Categories Economy, Narrative

Rules for Capital

When writing my LIFEies (my weekly blog on personal development) I get to share very complex ideas that are made simple by lots of people. Like Albert Einstein said, “The definition of genius is taking the complex and making it simple.”

For this narrative, however, I focus on more complex Commercial Real Estate developments. But every now and then someone like Brian Watson (below) catches my eye with ideas that are pretty profound and simple. 
Brian wrote four simple rules for capital:
Capital will flow to:
1– Where it’s most wanted
2– Where it’s respected
3– Where it’s safe
4– Where it has the highest probability of market-rate adjusted returns.
This is exactly what we do with our tenant advisory clients; turn a complex, highly stressful renewal or relocation into our proven unique process (for more info, check out our website:   Call us if you have a need, or just want to start a relationship.

As always, thank you for reading my narrative.






Smaller American cities are attracting investment capital from overseas
Brian Watson

There are four simple rules about capital investment, especially in commercial real estate: It will flow to where it’s most wanted, where it’s respected, where it’s safe, and where it has the highest probability of market-rate adjusted returns.

And that’s exactly what’s driving international capital into commercial real estate right now in the U.S., in ways that will impact everything from rents to the eventual shape of our skylines.

Global investors, concerned by a cooling Chinese economy and ongoing concerns related to Brexit and the future of the European Union, are increasingly turning their attention to the U.S. for safety, cash-flow, higher returns and stability, bringing much of the investment capital that used to flow into Europe and China with them.

Some investment is even coming in from Venezuela, which is mired in strife and turmoil, and many other South American countries.

The result?

The big gateway city markets in this country—New York, L.A., and Miami, for example —where international investors tend to focus their attention, may be overheated. Prices in those cities, particularly in real estate, are reaching all-time highs, reducing the potential upside and pricing out even deep-pocketed investors.

As a result, major metros like New York may be in the 9th inning for investors — everyone is getting in their last at-bats. But the music could be over soon. All markets eventually cool off or plateau, as what goes up, comes down eventually.

Yet, there is another side to this trend that’s worth noting.

Given the overheated gateway markets, international capital is now seeking purchase in second-  and third-tier American cities —places like Denver, Phoenix and Nashville​.  In communities like these, the economic impact from energy (think fracking) and manufacturing (think self-driving cars) are likely to mean rising incomes and values. 

Some of these cities are just plain hot. The cost of doing business ​in Nashville, for example, is 20% less than the rest of the country. Others are experiencing population and job growth where investors are finding greater value and greater potential returns.

Salt Lake City, for instance, posted some of the fastest job growth in the nation last year at 3.4 percent and payrolls were at an all-time high. ​ And in Raleigh, N.C., highly paid millennials now account for more than 23 percent of the city’s population.  They need places to spend that income and their spending will help other local businesses as well.

On the one hand, this is great news for the U.S. as more capital is infused into local markets, which creates construction jobs, provides new space for companies, and frees up capital for sellers of existing assets to deploy into other investment opportunities.

But the impact on prices in the tertiary markets remains a question. Excess capital has been inflating real estate prices in gateway cities for a variety of reasons, including foreign investors viewing them as more stable when held up against other, riskier overseas markets. This risk can take the form of both economic and political.

Over time, this trend may begin happening in places such as Oakland and Tulsa as overseas investors pile in, creating opportunity for the average American seller, and more competition for local buyers seeking to buy property in their own city. The potential is there to begin pricing out domestic buyers in mid-sized cities, much as they have been priced out of many major markets.

But one thing is clear: international interest in the U.S. is not going away.

In fact, the potential changes that are coming to domestic regulations, infrastructure spending, energy development and more all point to a U.S. market that will continue to be very attractive for overseas capital for the foreseeable future.

Brian Watson is Chairman and Chief Executive Officer of  Northstar Commercial Partners


Categories Economy, Narrative, Office Market

The Highest Taxed Buildings in America

In many ways, I am jaded after being in the CRE brokerage business for so long.  Representing office tenants means you get to see just about everything. But I also live in an Arizona bubble most of the time. So I was SHOCKED at the amount of property taxes that the highest-taxed buildings in America pay.  

Consider this:

  • 82 of the buildings are in New York.
  • 74 are office buildings including the #1 highest taxed building.
  • The oldest building is 111 years old.
  • Median age of the buildings are 54 years old.
  • Average taxes paid: $24,444,281 A YEAR!

