Change in Buying Habits Leads to Real Estate Warehouse Boom

National Association of Realtors | April 16, 2020

The industrial real estate sector is seeing a bright spot: Warehouse demand is surging. The COVID-19 pandemic lockdown has changed consumers’ buying habits. While some could view it as temporary, companies are re-evaluating how to better handle more bloated supply chains in the future. Amid the pandemic, consumers are stockpiling essentials, such as toilet paper and cleaning supplies, and rushing to stock up at grocery stores. Even apparel stores and other retailers are fielding more online orders as their physical stores remain temporarily closed. The need for space to store more goods is growing. E-commerce operations are requiring more storage space, and companies are ramping up more “safety stock” and rethinking previous lean-inventory strategies. “There’s this move away from just-in-time [inventory], so the tenants are getting fatter,” Kevin McGowan, president of McGowan Corporate Real Estate Advisors, which specializes in industrial real estate, told The Wall Street Journal.

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REAL ESTATE INVESTMENT,REAL ESTATE ADVICE

Tishman Speyer and Project Destined Launch First Global Partnership to Introduce Students from Underserved Communities to Careers in Real Estate

Tishman Speyer | November 16, 2022

Tishman Speyer today announced an agreement to serve as the first-ever Global Partner with Project Destined, a social impact platform that provides students in underserved communities with training in financial literacy, entrepreneurship and real estate. Through this innovative collaboration, Tishman Speyer will lead teams of college students in New York City, Chicago, Washington DC, Los Angeles and London through Project Destined's work-based learning approach. Tishman Speyer's leading executives in each market will offer local students the opportunity to explore the wide range of exciting careers available to them in the real estate industry. Just as importantly, Tishman Speyer executives will actively encourage and mentor the students as they work to develop a range of core financial, technical, presentation and leadership skills designed to aid them in launching their careers in real estate via internships, certifications and full-time employment. Students in each city will form teams and be tasked with evaluating actual commercial real estate transactions. They will then take part in a pitch competition against other teams in their local market to earn scholarships. At the conclusion of the competition, the five Tishman Speyer city-based teams will compete against each other for the opportunity to share $10,000 in scholarship money. This inaugural "Tishman Speyer Cup" will be judged by CEO Rob Speyer and other leading executives of the firm. "The real estate industry offers a variety of fulfilling career paths, from development to finance, technology and dealmaking, Unfortunately, students in underserved communities have not historically been provided the chance to learn about the world of commercial real estate and thus don't view it as an option. We are grateful for the opportunity to collaborate with Project Destined as their first global partner. Initiatives such as these are vital to cultivating a more diverse, innovative and ultimately successful real estate industry." -Joe Ritchie, Tishman Speyer Managing Director of Business Development and Head of Diversity, Equity and Inclusion We are extremely proud to launch our first global partnership with Tishman Speyer, This partnership will bring together students and executives across multiple Tishman Speyer offices. It will also provide our students with a unique global network and perspective as well as the training and resources required to become leaders and owners in commercial real estate,said Cedric Bobo, Project Destined Co-Founder. Since its founding in 2016, Project Destined has worked with more than 4,500 participants in 35 cities across the U.S., U.K., Canada and Europe. About Tishman Speyer Tishman Speyer is a leading owner, developer, operator and investment manager of first-class real estate in 33 key markets across the United States, Europe, Asia and Latin America. Our portfolio spans market rate and affordable residential communities, premier office properties and retail spaces, industrial facilities, and mixed-use campuses. We create state-of-the-art life science centers through our Breakthrough Properties joint venture, and foster innovation through our strategic proptech investments. With global vision, on-the-ground expertise and a personalized approach, we are unparalleled in our ability to foster innovation, quickly adapt to global and local trends and proactively anticipate our customers' evolving needs. By focusing on health and wellness, enlightened placemaking and customer-focused initiatives such as our tenant amenities platform, ZO., and our flexible space and co-working brand, Studio, we tend not just to our physical buildings, but to the people who inhabit them on a daily basis. Since our inception in 1978, Tishman Speyer has acquired, developed, and operated 522 properties, totaling 218 million square feet, with a combined value of over $129 billion (U.S.). Our current portfolio includes such iconic assets as Rockefeller Center in New York City, The Springs in Shanghai, TaunusTurm in Frankfurt and the Mission Rock neighborhood currently being realized in San Francisco. About Project Destined Project Destined is a leading social impact platform that provides training in financial literacy, entrepreneurship, and real estate. Project Destined partners with corporations, schools, and non-profits to deliver training using its proprietary e-learning platform and live courses. Project Destined leverages a work-based learning approach where students work with executives to evaluate live deals in their community and present them in a pitch competition to industry leaders. Scholars emerge with the skills, confidence, experiences, and networks that prepare them to secure a strong first job and become stakeholders in their community.

