese economies, including significant slowdowns and factory closures in China. While conditions are challenging, the document argues that China's domestic economy still has growth potential and private equity can play an important role in facilitating China's economic transition by providing financial expertise and capital to companies. Private equity has evolved from early leveraged buyouts in the 1960s-1980s to focus more on long-term value creation through turnarounds and lower leverage today. Access to leveraged funding is now a challenge for private equity due to the credit market crisis.
On November 10, 2011, the chapter hosted Dr. Dick Stevie, Chief Economist for Duke Energy, and Dr. George Vredeveld, Alpaugh Professor of Economics at the University of Cincinnati and founder and Director of its Economics Center.
Capital Markets Industry Insights - Q1 2016Duff & Phelps
Prospective middle-market issuers are being greeted with robust demand from both traditional private credit investors and crossover public market participants. While monetary policy concerns weighed heavily on market participants for much of the first quarter, the Fed’s more dovish posture of recent weeks has triggered an increase in risk appetite across the credit markets.
The document provides an overview of Lee & Associates, a commercial real estate services firm with over 870 agents and $12 billion in annual transaction volume. It then summarizes national industrial market trends in the second quarter of 2016, including steady vacancy declines, strong net absorption, and rising rental rates. Finally, it offers a outlook for continued positive industrial market conditions in the short term, followed by a potential slowing of growth in 2017 due to global economic uncertainties.
This document discusses the role of private debt and credit growth in economic stability. It argues that pre-crisis orthodoxy viewed low inflation as sufficient for stability, but private debt growth fueled asset price booms and recessions. Credit growth for real estate and existing assets does not directly stimulate GDP but can inflate prices. To promote stability, policy should constrain private leverage growth and the dominance of real estate lending through higher bank capital requirements and countercyclical policies.
- The document provides an overview of global real estate investment trends in 2015 and an outlook for 2016.
- Global property investment volumes fell slightly for the first time in 6 years in 2015, down 2.4% to $1.29 trillion, driven by a pullback in Asia, notably for development land. Excluding land, volumes rose 8.2%.
- Going forward, the focus will be on core assets that provide value to occupants. Investors will seek platforms for local intelligence and pursue opportunities such as modern flexible office, retail, and logistics space in gateway cities.
The document discusses the causes and effects of the 2008 global financial crisis. It began with the collapse of the US housing market and subprime mortgage crisis. Low interest rates led to increased lending to subprime borrowers who took on mortgages they could not repay. These risky loans were repackaged and sold globally. When housing prices declined, borrowers defaulted, damaging financial institutions and triggering a global recession. India was impacted through declines in exports, foreign investments, and economic growth, though its banks were more stable due to stronger regulations.
The Great Recession of 2008-2010 was caused by a combination of factors that led to instability in the US housing and financial markets. Cheap credit and low interest rates fueled a housing bubble as borrowers took on risky subprime mortgages. When borrowers began to default, it sparked a financial crisis as institutions holding these mortgages faced losses. Global trade imbalances and weak lending practices exacerbated the issues. While all countries were affected, the crisis revealed the US's growing economic dependence on countries like China and raised questions about US economic dominance going forward.
This document provides an unaudited financial summary for the 1st quarter of 2013 and includes forward-looking statements. It discusses First Financial Bank's expansion in Texas through both acquisitions and organic growth. Key metrics provided include total assets of $4.5 billion, total deposits of $3.6 billion, and total loans of $2.1 billion as of March 31, 2013 or the end of the 1st quarter. The bank has experienced consistent growth in assets, deposits, and loans in recent years through its expansion strategy and presence in high growth Texas markets.
The document discusses the 2011 US debt ceiling crisis. It provides background on the debt ceiling and explains that failing to raise it would require massive spending cuts or default. The crisis occurred when the debt limit was reached in 2011. Republicans opposed tax increases while Democrats supported a mix of cuts and taxes. Eventually, a deal was reached involving spending limits but no tax increases. This damaged the US economy and credit rating. The global effects included weaker currencies in countries tied to the dollar and impacts on oil producers and China's holdings of US assets.
Ziad Abdelnour, Lebanese American author, trader and financier is President & CEO of Blackhawk Partners, Inc., a “private family office” that backs talented operating executives in growing their companies both organically and through acquisitions and trades physical commodities.
The document summarizes the key external economic drivers that will influence Florida's economy from 2011-2012. It finds that the national and global economies will experience below potential growth during this period. Specifically, it notes modest US growth, stability but fragility in financial markets, and expanding trade opportunities in emerging markets like Asia and Latin America. Overall, the economic outlook is positive for Florida's recovery from recession, but a return to strong growth is unlikely in the next two years.
Houston Economy at a Glance November 2013Coy Davidson
This document provides an economic outlook and summary of key indicators for Houston, Texas in 2013. It discusses that most indicators suggest 2013 has been one of the best years on record for Houston, with home sales, auto sales, construction, and airport traffic nearing or reaching record levels. However, some indicators like the rig count and exports have slowed. The document announces an upcoming panel discussion and forecast from the Greater Houston Partnership that will provide further details and outlook on Houston's economy in 2014.
The document discusses the recession in the United States, defining it as a contraction of GDP for at least two quarters. It then discusses the causes of recessions, including decreased consumer confidence leading to lower spending, production and higher unemployment. It also covers the subprime mortgage crisis in the U.S. and its role in the 2007-2008 recession, with many subprime borrowers defaulting as home prices fell. This caused losses for banks and helped spread the crisis globally.
The document discusses the positive outlook for the UK residential development land market in 2013 despite economic uncertainty. It notes that land prices outperformed house prices in 2012 with greenfield and urban land values increasing while house prices fell. Developers are actively seeking permissioned land in high-value areas facing shortages, particularly in London and the South East. Recapitalized housebuilders are using cash to directly purchase land due to strong competition in prime markets. The outlook expects continued momentum in the industry backed by improving profits and mortgage availability, though transaction volumes and price growth will likely remain subdued overall.
This document provides an abstract and introduction for a research paper about the causes of the Great Recession. The paper will examine the housing and credit bubbles that contributed to the recession and study how improving financial literacy could help prevent future crises. The introduction discusses the motivation for the research and provides background on the bursting of the housing bubble and credit crunch. It analyzes the impacts of deregulation that allowed riskier lending and the merger of banks and insurance companies. The document will review literature on these topics and survey students' financial knowledge to understand how awareness could impact financial crises.
The document discusses the recession in the United States. It defines a recession as a decline in GDP for at least two consecutive quarters. It outlines some of the key indicators of a recession like decreasing personal income and factory production as well as rising unemployment. It then discusses some of the major recessions in US history and how the subprime mortgage crisis of the late 2000s led to a major recession due to declining home prices and rising mortgage defaults. This caused major financial institutions like Lehman Brothers to fail, significantly damaging the US and global economies.
The recession that began in the late 2000s was, to date, the worst economic downturn in the United States since the Great Depression. They didn't call it the "Great Recession" for nothing.