Grand Canyon University campus is the highest taxed property (the whole campus) in Arizona at $6.5 million.  A steal compared to the $71 million the GM Building pays in NYC.
My takeaway:  It’s good to be in Arizona





The Highest Taxed Buildings in America

Iona Neamt

May 24th, 2017 

The fact that Manhattan dominates the rankings doesn’t come as a shock, but the difference in numbers might. The list compiled by COMMERCIALCafé is quite the mixed bag.
Property owners in the U.S. shell out substantial–sometimes huge–amounts of cash on property taxes every year, and those taxes only increase as a building changes hands at a higher price and becomes more appealing to investors. The fact that the top taxpaying buildings in the U.S. are located in Manhattan won’t necessarily come as a shock, either, but the difference in numbers might. The New York City commercial real estate market remains the destination of choice for national and offshore investors alike, and some of the largest corporations in the world are based there. So it makes sense that Big Apple property owners would pay sky-high amounts in taxes–but the numbers are much higher than you think. Take the General Motors Building, for instance: Boston Properties spends more than $71 million on taxes alone for its Fifth Avenue office building. That’s an excessively high price in itself, but when you compare it with property taxes paid elsewhere in the U.S., that number seems downright outrageous. However, there are a few properties outside of New York that also fork over big wads of cash on taxes every year. Some you’ll recognize, and some might surprise you, but they all earned a spot on COMMERCIALCafé’s list of the top 100 taxpaying properties in the U.S. Check it out below:






Categories Economy, Narrative

Meet Your New Landlord At Home

I have a great friend, Trish, who has been a mentor to me for the past 30 years.  She is in the residential ownership and management business, and has been a great insight into the changes happening in that sector. Which is why I’m not surprised by the below article, and the size of the companies now involved in buying homes.

Last year the residential landscape started changing. Drastically. Here are some key thoughts from the Wall Street Journal article below:

  • Institutional investors have entered the residential housing market for the first time since the recession.
  • Big sums of investor money flooding the market has created competitive buying conditions for both families and investors.
  • Families that are not able to pay elevated prices in inflated areas are obligated to pay higher rental rates.
  • Investors are not only building equity, they are exceeding their monthly mortgage obligations in rental income.

When $40 billion and 200,000 homes are bought by investors (not users), and the buyers are Wall Street notables like Colony Starwood—Blackstone, Goldman Sachs, etc., it’s a sure sign the market is changing.  While this is only 2 percent of the overall market, that is enough to move the market—increasing prices now when there is more demand than supply and holding prices down when these giants decide to sell (and they will).

Keep your eyes on this trend, and call me if you want to discuss.





Meet Your New Landlord: Wall Street

By: Ryan Dezember & Laura Kusisto

July 21, 2017

Company Town

Big investment firms began buying single-family homes in Spring Hill, Tenn., in 2012 and offering them for rent. Four firms now own about 5% of the houses in town.

SPRING HILL, Tenn.—When real-estate agent Don Nugent listed a three-bedroom, two-bath house here on Jo Ann Drive, offers came immediately, including a $208,000 one from a couple with a young child looking for their first home.

A competing bid was too attractive to pass up. American Homes 4 Rent AMH 0.14% a public company that had been scooping up homes in the neighborhood, offered the same amount—but all cash, no inspection required.

Twelve hours after the house went on the market in April, the Agoura Hills, Calif.-based real-estate investment trust signed a contract. About a month later, it put the house back on the market, this time for rent, for $1,575 a month.

A new breed of homeowners has arrived in this middle-class suburb of Nashville and in many other communities around the country: big investment firms in the business of offering single-family homes for rent. Their appearance has shaken up sales and rental markets and, in some neighborhoods, sparked rent increases.

On Jo Ann Drive alone, American Homes 4 Rent owns seven homes, property records indicate. In all of Spring Hill, four firms—American Homes, Colony Starwood Homes , SFR 5.15% Progress Residential and Streetlane Homes—own nearly 700 houses, according to tax rolls. That amounts to about 5% of all the houses in town, a 2016 census indicates, and roughly three-quarters of those available for rent, according to Lisa Wurth, president of the local Realtors’ association.

Those four companies and others like them have become big landlords in other Nashville suburbs, and in neighborhoods outside Atlanta, Phoenix and a couple dozen other metropolitan areas. All told, big investors have spent some $40 billion buying about 200,000 houses, renovating them and building rental-management businesses, estimates real-estate research firm Green Street Advisors LLC. Still, they own less than 2% of all U.S. rental homes, according to Green Street.

