-
Understanding the Data Center Outlook for 2025 and Beyond
Data centers will remain on the rise as an asset class in 2025 as artificial intelligence and cloud computing applications continue to grow across major industries. Demand for data center computing capability outpaced supply in 2024, and the asset class is expected to grow at an exponential rate in the coming years. Looking toward 2025,…
-
A New Headache for Multifamily Developers: Property Insurance
In the last decade, the US has incurred nearly $1 trillion in damages caused by weather-related natural disasters. The frequency of large climate events where damages exceed $1 billion is growing rapidly, with 24 such events in 2024 alone. Climate disasters affect commercial real estate in myriad ways, from increasing investment risk to the simple…
-
3 Technologies Every CRE Developer Will Want in 2025
Only a few years ago, commercial real estate was considered the final frontier for technology. Technology innovators saw tremendous potential to create efficiency and optimize traditional processes, but the industry was slow to adopt a new set of tools. Today, the narrative couldn’t be more different. Commercial real estate stakeholders are enthusiastically embracing property technology,…
-
Construction Industry Starts Gain Momentum for an Active 2025
Maybe it didn’t feel like it in 2024, but last year the construction industry benefitted from strong fundamentals. Sure, there were challenges—like the high cost of construction, supply chain disruptions, labor shortages, and high borrowing costs, to name a few—but despite those, the construction industry grew 10% in nominal value, 12% in gross output and…
-
How Multifamily Site Selection Is Evolving in the Modern Economy
Development site selection is a complex and intensive process, and acquisition teams often spend considerable time touring locations, vetting and underwriting potential sites, and conducting market research to determine project profitability. The decision is high stakes: countless time will be spent securing land or property, navigating zoning restrictions, acquiring vendors, and breaking ground on construction.…
-
Where CRE Teams Are Breaking Ground in Today’s Construction Environment
In 2021 and 2022, developers broke ground on a record number of new apartment projects. Then in 2023, the construction activity came to an abrupt halt. High borrowing and construction costs paired with macroeconomic headwinds gave developers pause, with some suspending or delaying existing projects. The pause in new construction wasn’t for a lack of…
-
Interest Rate Cuts: What Commercial Real Estate Developers Should Know
It finally happened. At its September meeting, the Federal Reserve Open Market Committee voted to reduce interest rates by half a point. The move came much later than the industry hoped. Many leading experts opened the year with predictions that the first rate cut would come in March, followed by five others this year. That…
-
Why Every Real Estate Developer Should Pursue Fit-for-Purpose Design
Commercial real estate developers are known to pursue new projects based on community demographics and demand trends. When there’s a low apartment or vacancy rate in a community with rising rents, it’s generally agreed that the market can absorb a new apartment community, for example. While the actual analysis is a little more complex than…
-
Midyear Check-In: Commercial Real Estate Market Gains Momentum
The year began with unbridled optimism. After a challenging 2023, commercial real estate stakeholders welcomed the start of a new year with high hopes for a swift change. Market experts expected lower interest rates and more capital availability; increased investor appetite with stabilized pricing; and healthy occupier demand. Many of those anticipated changes, unfortunately, didn’t…