- Wearables can provide benefits to enterprises by potentially improving security through authentication, saving money on insurance, and increasing employee efficiency, satisfaction, and health. This may lead to lower turnover rates and higher productivity.
- Challenges with wearables in enterprises include issues with security, privacy, user experience, connectivity, and high prices. Further testing is needed to evaluate wearables' impact on tasks and authentication.
- Next steps for the team are to conduct a literature review, acquire wearables for testing, develop a way to export wearable data, test based on tasks, analyze results, and document findings.
CRTLabs & The Internet of Things in Real EstateChad Curry
Chad Curry, Chris Coté, & Dave Conroy discuss what to expect from the Internet of Things in Real Estate. They cover how the data from smart sensors could improve quality of life for homeowners and improve the relationship with REALTORS outside the transaction.
On November 10, 2011, the chapter hosted Dr. Dick Stevie, Chief Economist for Duke Energy, and Dr. George Vredeveld, Alpaugh Professor of Economics at the University of Cincinnati and founder and Director of its Economics Center.
Capital Markets Industry Insights - Q1 2016Duff & Phelps
Prospective middle-market issuers are being greeted with robust demand from both traditional private credit investors and crossover public market participants. While monetary policy concerns weighed heavily on market participants for much of the first quarter, the Fed’s more dovish posture of recent weeks has triggered an increase in risk appetite across the credit markets.
The document provides an overview of Lee & Associates, a commercial real estate services firm with over 870 agents and $12 billion in annual transaction volume. It then summarizes national industrial market trends in the second quarter of 2016, including steady vacancy declines, strong net absorption, and rising rental rates. Finally, it offers a outlook for continued positive industrial market conditions in the short term, followed by a potential slowing of growth in 2017 due to global economic uncertainties.
This document discusses the role of private debt and credit growth in economic stability. It argues that pre-crisis orthodoxy viewed low inflation as sufficient for stability, but private debt growth fueled asset price booms and recessions. Credit growth for real estate and existing assets does not directly stimulate GDP but can inflate prices. To promote stability, policy should constrain private leverage growth and the dominance of real estate lending through higher bank capital requirements and countercyclical policies.
- The document provides an overview of global real estate investment trends in 2015 and an outlook for 2016.
- Global property investment volumes fell slightly for the first time in 6 years in 2015, down 2.4% to $1.29 trillion, driven by a pullback in Asia, notably for development land. Excluding land, volumes rose 8.2%.
- Going forward, the focus will be on core assets that provide value to occupants. Investors will seek platforms for local intelligence and pursue opportunities such as modern flexible office, retail, and logistics space in gateway cities.
The document discusses the causes and effects of the 2008 global financial crisis. It began with the collapse of the US housing market and subprime mortgage crisis. Low interest rates led to increased lending to subprime borrowers who took on mortgages they could not repay. These risky loans were repackaged and sold globally. When housing prices declined, borrowers defaulted, damaging financial institutions and triggering a global recession. India was impacted through declines in exports, foreign investments, and economic growth, though its banks were more stable due to stronger regulations.
The Great Recession of 2008-2010 was caused by a combination of factors that led to instability in the US housing and financial markets. Cheap credit and low interest rates fueled a housing bubble as borrowers took on risky subprime mortgages. When borrowers began to default, it sparked a financial crisis as institutions holding these mortgages faced losses. Global trade imbalances and weak lending practices exacerbated the issues. While all countries were affected, the crisis revealed the US's growing economic dependence on countries like China and raised questions about US economic dominance going forward.
This document provides an unaudited financial summary for the 1st quarter of 2013 and includes forward-looking statements. It discusses First Financial Bank's expansion in Texas through both acquisitions and organic growth. Key metrics provided include total assets of $4.5 billion, total deposits of $3.6 billion, and total loans of $2.1 billion as of March 31, 2013 or the end of the 1st quarter. The bank has experienced consistent growth in assets, deposits, and loans in recent years through its expansion strategy and presence in high growth Texas markets.
The document discusses the 2011 US debt ceiling crisis. It provides background on the debt ceiling and explains that failing to raise it would require massive spending cuts or default. The crisis occurred when the debt limit was reached in 2011. Republicans opposed tax increases while Democrats supported a mix of cuts and taxes. Eventually, a deal was reached involving spending limits but no tax increases. This damaged the US economy and credit rating. The global effects included weaker currencies in countries tied to the dollar and impacts on oil producers and China's holdings of US assets.
Ziad Abdelnour, Lebanese American author, trader and financier is President & CEO of Blackhawk Partners, Inc., a “private family office” that backs talented operating executives in growing their companies both organically and through acquisitions and trades physical commodities.
The document summarizes the key external economic drivers that will influence Florida's economy from 2011-2012. It finds that the national and global economies will experience below potential growth during this period. Specifically, it notes modest US growth, stability but fragility in financial markets, and expanding trade opportunities in emerging markets like Asia and Latin America. Overall, the economic outlook is positive for Florida's recovery from recession, but a return to strong growth is unlikely in the next two years.
Houston Economy at a Glance November 2013Coy Davidson
This document provides an economic outlook and summary of key indicators for Houston, Texas in 2013. It discusses that most indicators suggest 2013 has been one of the best years on record for Houston, with home sales, auto sales, construction, and airport traffic nearing or reaching record levels. However, some indicators like the rig count and exports have slowed. The document announces an upcoming panel discussion and forecast from the Greater Houston Partnership that will provide further details and outlook on Houston's economy in 2014.
The document discusses the recession in the United States, defining it as a contraction of GDP for at least two quarters. It then discusses the causes of recessions, including decreased consumer confidence leading to lower spending, production and higher unemployment. It also covers the subprime mortgage crisis in the U.S. and its role in the 2007-2008 recession, with many subprime borrowers defaulting as home prices fell. This caused losses for banks and helped spread the crisis globally.
The document discusses the positive outlook for the UK residential development land market in 2013 despite economic uncertainty. It notes that land prices outperformed house prices in 2012 with greenfield and urban land values increasing while house prices fell. Developers are actively seeking permissioned land in high-value areas facing shortages, particularly in London and the South East. Recapitalized housebuilders are using cash to directly purchase land due to strong competition in prime markets. The outlook expects continued momentum in the industry backed by improving profits and mortgage availability, though transaction volumes and price growth will likely remain subdued overall.
This document provides an abstract and introduction for a research paper about the causes of the Great Recession. The paper will examine the housing and credit bubbles that contributed to the recession and study how improving financial literacy could help prevent future crises. The introduction discusses the motivation for the research and provides background on the bursting of the housing bubble and credit crunch. It analyzes the impacts of deregulation that allowed riskier lending and the merger of banks and insurance companies. The document will review literature on these topics and survey students' financial knowledge to understand how awareness could impact financial crises.
