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6 Cities Affordable Housing Developers Should Target for New Construction
Commercial real estate investors and developers have expressed a commitment to addressing the nation’s affordable housing crisis. According to the National Low Income Housing Coalition, the US needs 7.3 million affordable housing units to meet current demand, but of course, some cities are suffering from a greater shortage than others. The coastal markets and major…
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4 Reasons Developers Should Watch Eminent Domain Law This Year
Eminent domain activity is heating up, and developers should pay attention. From the Infrastructure Investment and Jobs Act, which passed in 2021, to evolving legal definitions and policy, eminent domain cases are becoming more common and more complex. Developers are increasingly coming into contact with eminent domain activity—both to their benefit and frustration—and it’s important…
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3 Low-Income Housing Tax Credit (LIHTC)Trends Developers Need to Know
Low-income housing tax credits (LIHTC) are the backbone of affordable housing development. The longstanding government program has helped to create opportunities to develop new affordable housing by providing tax credits that offset affordable rental rates. In light of the national housing crisis—the National Low-Income Housing Coalition estimates that there is a shortage of 7.3 million…
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The Multifamily Market Finally Shows Signs of Recovery
The multifamily market is undeniably the darling of the commercial real estate sector. Through the turbulence of the post-pandemic era, multifamily has outperformed other asset classes, with 95% occupancy and 4% rent growth in 2023. Still, the sector has also experienced its fair share of dislocation. Investment volumes fell 60% last year, new construction starts…
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Inside the Guessing Game: Interest Rate Predictions for 2024
In commercial real estate, interest rates are always a hot topic. In the many years leading up to the pandemic, investors and developers were absorbed with trying to guess when interest rates—which at that time had been at historical lows for an extended period —would increase. Today, everyone is trying to guess when they will…
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5 Ways to Manage Mixed-Use Development Costs
Mixed-use development has quickly stolen the CRE spotlight. The multi-use asset class is an opportunity for real estate developers to maximize the value of land sites and create dense, urban, and walkable communities for residents. Mixed-use projects also generate higher incomes than single-use assets — JLL estimates mixed-use developments pay nearly 25% more — and…
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How Tech Makes Real Estate Development Sustainable and Profitable
Sustainability is transforming commercial real estate. Commercial properties are responsible for 40% of global emissions, and as climate change poses an increasing risk, real estate stakeholders are investing in solutions to preserve the returns and longevity of assets. As a result, sustainable development practices and Environmental, Social and Governance (ESG) initiatives have become the largest…
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5 Tips for Vetting Real Estate Software Development Company Options
The commercial real estate industry has undeniably embraced technology. Nearly 100% of commercial real estate companies have invested in technology and are expanding technology programs—and technology advancement continues to rank at the top of trends driving the industry forward. As in daily life, tech-powered tools are quickly becoming a standard part of real estate operations,…
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The 2024 Commercial Real Estate Outlook Is Hazy
Often in the financial markets, investor sentiment is among the most telling indicators of market condition. Sentiment alone can swing the stock market, cause digital bank runs (think Silicon Valley Bank), stall lending markets, direct asset pricing, or spur the economy. Often, it’s a crystal ball for future investment activity. For 2024, unfortunately, that crystal…