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REAL ESTATE TECHNOLOGY, REAL ESTATE INVESTMENT

reAlpha Launches Florida-based Brokerage to Accelerate Transaction Activity

reAlpha | October 07, 2022

reAlpha, an AI-powered real estate technology and investment company with a goal to empower everyone with the ability to invest in the $1.2 trillion global short-term rental (“STR”) market, is pleased to announce the launch of its in-house brokerage, reAlpha Realty, LLC, a subsidiary of reAlpha Asset Management, Inc. (DBA reAlpha Homes). Operating out of a new office in Miramar, Florida, reAlpha Realty is led by Designated Broker Jorge Aldecoa, who serves as President of reAlpha Homes. The formation of reAlpha Realty serves to accelerate reAlpha’s growth by significantly expanding its acquisitions pipeline through partnership and referral programs with outside brokerages as well as home builders and developers. In addition to helping source STR investments, reAlpha Realty will represent and advise reAlpha on purchase and disposition decisions, driving greater efficiencies and cost-savings. “Launching our brokerage represents a pivotal step in our journey toward making ownership in STRs accessible to everyone, By owning more control over the entirety of the investment process, we are able to ramp up deal flow more efficiently and realize greater cost savings. As a top professional in the STR acquisitions space and an experienced broker, Jorge is uniquely positioned to lead this important initiative as we seek to build a national portfolio of STR homes.” -Giri Devanur, CEO of reAlpha reAlpha plans to materially increase its investment activity in 2023 with a focus on experiential and rent-ready vacation homes, and expects reAlpha Realty to play an important role in the process. Scaling its portfolio aligns with reAlpha’s long-term plan to democratize the STR economy by leveraging its proprietary technology to enable individual investors to purchase minority interests in its properties. In doing so, reAlpha is helping to eliminate the significant barriers to entry for individuals to participate in the potential upside of owning STR homes. Commented Aldecoa, reAlpha Realty will work toward establishing an even stronger acquisitions pipeline through a highly productive, mutually beneficial broker network. With enhanced sourcing and underwriting capabilities, we are able to bring additional expertise to each and every investment opportunity while simultaneously reducing costs. We’re excited to further build our portfolio of high-quality STR homes and we look forward to syndicating interests in these properties to everyday investors. About reAlpha: reAlpha is building a digital real estate investing platform that enables its members to simplify wealth creation opportunities through investments in vacation homes while striving to deliver exceptional guest experiences. reAlpha sources and scores properties from the wholesale market using a proprietary AI-driven algorithm called reAlphaBRAIN. It then predicts the viability of each property for the short-term rental market, as well as the projected long-term value. reAlpha’s business plan contemplates eventually allowing investors to buy equity in specific properties, providing opportunities for short-term passive income generation via Airbnb, as well as equity-driven capital appreciation. reAlpha is based in Dublin, Ohio.

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REAL ESTATE INVESTMENT,BUYING/SELLING

FCPT Announces Acquisition of a Bubba’s 33 Restaurant Property for $3.1 Million

FCPT | December 01, 2022

Four Corners Property Trust (NYSE:FCPT), a real estate investment trust primarily engaged in the ownership and acquisition of high-quality, net-leased restaurant and retail properties (“FCPT” or the “Company”), is pleased to announce the acquisition of a Bubba’s 33 restaurant property for $3.1 million from the transaction previously announced in July 2022. The property is newly constructed and located in a highly trafficked corridor in Texas and is corporate-operated under a triple net lease with approximately 10 years of term remaining. The transaction was priced at a cap rate in range with previous FCPT transactions. This is the last property to be acquired from the 7-property, $17.1 million outparcel portfolio transaction first announced in July 2022. The six other properties closed in a transaction announced in August 2022. About FCPT FCPT, headquartered in Mill Valley, CA, is a real estate investment trust primarily engaged in the ownership, acquisition and leasing of restaurant and retail properties. The Company seeks to grow its portfolio by acquiring additional real estate to lease, on a net basis, for use in the restaurant and retail industries.