The document discusses the recession in the United States. It defines a recession as a decline in GDP for at least two consecutive quarters. It outlines some of the key indicators of a recession like decreasing personal income and factory production as well as rising unemployment. It then discusses some of the major recessions in US history and how the subprime mortgage crisis of the late 2000s led to a major recession due to declining home prices and rising mortgage defaults. This caused major financial institutions like Lehman Brothers to fail, significantly damaging the US and global economies.
The recession that began in the late 2000s was, to date, the worst economic downturn in the United States since the Great Depression. They didn't call it the "Great Recession" for nothing.
- Wearables can provide benefits to enterprises by potentially improving security through authentication, saving money on insurance, and increasing employee efficiency, satisfaction, and health. This may lead to lower turnover rates and higher productivity.
- Challenges with wearables in enterprises include issues with security, privacy, user experience, connectivity, and high prices. Further testing is needed to evaluate wearables' impact on tasks and authentication.
- Next steps for the team are to conduct a literature review, acquire wearables for testing, develop a way to export wearable data, test based on tasks, analyze results, and document findings.
CRTLabs & The Internet of Things in Real EstateChad Curry
Chad Curry, Chris Coté, & Dave Conroy discuss what to expect from the Internet of Things in Real Estate. They cover how the data from smart sensors could improve quality of life for homeowners and improve the relationship with REALTORS outside the transaction.
This document provides a summary of the crude oil market in early 2016. It notes that crude oil prices had fallen dramatically to around $30/barrel from over $100/barrel previously. It analyzes factors contributing to lower oil prices such as increased US shale oil production, the lifting of the US oil export ban, and the market share war being waged by Saudi Arabia. The document also examines projections for global oil supply and demand in 2016-2017 and the expected impacts on production levels from US shale declines, OPEC, and potential increased exports from Iran.
The document provides an overview and summary of Colliers' first national medical office report. It discusses key drivers of the medical office building (MOB) market, including the aging baby boomer population and Affordable Care Act. It also summarizes trends in the healthcare industry such as employment growth in outpatient care and widespread industry growth across US geographies. Healthcare real estate trends are also examined, like stable MOB vacancy rates and declining construction activity in recent years.
This document provides information on sponsors, partners, and leadership for CRE // Tech events. It lists lead sponsors and national media sponsors. It also lists the board of advisors and regional chairs that provide leadership for CRE // Tech. Finally, it thanks sponsors and supporters for making the events possible.
2016 Healthcare Real Estate MarketplaceCoy Davidson
Healthcare real estate continues strong performance, with demand for medical office space expected to increase due to rising healthcare spending and an aging population. Vacancy rates have declined to 9.5% nationally as absorption remains positive, while rental rates have increased slightly. Medical office building sales volumes hit a new peak in 2015, contributing to downward pressure on capitalization rates. The outlook for 2016 is continued strong fundamentals and demand in the healthcare real estate sector.
This document summarizes economic indicators and trends in Houston, Texas. It finds that while Houston added over 15,000 jobs in 2015, growth has slowed significantly since the dramatic fall in oil prices in late 2014. The energy sector, particularly upstream exploration and production, has been hardest hit, though other industries like healthcare and trade have provided job gains. Population growth remains strong at over 2.5% annually. Despite challenges from low oil prices, Houston's diverse economy, large port and medical sector position it for continued importance.
Getting Smart About Smart Homes - MLS Tech Fair - 10.06.16Chad Curry
From MLS Technology Fair - MLS Long Island
Thursday, 10.06.16
The Internet of Things will transform how we do business on a daily basis. This presentation aims to cover the scope of this market and its impact real estate to items that make great closing gifts to what NAR's Center for REALTOR Technology is working on to help you in your business.
For more information, please visit https://crtlabs.org/. You can also follow us on twitter with the handle @crtlabs and Facebook at https://facebook.com/crtlabs - Office Hours on Facebook every Friday at 2p Eastern/1p Central.
What are the Internet of Things? What do they mean for real estate? What if your real estate professional became an advisor for the home when it was off the market? Data provided by Internet of Things devices can make this a reality, leading to better quality of life for homeowners as well as their neighbors and in their cities.
The document provides an overview and forecast of the 2014 commercial real estate market from K.C. Conway, Chief Economist at Colliers International. Conway predicts GDP growth will slow in the first half of 2014 but employment growth will continue below 200k per month. He also expects interest rates to remain volatile between 2-4% and debt capital to remain attractive. Conway notes the industrial real estate market will be influenced by the expanded Panama Canal and potential port labor strikes. Houston's commercial real estate market is highlighted as strong, with the city expected to absorb new multifamily supply and benefit from continued energy sector job growth.
The economic outlook for Charleston, SC is positive.
- The Charleston metro area has experienced faster GDP and job growth than other South Carolina cities in the past decade.
- Major employers in the region include Joint Base Charleston, MUSC, Boeing, and hospitals, contributing to steady job growth.
- Real estate fundamentals are strong, with housing and industrial real estate performing well due to low inventory and demand from supply chain shifts.
This newsletter introduces a new publication called "EYE ON THE MARKETS" that will analyze macroeconomic trends, investment management, and equity market movements. The author argues that macro events have an overwhelming influence on stock markets, and periods of calm have been interrupted by market sell-offs due to crises in Europe, the US, and Asia. Investors need to carefully manage their portfolios and prepare contingency plans for different scenarios. Some positive factors are signs of recovery in corporate earnings, manufacturing, and technology, though continued global uncertainties remain.
This document summarizes the current state of capital markets and real estate fundamentals in the US. It states that low interest rates and improving fundamentals have created strong conditions for investment in 2015. The author notes a tremendous amount of liquidity from various capital sources totaling over $330 billion that will fuel real estate development. This capital inflow has supported growth across major property types. While coastal cities draw most foreign investment, larger US equity funds are looking to secondary cities for higher yields. The maturing debt markets totaling over $420 billion by 2017 will need refinancing to avoid defaults. Overall the author is confident that positive market conditions will drive record profits for real estate firms in 2015.
Columbus MSA employment was up 8,200 (0.8 percent) from March to June, ahead of Ohio’s increase of 0.4 percent and the U.S. increase of 0.6 percent, according to the Q2 economic update report produced by Columbus 2020. Going into the second half of the year, unemployment in the Columbus Region continued to decline at 4.6 percent, compared to June state and national rates of 5.5 and 6.1, respectively.
Current Market Intelligence - Copy Edited 090426 (DBM-Court Final)Court Bradley
This document discusses the current state of the commercial real estate market and outlines several challenges facing investors, including:
1) Declining cash flows from weakening tenants and falling rental rates. Unemployment has risen significantly which is weakening many tenants' ability to pay rent.
2) Changes to tax benefits such as carried interest that could reduce incentives for investment. Proposed changes may decrease development activity.
3) Rising capitalization rates and falling property values, pointing to continuing price erosion. Distressed assets are increasing and further pulling down surrounding property values.