The buying spree amounts to a huge bet that the homeownership rate, which currently is hovering around a five-decade low, will stay low and that rents will continue to rise. The investors also are wagering that many people no longer see owning a home as an essential part of the American dream.

“The rental stigma has really subsided,” says Michael Cook, operations chief at closely held Streetlane Homes, which owns about 4,000 houses. “People are realizing that houses are not necessarily the best places to store wealth.”

Corporate homeowners in Spring Hill have turned many single-family homes into rentals.

For many years, the rental-home business was dominated by small businesses and mom-and-pop investors, most of whom owned just a property or two. Big investment firms concentrated on other real-estate sectors—apartment buildings, office towers, shopping centers and warehouses—reasoning that single-family homes were too difficult to acquire en masse and unwieldy to manage and maintain.

That all began to change during the financial crisis a decade ago. Swaths of suburbia were sold on courthouse steps after millions of Americans defaulted on mortgages.Veteran real-estate investors raced to buy tens of thousands of deeply discounted houses, often sight unseen. The big buyers included investors Thomas Barrack Jr. and Barry Sternlicht —who later merged their rental-home holdings to create Colony Starwood— Blackstone Group LP, the world’s largest private-equity firm, and self-storage magnate B. Wayne Hughes, who is behind American Homes.

On the first Tuesday of each month during the crisis, investors sent bidders to foreclosure auctions around Atlanta, where the foreclosure rate exceeded 3% in 2011, according to real-estate analytics firm CoreLogic Inc. They toted duffels stuffed with millions of dollars in cashier’s checks made out in various denominations so they wouldn’t have to interrupt their buying sprees with trips to the bank, according to people who participated in the auctions.

Similar scenes played out in Phoenix, where the foreclosure rate hit 5% in late 2010, and in Las Vegas, where it nearly reached 10%.

The big investors accumulated tens of thousands of houses around those cities and others, including Dallas, Chicago and all over Florida, then got to work sprucing them up to rent. Often, renovations were major. Invitation HomesInc., the company Blackstone created to manage its rental homes and took public in January, says it spent an average of $25,000 fixing up each of the foreclosed homes it bought.
A young resident of Spring Hill played ball last month on Cynthia Lane, a street with multiple rental properties.

The bulk-buying brought blighted properties back to life and helped speed the recovery of some of the regions hardest hit by the housing crisis. Executives at the investment firms say they offer homes in good school districts to families that may not be able to buy in those neighborhoods because of damaged credit and tighter postcrisis lending standards.

One of those firms, Progress Residential, is owned by a private-equity firm formed by Donald Mullen Jr., a former Goldman Sachs Group Inc. mortgage chief who oversaw the bank’s lucrative bet against the housing market a decade ago. Progress now owns about 20,000 houses.

On a call with investors earlier this year, Mr. Mullen said Progress was betting that much of the middle class will have to rent if it wants to maintain the suburban lifestyle of the past. He said Progress offers “aspirational living experience” to tenants he described as typically about 38 years old and married, with a child or two, annual income of about $88,000, less-than-stellar FICO credit scores of 665 and $45,000 of debt. “Our residents are quite a ways away from being able to purchase a home,” he said.

Home prices in many markets are nearing their 2006 peaks, prompting some investors who bought homes during the downturn to flip them at a profit. But the big buy-to-rent investors are hanging on to their properties and looking to grow.

With fewer foreclosure properties available to buy, those firms have devised other ways to accumulate homes, including buying out rivals, building homes themselves, and buying properties one-by-one on the open market. They are focusing on places where they have gained scale through early foreclosure purchases, or around booming cities such as Nashville, Denver and Seattle.

Corporate buyers prefer easy-to-maintain newer homes in entry-level price ranges and in neighborhoods governed by homeowners associations. 

With family renters in mind, they rarely consider anything smaller than a three-bedroom. They prefer easy-to-maintain newer homes in entry-level price ranges and in neighborhoods governed by homeowners associations, which can help look after their properties. They often outfit their homes with the same appliances, fixtures and flooring so that their maintenance crews have parts on hand when they make house calls.

They have deep pockets and are dispassionate buyers, paying with cash and never fussing over the carpet or paint color.

