Industry insights, market outlook reports and commercial real estate
news, and trends from the Coldwell
Banker Commercial brand.
When it comes to the Earth’s energy consumption, did you know that real estate accounts for roughly 40% of the world’s total consumption — and roughly one-third of all carbon emissions? Given the state of today’s climate, this means that we, as commercial real estate professionals, are on the forefront of climate change risk, brought on by greenhouse gas emissions. As such, we owe it to ourselves and our future generations to reduce the impact of our properties — and help out of clients, in the process.
The influx of more advanced technology has made its way into nearly every industry in America. This also rings true in the property management industry. The major up and coming tech trends will create a better tenant experience. As some property managers and management companies have already implemented these trends, it is projected they will continue to advance as the future of tech develops.
Although commercial real estate opportunities continue to grow, expand and thrive; gone are the days where people could care less about sustainability and environmental impacts. In fact, sustainability is not only a trend that is prompting action in multiple facets of the commercial real estate field but driving and changing the landscape as a whole. Investors are paying more attention to sustainability standards for companies and choosing properties that are more sustainable in a variety of ways.
If you spend any time at all in the commercial real estate world, you’ve probably heard and seen terms like green, clean energy and sustainability all over the place. But are you really sure about what these terms mean, or how they’re applied?
For years, modern and flexible office spaces were the stomping grounds of small, boutique startups and the self-employed creative types. And, while those groups still play a large role in the market, larger and more traditional companies are now beginning to see the benefits of flexible office spaces.
As the name implies, a dockless bike share is a bike sharing program that doesn’t require a stationary docking station. With a dockless system, these bikes can be parked within a defined perimeter at a bike rack, or even along the street on the sidewalk. Using a smartphone app, these bikes can be located and then unlocked with the touch of a hand (literally). Recently, dockless scooters have also come onto the scene.
A full 90% of new multifamily construction today is rentals according to one study. For the last several years, demand in multifamily has outpaced new construction, causing some places to see huge spikes in rent prices. Still demand has not slowed while prices have been growing by up to 8% year-over-year. Experts predict rent prices to normalize around 2%.
Historically, commercial real estate has been a field that’s a little slower to change. It’s a field that requires industry professionals to build connections and hold negotiations. But in today’s market, smart technology has become more than helpful – it’s become an asset. Even Baby Boomers who’ve stuck to their briefcases and Rolodexes are making the switch over to cloud technology and smart devices to help them improve their work performance.
As the future of transportation and city development changes at such a rapid rate, developers are reevaluating the demand for parking in retail, office, and multi-tenant spaces. For people living and working in densely populated areas like San Francisco and New York City, the lack of ample parking has been a reality for some time. But for much of the country, scaled back parking ratios could take some getting used to.
Electric vehicles are becoming more prevalent as Tesla and other car manufacturers continue to change the auto industry. Another industry this is impacting is the commercial real estate industry as owners of these vehicles need places to plug in, as opposed to stopping at gas stations to fuel up.