4) Stricter lending standards with higher down payments required and interest-only loans no longer available are limiting leverage capabilities. This constraints investment activity
California foreclosure expert Steve Dexter previews his April 5th 2008 seminar on foreclosures. To register for the seminar please visit www.womensinvestclub.com. Learn more about Steve Dexter at www.california-foreclosure-expert.com
U.S. economic growth is expected to remain steady in 2016, though risks remain. Global growth is slowing, which could impact the U.S. through trade and capital flows pushing up the dollar. Consumer spending and the labor market are improving, but weak productivity growth may limit income gains. Business investment is also expected to increase but risks remain from low oil prices. The Federal Reserve will continue raising rates gradually based on economic data. Residential investment is also expected to strengthen as household formations increase.
This document analyzes commercial real estate transaction and pricing trends in April 2015. Key points:
- Total commercial property sales were $29.5 billion in April, unchanged from the prior year. Apartment sales paused while other sectors grew.
- Cap rates are generally flat year-over-year except industrial, which increased 30 basis points.
- Portfolio and entity-level deals accounted for 28% of April volume, down from 37% in Q1 2015.
- The Moody's/RCA national composite price index was up 16% in Q1 2015 from a year ago, with prices now 8.5% above pre-crisis peaks on average. Price recovery has varied by sector and location
This document summarizes the state of commercial real estate markets in light of the global economic recession. It notes that while some economic indicators are improving, job recovery will likely lag and take several years. This will negatively impact real estate markets as office and retail vacancies rise and rents decline due to lack of job growth and consumer spending. The multi-family sector may fare better due to pent-up demand from new households. But overall, real estate market recovery is expected to follow the slow job recovery with a prolonged period of mixed results and flat performance.
Dr. Bruce Yandle presents his Quarterly Economic Update, paying special attention to economic indicators such as unemployment, interest rates, and GDP.
Dr. Bruce Yandle of Clemson University presents his Quarterly Economic Update paying special attention to the unemployment rate, GDP, and interest rates.
cushman & wakefield the economy cre and investment ideas -Matthew Marshall
The document provides an economic outlook and analysis of the commercial real estate market by the Chief Economist. It summarizes recent volatility in the stock market and factors contributing to it like China's equity plunge and falling oil prices. While these factors have caused discomfort, a continued economic downturn is not expected as U.S. job growth remains strong and negative interest rates are driving more foreign capital into the U.S. The outlook remains positive for commercial real estate as recent fundraising has been strong and major U.S. job markets continue to see strong transaction volumes.
Global Economy and Agriculture in Transition presented by Terry Barr with CoBank at the 2013 Agri-Growth Council Annual Meeting and Speakers Conference.
How Important Are Bond Markets For Commercial Real Estate?Heidi Learner
An overview of quantitative easing and U.S. bond markets, why interest rates matter, and what future policy moves and global developments mean for U.S. capital inflows going forward.
Dylan Simon - 5 Predictions for Apartment Investment in 2014Dylan Simon
Seattle has proven itself as one of the nation's leading apartment markets. This article discussed five predictions for the apartment investment community for 2014.
The document summarizes research on working from home (WFH) trends and implications. It finds that WFH has increased 6-fold during the pandemic and is stabilizing at around 30% of workdays. Most employees prefer a hybrid model that allows some choice over WFH days. Managing hybrid teams well requires coordinating in-person office days to promote collaboration. Offices are not expected to significantly cut space but may redesign to add meeting rooms and lounge seating. Support services may increasingly offshore under long-term hybrid models.
HORIZON TOWER
520,094 RSF
17-story medical + biomedical space
13-level parking garage; 2,700 stalls
Under Construction and
On-Schedule for 4Q2023 Delivery
This document summarizes a webinar hosted by Occupier Services on May 14th discussing strategies for leading occupiers in the "new normal". The webinar featured a panel of real estate executives from Nokia, Nestle, ServiceNow and PepsiCo discussing topics like portfolio management, transaction strategies and workplace strategies in light of COVID-19. Survey results were presented showing most occupiers anticipate a decrease in future office space needs and a preference among employees to work from home at least one day a week going forward. The webinar provided insights into how large occupiers are adapting their real estate strategies in response to the pandemic.
Houston Methodist and Colliers International HoustonCoy Davidson
Colliers International has provided real estate and advisory services to Houston Methodist Hospital since 2001. Houston Methodist is one of the largest health systems in the US, consisting of 7 hospitals and over 120 locations across the Greater Houston area. Colliers International assists Houston Methodist with services such as site selection, acquisitions, property management, and tenant representation. Some of Colliers' accomplishments for Houston Methodist include selecting and acquiring sites for new hospitals in The Woodlands and Katy, Texas, as well as five emergency care centers, and representing Houston Methodist in leasing over 230,000 square feet across 23 locations.
Despite strong demand and low vacancy rates in 2016, the healthcare industry faces uncertainties in 2017. The repeal of the Affordable Care Act and its replacement details are unknown, which may delay real estate decisions. Additionally, new Medicare reimbursement rules will challenge off-campus projects' viability and cause providers to reevaluate expansion plans. Rising costs are putting pressure on providers' operating margins as the aging population increases demand for healthcare. While fundamentals remain solid, the industry will need to make nuanced real estate decisions based on the changing policy and consumer landscape.
Colliers International Houston Trends 2017Coy Davidson
This document contains multiple charts and graphs summarizing real estate market trends in Houston, Texas from 2001 to 2016. It shows that drilling permits and rig counts in Texas peaked in the late 2000s and declined sharply after 2014. Houston gained over 100,000 jobs annually from 2009 to 2013 but saw job losses in the energy sector after 2014. Office vacancy rates in Houston doubled from the early 1980s to late 1980s during a period of rapid office development. The industrial, retail, multifamily, and construction sectors are also analyzed with statistics on vacancies, rents, absorption, construction projects, and sales.
Houston Healthcare Real Estate Market Report - Year End 2015Coy Davidson
The Texas Medical Center in Houston announced plans to expand its life science research campus by 30 acres and $1.5 billion to establish Houston as a new life science hub. Additionally, Baylor College of Medicine and CHI St. Luke's Hospital plan to develop a $1.1 billion medical campus featuring a medical school, cardiovascular research institute, and nationally recognized hospital. The expansions aim to solidify Houston's position as a leader in human health and medical research.
The office market fundamentals continued to improve in Q4 2015, with rents rising and vacancies falling in the core areas of the top 10 markets. Absorption trends were generally positive, though leasing slowed in some markets due to low availability. Tech tenants remain an important driver of leasing activity, though corporate relocations and professional services are also contributing. Rents are below prior peaks in most markets, suggesting further potential for growth in 2016 as the US economy continues moderate expansion.
The document summarizes the Q4 2014 office market report for San Francisco. Key points include:
- The vacancy rate remained flat at 7.5% due to new construction, though it has decreased 51% since 2010.