Spring Hill is about an hour’s drive south of downtown Nashville. It has attracted investors for the same reasons families flock there. It boasts top-rated schools and has been adding jobs at one of the fastest clips in the country. General Motors Co. kick-started the town’s growth in 1990 when it opened a vast plant for its now-defunct Saturn brand. The population has grown from about 1,500 back then to some 36,000 today, with subdivisions covering what had once been farmland.

American Homes arrived in 2012, the year after it was founded by Mr. Hughes, now 83 years old, who made billions in the self-storage business, and David Singelyn, who is the company’s chief executive. Mr. Hughes told one of his earliest investors, Alaska’s state oil fund, that he imagined the sort of tenants he wanted—families with school-age children—and then went looking for suitable houses in good school districts.

Nashville’s foreclosure rate never exceeded 2%, so American Homes approached a local builder, John Maher, who had been renting unsold homes in his subdivisions. The company bought about 50 homes from him and later paid about $10 million for 42 rental homes in the area from local landlord Bruce McNeilage and his partners. Then it enlisted local brokers to find more.

Bruce McNeilage and his partners sold 42 rental homes around Nashville to American Homes 4 Rent.

Colony Starwood and Progress followed. The proliferation of rental homes spooked owners in some neighborhoods. A few subdivisions voted on whether cap the number of homes that could be rented, but the proposals failed.

“People want to sell their homes to the highest bidder, no matter who it is, and they want to be able to rent their home,” says Jamie Shipley, president of the Wakefield Homeowners Association, which governs a subdivision in which 11% of the homes are owned by institutional investors.

Soon after American Homes closed its deal with Mr. McNeilage, the local landlord, it increased rents on some of the properties by hundreds of dollars a month, according to Mr. McNeilage and some of his former tenants. “People who were on month-to-month leases got a real rude awakening,” he says.

American Homes, which owns more than 48,000 houses nationwide, controls nearly half of Spring Hill’s rental homes, leaving aggrieved renters limited choices. “If you want to be in that subdivision and have your kids go to that elementary school, you have to deal with them,” Mr. McNeilage says.

Jack Corrigan, American Homes’ operations chief, says rent increases for tenants renewing leases average 3% to 3.5%, and the company generally restricts larger hikes to new leases. “We try to be very reasonable with all of our tenants,” he says.

When Aaron Waldie moved to Spring Hill for a job in the finance department of a new hospital, he and his wife, Jessica, intended to use profits from selling their California home to buy a new house. Despite offering thousands of dollars above asking prices, the couple lost several bidding wars and settled for a rental owned by Colony Starwood. “It’s a lot more expensive than homeownership,” he said.

Aaron Waldie and his wife lost several bidding wars for homes in Spring Hill before settling for a rental.

To assess how rents sought by Spring Hill’s big four corporate owners compare with the monthly costs of owning the same properties, The Wall Street Journal analyzed information from the companies’ marketing materials and county sales records for 27 homes purchased by the four since the beginning of March. The analysis—which assumed 10% down payments and 30-year fixed-rate mortgages, plus taxes and insurance—found the posted rents on those homes averaged 32% more than the monthly ownership cost.

The average rent for 148 single-family homes in Spring Hill owned by the big four landlords was about $1,773 a month, according to online listings since early May viewed by the Journal. Other landlords also have raised rents, local brokers say.

“The rent is crazy,” says Bruce Hull, Spring Hill’s vice mayor and owner of a local home-inspection business. “It hasn’t been that long since you could get a three bedroom, two bath for $1,000 a month.”

At a recent conference in New York, Mr. Singelyn, the American Homes CEO, told investors that the average household income declared by those applying to rent from American Homes had risen to $91,000, from $86,000 a year earlier.

“Their wherewithal to pay rent today as well as pay rent in the future, with increases, is sufficient,” he said. “It’s just up to us to educate tenants on a new way, that there will be annual rent increases. This has been a very passively managed industry for 30, 40 years up until institutional players came in.”

When rents are significantly higher than the cost of ownership, renters tend to become house hunters. Builders who were sidelined during the recession are rushing to catch up to demand. Spring Hill issued more than 1,100 residential building permits for single-family homes since 2015, and over the past year its planning commission has rezoned and subdivided properties to accommodate thousands more, according to municipal records.
David Bowater, with his fiancée, Alexa Callanan, says rent increases on their townhouse in Spring Hill prompted them to buy a house in Columbia, Tenn.