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REAL ESTATE INVESTMENT

Capital Square Launches Private Equity Group to Focus on Build-for-Rent and Other Non-Traditional Real Estate Investments

Capital Square | September 20, 2022

Capital Square, one of the nation's leading sponsors of tax-advantaged real estate investments and an active developer of multifamily communities, announced today the launch of its Private Equity Group, a new corporate division that will focus on single-family build-for-rent homes and other non-traditional real estate investment opportunities. Industry veterans, Jon Trott and Dave Platter, have joined Capital Square as managing directors to lead the new division. "Build-for-rent homes are an increasingly popular choice among renters in the Southeast through Texas, where Capital Square actively invests in multifamily housing, Exceptionally strong demand has made build-for-rent a compelling investment strategy in response to a shortage of quality housing. With in-house development, capital markets, asset management and acquisitions, the build-for-rent space is a natural evolution for Capital Square and is another way to provide innovative and compelling options to a growing number of investors and financial advisors nationwide." -Whitson Huffman, co-chief executive officer of Capital Square Build-for-rent homes, comprised of communities of single-family homes built for renting, have become an increasingly popular investment option among institutions and individual investors. Demand for this rental option is growing exponentially among residents who seek a single-family lifestyle, the financial and leasing flexibility of a rental with the amenities and convenience of a professionally managed property. The U.S. has chronically underbuilt housing since the Great Financial Crisis and needs an additional 4.3 million housing units by 2035 to meet the demand for rental housing, according to the National Multifamily Housing Council. Demand for build-for-rent homes continues to increase with professionally managed communities offering one of the best solutions for the shortage of quality, affordable housing. Institutional ownership and build-for-rent's share of overall U.S. housing stock remains less than 5%, paving the way for long-term, sustained growth for the asset class. We are thrilled to have Jon Trott and Dave Platter launch the Private Equity Group at Capital Square and focus on build-for-rent homes and non-traditional real estate investments, Build-for-rent is the hottest segment of multifamily investing and plays into the demographic trend where younger residents along with aging baby boomers want to live in a single-family home with the freedom and flexibility of a rental. We believe build-for-rent housing will become one of the most popular strategies in Capital Square's growing investment portfolio,said Louis Rogers, founder and co-chief executive officer. Prior to joining Capital Square, Trott and Platter led the private equity team of The Amherst Group's build-for-rent division, where they were responsible for capital raising, acquisition sourcing and overall management of the division. Amherst is one of the nation's largest investors and operators of single-family rental homes, with $16 billion in assets under management in over 30 markets. Previously, Trott was an investment professional with Spear Street Capital, a San Francisco-based real estate private equity firm. He began his career with JPMorgan Chase & Co., one of the globe's leading financial services firms, where he reported to the chief executive officer of asset management and was involved in the execution of key mergers and acquisitions transactions, as well as strategic initiatives. He earned a bachelor's degree from Tufts University and a Master of Business Administration from Harvard Business School. Prior to his tenure with The Amherst Group, Platter was the co-founder of Southern Creek Capital, a boutique investment manager in the single-family rental and multifamily spaces. He previously worked at the JBG Companies (now JBG SMITH Properties; NYSE: JBGS), where he was responsible for the development of more than $500 million of multifamily and mixed-use properties. His career began in the asset management division of JPMorgan Chase & Co. Platter received a bachelor's degree from The University of Virginia and a Master of Business Administration from Duke University's Fuqua School of Business. About Capital Square Capital Square is a national real estate firm specializing in tax-advantaged real estate investments, including Delaware statutory trusts for Section 1031 exchanges, qualified opportunity zone funds for tax deferral and exclusion and a real estate investment trust (REIT). In recent years the company has become an active developer of mixed-use multifamily properties in the southeastern US, with eight current projects totaling approximately 2,000 apartment units with a total development cost in excess of $600 million. Since 2012, Capital Square has completed more than $6 billion in transaction volume. Capital Square's related entities provide a range of services, including due diligence, acquisition, loan sourcing, property/asset management, and disposition, for a growing number of high-net-worth investors, private equity firms, family offices and institutional investors. Since 2017, Capital Square has been recognized by Inc. 5000 as one of the fastest growing companies in the nation for six consecutive years. In 2017, 2018 and 2020, the company was also ranked on Richmond BizSense's list of fastest growing companies. Additionally, Capital Square was listed by Virginia Business on their "Best Places to Work in Virginia" report in 2019 and their "Fantastic 50" reports in 2019 and 2020.

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