- Leasing activity was strong with 1.5 million sq ft leased in Q4 and a total of 8.1 million sq ft for the year, exceeding the annual average.
- The market posted its 18th consecutive quarter of positive absorption, with over 257,000 sq ft absorbed in Q4 and over 2.8 million sq ft for the year.
- Average rents increased to $64.79 per sq ft, a 16.2% increase over the previous
Houston Medical Office Report and Healthcare CommentaryCoy Davidson
This document summarizes healthcare real estate trends in the Houston area in 2014. It notes that the population is growing rapidly and demand for healthcare services is increasing. As a result, major hospital systems are expanding by constructing new facilities and medical office buildings in the suburbs to improve access. In the Texas Medical Center, several large hospital projects were underway or completed in 2014 that will add over a million square feet of new space. Freestanding emergency departments are also proliferating as another strategy to expand access and capture market share. Overall, the healthcare sector in Houston showed no signs of slowing down despite a downturn in the energy industry.
Despite uncertainty around the Affordable Care Act, demand for healthcare real estate continues to increase due to growth in the insured population and an aging baby boomer generation. Medical office vacancy rates are at their lowest since the recession and declining further, while modern, flexible spaces in good locations see the highest demand. Both new construction and space under construction have remained low since the recession. Healthcare industry consolidation is accelerating due to the ACA and cost pressures.
The document summarizes updates to BOMA standards for measuring and calculating rentable area in commercial real estate. It outlines revisions to Method A (legacy method) and the introduction of Method B (single load factor method) for more consistent rentable area calculations. It also discusses new enclosure requirements to provide consistent boundaries for measuring interior space. Abel Design Group presented on these updates to assist clients with applying the current BOMA standards.
North American Industrial Outlook Q4 13Coy Davidson
This document discusses trends in the North American industrial real estate market in Q4 2013. It notes that vacancy rates declined slightly to 7.69% due to strong absorption in the US market. While construction of new industrial space increased, absorption exceeded new supply, indicating no overbuilding risk. The document advocates thinking in "3D" by considering factors beyond traditional supply and demand like the impact of e-commerce, changing manufacturing processes, and transportation infrastructure on industrial real estate.
Houston's medical office market saw positive absorption of 662,000 square feet in 2013, with most occurring in the first half of the year. The average vacancy rate decreased to 11.7% while average rental rates increased slightly. Class A properties saw the largest decrease in vacancy, falling to 7.1% from 8.3% the prior quarter. Absorption was positive across all classes in the second half of the year, led by Class A. Leasing activity reached 391,000 square feet, mostly in smaller transactions. Sales volume slowed but included the $15.2 million purchase of a 58,000 square foot hospital. The Texas Medical Center continues to be a major economic driver for the Houston area.
The woodlands Q4 2013 Office Market SnapshotCoy Davidson
The Woodlands office submarket saw strong leasing activity and positive net absorption in Q4 2013, with vacancy decreasing to 6.4%. Two major developments were announced, with the Woodlands Chamber of Commerce leasing 18,000 SF and ExxonMobil planning to occupy 480,000 SF in Hughes Landing. With continued job and population growth in Houston, the energy sector expansion is fueling demand and development in The Woodlands.
Colliers US Medical Office Report 2014 OutlookCoy Davidson
The medical office sector is undergoing significant changes driven by long-term demographic trends and near-term reforms under the Affordable Care Act. Over the next decade, baby boomers will increase the senior population to over 20% of the total, driving substantial growth in demand for healthcare services. The ACA aims to reduce costs through measures promoting consolidation and integration among providers and insurers. This is accelerating the trend of smaller physician practices being acquired by larger healthcare systems. Overall, these changes are reshaping the delivery of healthcare and the real estate needs of the medical office sector.
Colliers North American Port Analysis 2H 2013Coy Davidson
This document provides a summary and analysis of the North American port industry in December 2013. It discusses key factors influencing ports, including the Panama Canal expansion, demand for dual fuel ships, and labor issues. The report also highlights several port projects and awards winners and struggling ports. Overall, it finds anemic GDP growth, concerns over the 2014 West Coast labor contract expiration, and emerging strategies by ports to attract business in the post-Panamax era.
Houston has experienced strong population and job growth in recent years, ranking first among major US metros. Its diverse economy is led by the energy sector, and the city is also a leader in medical technology, trade, and manufacturing. Unemployment has fallen significantly from its peak during the recession while GDP and corporate facility expansions have increased, demonstrating Houston's economic resilience and competitive business climate.
Kumar Codename Fireworks at Hadapsar Link Road, Pune - PDF.pdfmonikasharma630
Codename Fireworks developed by Kumar Properties is a new residential development that offers 2/3 BHK premium residences with easy access to proposed ring road, airport, metro station.
For More Details:
Visit Here: kumar.developerprojects.com
36,778 sq. ft. building; Zoning: SE (Suburban Employment): The (SE) District allows numerous commercial site uses; Passenger elevator; Private and common restrooms; Fully sprinkled; Data center with a grounded floor and a specialized HVAC system; 60 KVA back-up generator; Building/pylon signage; Potential to purchase adjacent parcels; Sale Price: $4,413,360
Listing Turkey - Piyalepasa Istanbul CatalogListing Turkey
We are working around the clock to transform a long-time dream into reality. As a result, Piyalepasa Istanbul will be the largest privately developed urban regeneration project in Turkey.
THE NEIGHBORHOOD WE HAVE BEEN LONGING FOR IS COMING TO LIFE
The good old days of the Piyalepasa neighborhood are being brought back to life with Piyalepasa Istanbul houses, residences, offices, hotels and a pedestrianized shopping avenue.
The wide streets of this 82.000 square meter development conveniently face the main boulevard in a prime Beyoglu location. “Piyalepaşa İstanbul” stands out as the only project designed to offer a neighborhood lifestyle, complete with its grocers, bagel sellers and greengrocer. Piyalepasa Istanbul has all the values to make it an authentic neighborhood, our very own community.
A NEIGHBORHOOD FULL OF LIFE, IN THE HEART OF THE CITY!
“Piyalepaşa İstanbul” is a “mixed-use” concept containing all the elements for a vibrant social life with houses, residences, offices, hotels and high street shopping.
“Piyalepaşa İstanbul” will take the liveliness of Istanbul into its heart. The elegant sparkle of Nisantasi, the young and colorful Besiktas, the variety and multicultural heritage of Istiklal Street will all be contained within the streets of this neighborhood.
“Piyalepaşa İstanbul” bears traces of the most beautiful examples of Turkish architecture from the Seljuks to the Ottomans and from Anatolia to Rumelia. With its graded facades, wide eaves, bay windows, pools, and interior courtyard systems, it offers a new living space without disrupting the city’s silhouette and neighborhood.
“Piyalepaşa İstanbul” is the new attraction of this splendid city.
TO BE AT THE CENTER OF ISTANBUL… THIS IS REAL LUXURY!