David Bowater and his fiancée were priced out of Spring Hill when the rent on their two-bedroom townhouse rose to about $1,100, from $875, over four years. “It’s cheaper to buy at this point,” Mr. Bowater says.

After bidding on six homes, they won the seventh. The house is even deeper into the middle Tennessee countryside and farther from the restaurants where they work. Mr. Bowater says it is costing him about $100 a month more to own the home than he was paying in rent on the townhouse, but that it is far cheaper than it would be to rent a comparable home with a yard.

“We had to make a big offer,” he said. “I just hope the bubble doesn’t burst and our loan goes upside down.”


Categories Economy, Narrative, Office Market

1-Minute Phoenix Metro Office Update: Q1 2018

The long and stubbornly slow recovery continues.  Q1 2018 numbers are out and the Metro Phoenix office market absorbed 686,469 square feet of net positive space, lowering overall vacancy to 19.39%. 

We are now into the 8th straight year of positive absorption in office jobs.  Vacancy varies throughout the Greater Phoenix area with a high of 30.5% in the Sky Harbor Airport submarket, right next door to a low of 9.5% in Tempe.  With such a wide range, I spend a lot of time helping tenants and landlords navigate nuances (opportunities) across geographical areas and product types.

Below is a link to our Lee & Associates Arizona First Quarter Office Report and as usual, I’ve included my top 3 takeaways:
Tempe is #1 Again– Central Scottsdale spent a short time last quarter as the most occupied submarket (90.5%), but Tempe is back after a strong quarter of tenant demand.
Class A Vacancy is 16.7%– Businesses continue to lease the best quality space they can as there is huge competition to acquire and keep their best talent.

Southeast Valley Continues momentum– Chandler has nine speculative office projects under construction – a testament to strong demographics and tenant demand in that area of town.  Look for vacancies to rise in this market creating some aggressive concessions.

My team and I represent office tenants and landlords throughout Metro Phoenix and the US – and we do international work as well.  Please contact me if we can help you. 

PS- My partner, Craig Coppola, found this incredible and insightful old-school video on the history of Phoenix.  I hope you enjoy every minute of it.  What a trip back in time!

Click here to read the full report
2018 Q1 Office Report_Page_1
Categories Economy, Narrative

Growing Together

I grew up 20 minutes from the Mexican border.  My dad and three of my siblings still live in Sierra Vista, AZ.  I know firsthand the good and bad of living next to an international border and all the issues surrounding both sides. 

Given the recent political turbulence surrounding globalization, NAFTA, and the United States’ strained economic relationship with Mexico, I figured I’d arm my readers with some background information.  For this week’s narrative, I’ve attached a Wilson Center report that goes in depth on the complexity of our partnership with Mexico.

Screen Shot 2018-04-10 at 8.06.18 PM


The report presents data from 2015, but is still relevant today. For up-to-date statistics, here are a few more resources: 
This is not a political dialogue, rather some information to help you learn more about cross-border trade. Thanks,


Growing Together: Economic Ties between the United States and Mexico

by Christopher Wilson

Click Here to Read the Full Report

Screen Shot 2018-04-10 at 8.11.19 PM

Click here to enlarge chart


Categories Economy, Narrative, Office Market

Underlying Organizational Costs

The biggest waste we consistently see is clients underutilizing their office space.  Planning for growth that never occurs, thinking you “need” the space for visiting people, and making work areas and offices too big — there are multiple ways that companies waste money.

Office space, and even more important facilities, can significantly reduce costs through in-depth expenditure assessments. To maximize cost efficiency, it’s important to remember and consider the following:

  • Workplace satisfaction prompts productivity and retention. AMEN.
  • Invest in the work setting.  The key word here is “invest.”  Your workplace is an investment in your people, culture and efficiency. 
  • Periodically  replace/upgrade obsolete areas and systems.  Do you have a quarterly checklist of items that need to be reviewed, tested or replaced?
  • Strongly address energy and utility systems efficiency. Energy runs between 5-20% of our clients’ facility costs.  There are programs within the local utilities, sensors to turn off lights, energy management systems, and more that can help cut utility costs.  Today’s technology saves money.

Below is a longer article on these topics and a few more.  Looking to make sure you are on top of your costs?  Give me a call or shoot me an email.  We can help.





Real Estate: The Surprising Cost of Inaction
Are executives overlooking the real cost of underperforming real estate and facility assets?