With its proximity to D-100 highway, connecting roads and tunnels, “Piyalepaşa İstanbul” is only minutes away from Kabatas, Besiktas, the Golden Horn and Karakoy.
“Piyalepaşa İstanbul” is close to the prestigious new Istanbul Court House, a major hospital, the Perpa trade center and the city’s most lively neighborhoods. With its shuttle service to Okmeydani Metrobus station, Sishane and the Court House subway stations, “Piyalepaşa İstanbul” will provide you with the most convenient transport connections.
https://listingturkey.com/property/piyalepasa-istanbul/
Living in an UBER World - June '24 Sales MeetingTom Blefko
June 2024 Lancaster County Sales Meeting for Berkshire Hathaway HomeServices Homesale Realty covering the following topics: 1. VA Suspends Buyer Agent Payment Plan (article), 2. Frequently Used Terms in title, 3. Zillow Showcase Overview, 4. QuickBuy commission promotion, 5. Documenting Cooperative Compensation, 6. NAR's Code of Ethics - Mass Media Solicitations, 7. Is it really cheaper to rent? 8. Do's and Don't's when Terminating the Agreement of Sale, 9. Living in an UBER World
Stark Builders: Where Quality Meets Craftsmanship!shuilykhatunnil
At Stark Builders our vision is to redefine the renovation experience by combining both stunning design and high quality construction skills. We believe that by delivering both these key aspects together we are able to achieve incredible results for our clients and ensure every project reflects their vision and enhances their lifestyle.
Although we are not all related by blood we have created a team of highly professional and hardworking individuals who share the common goal of delivering beautiful and functional renovated spaces. Our tight nit team are able to work together in a way where we pour our passion into each and every project as we have a love for what we do. Building is our life.
Introduction to Dubai Real Estate | HJ Real Estatesalisholve901
Dubai, a global hub of innovation and luxury, is renowned for its dynamic real estate market, offering a blend of iconic skyscrapers, lavish residential communities, and state-of-the-art commercial spaces. HJ Real Estates is your gateway to navigating this vibrant landscape, providing expert guidance and comprehensive services to help you find the perfect property. Whether you are seeking a high-end apartment in the heart of the city, a serene villa in a tranquil neighborhood, or a prime location for your business, HJ Real Estates ensures a seamless experience tailored to your unique needs. Discover the unparalleled opportunities in Dubai real estate with us.
Anilesh Ahuja Pioneering a Paradigm Shift in Real Estate Success.pptxneilahuja668
Anilesh Ahuja journey is a testament to the power of vision, resilience, and unwavering determination. As a visionary leader, he continues to inspire and empower others to dream big and challenge the status quo. His legacy extends far beyond the realm of real estate, leaving an indelible mark on the industry and the world at large.
The SVN® organization shares a portion of their new weekly listings via their SVN Live® Weekly Property Broadcast. Visit https://svn.com/svn-live/ if you would like to attend our weekly call, which we open up to the brokerage community.
Andhra Pradesh, known for its strategic location on the southeastern coast of India, has emerged as a key player in India’s industrial landscape. Over the decades, the state has witnessed significant growth across various sectors,
3. Featured Speaker
If you would like a copy of tonight’s presentation,
please visit www.colliers.com/Houston/TRENDS
4. TRENDS 2014
K.C. Conway, MAI, CRE
Chief Economist | USA
Colliers International
KC.Conway@Colliers.com
www.colliers.com/kc.conway
“Over the River and through the Woods …”
What’s 2014 Outlook at Grandma’s House in
Houston? Texas? U.S.?
February 4, 2014
5. The Entrepreneurs Vs. KRONIES Action Figures!
Parts & Labor, The Bancor & “G-Force” on “K” Street
http://www.youtube.com/watch?feature=player_embedded&v=ZDXuPQ9ML9E
5
6. The A, B, C, D Questions KC won’t answer:
“ A man has got to know his limits” - Clint Eastwood
“A” – Value of Argentine Peso – or Turkish
Lira at end of 2014 … but monitor currency!
“C” – Why a major American city with the
world’s busiest airport can’t handle 2” of snow
“B” – What is real value of a Bitcoin?
($10 to $1,200 trade range in 2013)
“D” – Why Houston wasn’t ranked #1
among Top Markets in
2014 Emerging Trends?
7
7. The A, B, C, D Definitive KC Forecasts for 2014:
“If you don’t know somethin’, what good are ya?”
“A” – Port of Houston will remain most
Irreplaceable - and America’s GDP port!
“C” – Colliers will be an MVP relationship &
advisor to you again in 2014!
“B” – The BLS will incorrectly estimate
job growth 12 times again in 2014!
“D” – Debt Capital will never be this good.
Don’t delay or “sit on the fence” in 2014!
8
8. What did KC forecast for 2013? A 100% score after 80% in 2012
Jan ‘13 KC said: “Beware of Q1, but be prepared for a robust 2H2013.”
Industrial:
Ports will remain an imPORTant story!
Port Labor Strife not done – Feb 6, 2013.
Leasing activity remains robust
Dearth of new constr & assets for sale.
Office:
ICEE office MSAs still hot.
Recovery in housing will add to
suburban absorption.
½ the 71.5msf of new office
construction is Med Office
MF:
Overbuilding Risk is exaggerated
Too much in just a few MSAs (DC)
TX is OK: 1 unit : 9.2 jobs in 2012
Housing:
The recovery is real!
NAHB IMI > 200 markets.
US Census Housing Occupancy
(50 MSAs 90% to 96%)
GDP:
Pulls back to 1% or less in 1H2013,
but Rebounds >2% in 2H2013
(No “Cash for Clunkers” or housing tax
credit artificial stimulants).
Employment:
Focus on Labor Participation rate
(63.6%), U-6 (14.4%), & expect
another year of <200k/mo. job
growth
U-3 could drop below 7% just on
workers losing Unempl. benefits.
Interest Rates:
Get ‘eer done in 2013!
2nd U.S. Debt downgrade >50%
FED balance sheet @ 20% US GDP
Monitor commodity prices.
9
9. So let’s look at 2014 & start with GDP:
GDP 2013 Trend: Q1: 1.1% / Q2: 2.5% / Q3: 4.1% / Q4 3.2% = 2.7% for 2013
GDP 2014 Forecast: Slows back <2% in 1H due to inventory build in 2H 2013
GDP EKG 1950-2013
1950 peak; 1958 low; 3.25% L-Term Trend
What drove GDP in 2H2013? Build in Inventories in Q3; Consumer Spending in
Q4 (Advance view) 2013 GDP: Q1: 1.1%; Q2: 2.5%; Q3: 4.1%; Q4: 3.2% (Adv Est)
10
11. BANKS & The FED …
Are we done with Bank Failures? What will be different?
BANK FAILURES – Will 2014 be different than 2013?
What is different in 2014?