Tammy Carr
February 2017



With real estate and facilities as two of the largest expenses (and assets) for the average organization, it may be surprising to learn a sizable portion of that spend is going toward wasted energy and lost productivity associated with unsuitable and inefficient performance of the physical work environments. This is not just an issue for Fortune 500 companies; increasingly, “middle market” companies, institutions and agencies are finding that conducting assessments of their holdings yields valuable data and results in actionable plans that have a significant impact on their bottom lines. Across industries and commercial real estate (CRE) segments, leadership is paying closer attention to the composition, scope, condition and value of their real estate portfolios.
How can executives minimize the drain on capital and expenses associated with the underperformance of their commercial corporate real estate portfolio and its impact on employee attraction and retention? A comprehensive portfolio assessment will analyze both the visible and hidden costs to an organization. Fundamentally, with this knowledge, executives are able to develop and implement strategies that will optimize their portfolio and maximize return on their facilities and real estate footprint.
Too often, however, executives are paralyzed by the initial financial investment and/or staff investment that may be required to engage in reversing the trend, even if the internal rate of return may meet or exceed their requirements.
The truth is, inaction can quietly kill a bottom line. In fact, hundreds of examples exist that illustrate a variety of ways in which a facility upgrade/renewal/replacement can positively affect a company’s profitability by contributing to overall operating cost efficiency, employee productivity and worker retention.
Ignored cost drivers: operations & maintenance
The cost of maintaining a space that has deferred maintenance and/or higher-than-average operations and maintenance (O&M) costs, can be surprisingly high. During a recent real estate and facility assessment for a corporate customer, our analysis uncovered inefficiencies within its 10-year-old building resulting in $1.09/square foot annual costs, simply due to subpar energy and systems performance.
A renovation or new space investment offers the opportunity for businesses to take advantage of the latest technology to lower utility costs. LED lighting, daylight harvesting techniques, high-efficiency boilers and other mechanical system improvements should all be reviewed for potential ROI. With one of our clients, for example, a small step such as implementing new daylighting controls for a four-floor corporate office reduced energy use from lighting by 45 percent over standard code, with a three-year payback period.
It is important for firms to conduct the necessary legwork to benchmark their own performance for O&M costs against their peers. Factors such as location, age, size and type of facility must be considered in the calculation. For the majority of our customers, we typically find they are meeting expected targets in one area, only to be underperforming in other areas. Rarely do firms exceed benchmarks without having begun their operational renewal process with a specific plan and targets in place. Without this understanding, businesses are missing a big piece of the puzzle required to determine the true costs of waiting to make investments with attractive returns.
Underappreciated cost drivers: productivity, innovation, recruiting & retention
Additionally, while the initial investment involved with a project may seem overwhelming, the truth is it can pale in comparison to an organization’s employee-related costs, which typically amount to 70 to 90 percent of a company’s overall operating costs, according to Gensler Consulting in The LEADER magazine.
But do employee-related costs have anything to do with a potential facility project? In short, they have everything to do with it, as numerous studies have shown that office design can have a positive impact on both the productivity and wellbeing of employees. Undertaking a new project offers a business the opportunity to leave outmoded environments behind and construct modern office spaces that can improve employee health, productivity and retention.
According to the GSA’s Innovative Workplaces report, businesses lose approximately $1 million per year for the average office building (370 employees) due to poor space planning alone. And those aren’t the only costs. In fact, Gensler’s U.S. Workplace Survey 2016 found that innovative businesses are five times more likely to prioritize modern workspace best practices, and employees operating in these modern workplaces are more likely to innovate.
Investing in the workplace does not just pay off in employee performance; it can also help businesses keep those high-performing employees around, as a 2012 study in the Journal of Vocational Behavior found that changes to the work environment can increase an employee’s commitment to the organization.
This is important because labor market growth is slowing in the U.S., and constantly recruiting and training new talent is costly. In the US, the labor force is expected to grow only 0.5 percent between 2014 and 2024, according to the Bureau of Labor Statistics, which means the supply and demand shift will be favorable for employees to seek out the best possible workplace environment.
Meanwhile, the cost of turnover for average workers making less than $75,000 a year, which covers 9 in 10 workers in the U.S., is roughly equivalent to 20 percent of the worker’s salary. Expect the price tag to increase to 150 percent of salary for turnover of knowledge workers earning around $75,000. Rather than paying those costs over and over again, businesses need to focus on improvements that incentivize employee satisfaction and loyalty.
A study commissioned by HASSEL also found that an appealing workplace can double a business’ chances of landing potential employees and a “modern workplace aesthetic” can triple an employer’s appeal.
Not only can an organization drastically reduce the costs of turnover, but additionally increase productivity and engagement in employees by providing them with a workspace that suits their needs. Knoll found in a study that a $200,000 investment in workspace capability upgrades, including the quality of meeting spaces, can substantially reduce annual costs with total payback after two years.
Identify the true cost of inaction
Today, employees may sit in cubicles or half partitions; they may work in an activity-based design or have their own private office — the options are abundant. Each company has different needs and objectives, and it’s essential to find the workplace environment that aligns with the firm’s objectives, while ensuring employee satisfaction and retention within its industry.
A facility conditions assessment done right — coupled with benchmarking data and expert analysis — will deliver visibility into hidden annual expenditures, provide insight into potential future surprises, and identify information critical to market valuation for underutilized facilities or properties. Whatever the situation, it’s important to know what underperforming space is costing relative to the income statement. This analysis is essential to planning investments for maximum effectiveness and ROI.