FDIC gets a premium for deposits & failures not tied to housing. 12
12. BANKS & The FED …
Banks back to lending? Beware the Bank Stress Tests
35% vs. 21%
decline in CRE
value in Yr-End
2013 CCAR/Bank
Stress tests.
“March Madness”
ahead for banks
TX Banks
Comerica & BBVA
appear to be
slowing
CRE loan growth.
Watch Citi.
13
13. Banks & the FED: Volatility in 2014!
A new FOMC! QE taper; Currency Crises; GDP; Jobs???
Structure of the FOMC
The FED
meets 8
times/yr.
Yellen
is now
FED
Chair!
The Federal Open Market
Committee (FOMC) consists of
twelve members--the seven
members of the Board of
Governors of the Federal Reserve
System; the president of the
Federal Reserve Bank of New
York; and four of the remaining
eleven Reserve Bank presidents,
who serve one-year terms on a
rotating basis
NE Vs. MW
Dallas FED being a voting member of
FOMC in 2014 is a significant!
14
14. INTEREST RATES
Let’s hope this correlation holds up for 2013
Jan 1
1982
14.59%
Jan 1
2013
3.01%
Expect
Volatility & a
10-Yr range of
2%-4%
15
15. STATE TAX RATES
NE, DC region & CA worst, but TX not among 10-Best?
Why isn’t TX
among 10-Best
&
How does FL
make it among
10-Best
with such high
auto ad
valorem, hotel
occupancy, etc.
taxes?
Need to add SC
with high point
of sale on R.E.
16
16. CMBS … $340 Billion to ReFi
Metrics Improve as 2nd Wave comes ashore 2014-17
CMBS ReFi Wave 2.0
Bigger than Refi Wave 1.0 / Cap Rate & Interest Rate Compression?
#3
Watch List Loans
#1
Delinquest Loans
#2
#3
Source: TREPP
#1
#2
17
17. Housing …
Monitor ADP, Challenger, NFIB, ISM Vs. BLS &
NAHB HMI (Builder Sentiment Index
Housing – Best year since 2007, but can it continue?
(AP) — U.S. home construction ended 2013 with the best showing since the housing bubble
burst. Builders broke ground last month at a seasonally annual rate of 999,000, the fastest in
five years. For the year, builders started 923,000 homes and apartments, up 18.3 percent from
2012. It was the strongest since 2007, when 1.36 million homes were started.
The avg. rate on a 30-year mtg fell to 4.41% - down from a peak of 4.6% in August.
Each home built creates 3 jobs for a year and generates $90,000 in tax revenue, according
to data from the homebuilders association.
http://www.nahb.org/reference_list.aspx?sectionID=2223
18
20. Manufacturing …
ISM Strong (5%); Warehouse Absorption Strong… Houston?
Manufacturing / Intermodal / IANA / Warehouse Absorption
ISM Vs. GDP
Industrial Absorp. – Port, Air Cargo, Intermodal
More granular – backlog orders, etc.)
Houston has lacked new supply to rank high!
RailTime: 2013 a record for Intermodal
21
21. FTZs – Foreign Trade Zones …
Next annual report to Congress due out Aug 2014!
MEXICO
wage rate a
big story?
http://enforcement.trade.gov/ftzpage/index.html
22
22. Ports & Panama Canal…
West coast port strike threat June 2014!
www.colliers.com/us/port-2H
23
23. The 7 Class 1 Railroads…
Mexico wage rate &
KCS a big-deal to TX & mfg. story!
The 7- Class I RRs (Note CN (red) & KCS (brown)
“All that happens on the ports, doesn’t
stay on the ports” – Rail, Intermodal!
24
24. Ports & Industrial R.E …
The 2014 influences heading into 1 st Post PMX Decade.
Who will be able to
refuel Duel-Fuel?
SE (Jax) & Gulf ports
have advantage
Labor Strife: Chile
now (fresh fruit and
copper); Westcoast June 2014
P-Canal 50%
cost overrun
dispute
And one other …
NY faces new competition
from Mid-Atl & Great Lakes
ports, like Cleveland 25
26. AFIRE – Close on a hot note!
What’s Hot – Assoc. of Foreign Investors in R.E.
AFIRE – U.S. tops globally & Ind’l R.E. tops (first time in a decade)
Port cities
move up in
rankings!
27
27. Thank You
K.C. Conway, MAI, CRE
Chief Economist | USA
Colliers International
KC.Conway@Colliers.com
www.colliers.com/us/kcconway
30. HOUSTON’S BRAG BOOK
2013-2014 Headlines
• Houston, “The Best City In America”
(BUSINESS INSIDER)
• The Highest Demand for Engineering Jobs in 2013
(MONSTER.COM)
• Best Cities for your Career in 2013
(PAYSCALE.COM)
• Houston Makes Top Five Lists For U.S., Global Real Estate Investment
(AFIRE)
• Fastest Real GDP Growth Among Large MSA’S
(THE BUREAU OF ECONOMIC ANALYSIS)
• Top Cities for Global Trade
(GLOBAL TRADE)
• Largest Export Market in U.S.
(U.S. DEPARTMENT OF COMMERCE, INTERNATIONAL TRADE ADMINISTRATION)
32. Organization for Economic Co-operation &
Development
OECD – 34 Developed Countries – Blue - 1.25 Billion People (18%)
Non – OECD China
India
Africa
Latin Am
Russia
5.85 Billion People
– 1.34
– 1.24
- 1.0
– 0.6
– 0.14
33. Oil Consumption - 2010
19%
U.S
48%
14%
EU
Other Developed
19%
China, India,
Undeveloped
U.S
China
– 12 Barrels per Person per Year (300MM People)
– 2 Barrels per Person (1,344MM People)
If people in China use 3 Barrels per person we need to cut our
consumption by 4 Barrels per person to stay even on demand.
Alternative Energy and more efficient consumption required
34. Projected Demand – Going UP
Quadrillion Btu
600
Non OECD –
56% Increase
Projected
500
400
OECD
Non OECD
300
200
100
0
1990
2000
2010
2020
2030
2040
35. Energy Sector Projected Employment
•
Competition for employees
will be fierce.
•
Houston will be the largest
beneficiary of this boom.
3,500,000
3,000,000
2,500,000
2,000,000
1,500,000
1,000,000
500,000
2013
2025
Source: IHS
36. HOUSTON OFFICE – 179.8M SF
HOUSTON OFFICE MARKET INDICATORS
YE 2012
YE 2013
CITYWIDE NET ABSORPTION (SF)
4.2M
2.9M
CITYWIDE AVERAGE VACANCY
14.5%
14.0%
At the close of Q4,
10.7M SF of new
office development
was under
CITYWIDE AVERAGE RENTAL RATE
$24.25
$25.16
construction, more
CLASS A RENTAL RATE
CBD
$37.02
$38.16
SUBURBAN
$28.20
$30.18
CBD
9.8%
10.2%
SUBURBAN
11.4%
10.8%
CLASS A VACANCY
than any other U.S.
metro.
37.
38.
39.
40.
41. HOUSTON OFFICE – 179.8M SF
Houston Average Rent
Houston Average Vacancy
$28.00
16.0%
$26.00
15.0%
$24.00
14.0%
$22.00
13.0%
$20.00
12.0%
$18.00
11.0%
$16.00
10.0%
42. HOUSTON OFFICE – 179.8M SF
Average Price ($) Per SF
Houston
Average Cap Rate (Yield)
United States
Houston
250
200
150
100
50
0
Q4 '09
Q4 '10
Q4 '11
Q4 '12
Q4 '13
12%
11%
10%
9%
8%
7%
6%
5%
4%
Q4 '09
Q4 '10
Sales by Total $ (mil)
Rolling 12-mo. Total
Quarterly Vol.
6,000
5,000
4,000
3,000
2,000
1,000
0
Q4 '09
Q4 '10
Q4 '11
Q4 '12
Q4 '13
United States
Q4 '11
Q4 '12
Q4 '13
43. HOUSTON INDUSTRIAL – 483.6M SF
HOUSTON INDUSTRIAL MARKET INDICATORS
YE 2012
CITYWIDE NET ABSORPTION (SF)
YE 2013
5.0M
7.0M
8.0M SF of
new inventory
CITYWIDE AVERAGE VACANCY (%)
CITYWIDE AVERAGE RENTAL RATE ($)
5.2%
5.2%
$5.77
$5.90
delivered in
2013, 4.6M SF
was spec
NEW SUPPLY DELIVERED (SF)
4.0M
8.0M
4Q UNDER CONSTRUCTION (SF)
2.5M
4.4M
construction!
44. HOUSTON INDUSTRIAL – 483.6M SF
Houston Average Rent
Houston Average Vacancy
$6.40
8.0%
$6.20
7.0%
$6.00
$5.80
6.0%
5.0%
4.0%
$5.60
$5.40
3.0%
2.0%
$5.20
1.0%
$5.00
0.0%
45. HOUSTON INDUSTRIAL – 483.6M SF
Average Price ($) Per SF
Houston
Average Cap Rate (Yield)
Houston
United States
12%
11%
10%
9%
8%
7%
6%
5%
4%
3%
2%
Q4 '09
$80
$70
$60
$50
$40
$30
$20
$10
$0
Q4 '09
Q4 '10
Q4 '11
Q4 '12
Q4 '13
Q4 '10
Sales by Total $ (mil)
Rolling 12-mo. Total
Quarterly Vol.
$1,600
$1,400
$1,200
$1,000
$800
$600
$400
$200
$0
Q4 '09
Q4 '10
Q4 '11
Q4 '12
Q4 '13
United States
Q4 '11
Q4 '12
Q4 '13
46. HOUSTON RETAIL – 264.7M SF
HOUSTON RETAIL MARKET INDICATORS
YE 2012
CITYWIDE NET ABSORPTION (SF)
CITYWIDE AVERAGE VACANCY (%)
YE 2013
1.2M
3.0M
Houston’s Strong
Economy Helps
Push Retail
7.3%
6.6%
Vacancy Rate to
CITYWIDE AVERAGE RENTAL RATE ($) Statistically Irrelevant
NEW SUPPLY DELIVERED (SF)
1.1K
880K
4Q UNDER CONSTRUCTION (SF)
1.1M
947K
Historic Low
48. HOUSTON RETAIL – 264.7M SF
Average Price ($) Per SF
Houston
Average Cap Rate (Yield)
United States
Houston
200
150
100
50
0
Q4 '09
Q4 '10
Q4 '11
Q4 '12
Q4 '13
12%
11%
10%
9%
8%
7%
6%
5%
4%
Q4 '09
Q4 '10
Q4 '11
Sales by Total $ (mil)
Rolling 12-mo. Total
1,800
Quarterly Vol.
1,600
1,400
1,200
1,000
800
600
400
200
0
Q4 '09
Q4 '10
Q4 '11
Q4 '12
United States
Q4 '13
Q4 '12
Q4 '13
49. HOUSTON MULTI-FAMILY – 574.5K Units
HOUSTON MULTI-FAMILY MARKET INDICATORS
YE 2012
UNITS ABSORBED
14,664
YE 2013
16,516
The average
monthly rent amount
increased 6.0% in
CITYWIDE AVERAGE VACANCY (%)
10.6%
9.5%
2013 and is
expected to
CITYWIDE AVERAGE RENTAL RATE ($)
$806
$857
UNITS DELIVERED
6,818
14,455
4Q UNDER CONSTRUCTION
2,831
20,479
increase 6.0% in
2014.
51. HOUSTON MULTI-FAMILY – 574.5K Units
Average Price ($) Per Unit
Houston
120,000
Average Cap Rate (Yield)
United States
12%
11%
10%
9%
8%
7%
6%
5%
4%
Q4 '09
100,000
80,000
60,000
40,000
20,000
0
Q4 '09
Q4 '10
Q4 '11
Q4 '12
Q4 '13
Houston
Q4 '10
Sales by Total $ (mil)
Rolling 12-mo. Total
Quarterly Vol.
5,000
4,500
4,000
3,500
3,000
2,500
2,000
1,500
1,000
500
0
Q4 '09
Q4 '10
Q4 '11
Q4 '12
Q4 '13
United States
Q4 '11
Q4 '12
Q4 '13
52. HOUSTON HOTEL – 75.8K Units
HOUSTON HOTEL MARKET INDICATORS
YE 2012
YE 2013
TOTAL UNITS
74,630
75,837
CITYWIDE AVERAGE VACANCY (%)
34.6%
30.2%
CITYWIDE AVERAGE DAILY RATE ($)
$94
$101
UNITS DELIVERED
427
553
54. HOUSTON HOTEL – 75.8K Units
Average Price ($) Per Unit
Houston
$250,000
Average Cap Rate (Yield)
United States
$200,000
$150,000
$100,000
$50,000
$0
Q4 '10
Q4 '10
Q4 '11
Q4 '12
Q4 '13
12%
11%
10%
9%
8%
7%
6%
5%
4%
Q4 '09
Houston
Q4 '10
United States
Q4 '11
Sales by Total $ (mil)
Rolling 12-mo. Total
Quarterly Vol.
1,000
900
800
700
600
500
400
300
200
100
0
Q4 '10
Q4 '10
Q4 '11
Q4 '12
Q4 '13
Q4 '12
Q4 '13
55. 2014 CONSTRUCTION COMMENTS
• Consultants continue to aggressively pursue hiring with firms
reporting “best year ever”, again.
• General Contractors are hustling to keep up with demand.
Finding experienced personnel has magnified.
• We are still seeing the subcontractor community struggling to
keep up with bidding and construction workload.
• Construction costs have shown moderate increases, in spite of
notices of material volatility.
• Manufacturers are still not keeping significant inventory on
hand. Material lead times continue to drive schedules.