Categories Economy, Narrative, Office Market

Businesses are Relocating to AZ

It’s always warm in Phoenix.  In the summer, we go above 110 degrees on a regular basis. On the other hand, the Phoenix office market continues to move along at a steady pace…like it’s 70 degrees.
BUT, all is not lost.  Many companies are beginning to realize the true cost of having all their office space eggs in one location basket — namely, Silicon Valley.  It’s not a smart strategy.  The rents are astronomical, their people can’t buy a house within 50 miles, the traffic is a mess and California taxes are some of the highest in the country.Arizona on the other hand has:
–Reasonable rental rates
–Space available now
–Ample people to hire at reasonable salaries. (And if we don’t have enough, don’t worry, more will move here. We are a destination where millennials want to live and raise a family.)
–Reasonable taxes
–Normal housing prices
–You can get around the city
–Pro-business governmentBelow are a series of articles discussing the rapid migration to Phoenix. To read all the articles in their entirety, click here to go to our website. 
We understand Phoenix – it’s where we work, raise our families, and engage with the community. It’s our home and our business. Since 1984, we have negotiated successful transactions for premier office tenants locally and nationally, from Metropolitan Phoenix and all over Arizona and beyond. We’re proud to be the leading office brokerage team in Arizona.  We stand ready to work with you when you need a broker.


Goodbye New York, Hello Arizona

By Natalie Sherman


October 13, 2017

The subway stops near Wall Street are still crammed in the mornings yet financial firms in New York – once the centre of the money universe – aren’t expanding the way they used to.

Companies in far-flung states such as Arizona and Texas are seeing the rise in financial jobs instead.

The shift in part reflects population trends in the US, where states in the south and west – often dubbed Sun Belt states – are growing faster than their counterparts in the north.



It’s also driven by growth in insurance, investment advice and consumer lending jobs, over the trading and securities roles historically based in New York.

Just as important, companies say, is that new technology and the rise of online banking means they can look more broadly when making location decisions.

“You don’t need to go into a bank anymore. You don’t need a brick-and-mortar building. You can do it from anywhere,” says Gay Meyer, assistant vice president for regional human resources at the banking and insurance company USAA.

“That allows us as a company to think outside of, ‘We have to be in New York or have to be in Chicago’.”

‘Influx of people’

As the economic recovery takes hold and low interest rates persist, demand for home loans, credit cards and other products has picked up.

That’s translated into jobs. The number of finance and insurance jobs in the US expanded by 1.8% over the 12 months that ended in March, finally rebounding to pre-financial crisis levels.

New York remains home to about 8% of those positions. But at the end of 2014, Texas overtook it as the state with the highest number of jobs in the sector.

Meyer is based in Arizona, a desert state on the border with Mexico that is better known for the Grand Canyon than banking. But over the 12 months to March, hiring for finance and insurance jobs grew faster than any other state in the country.

Its rise as a regional financial hub is fuelled by expansions from companies such as USAA, State Farm and Charles Schwab, which have been drawn to the area by affordability, booming population and a large pool of university graduates and potential recruits.

USAA, an insurance and banking firm that serves military and veteran families all over the world, hired nearly 600 people in Arizona last year, as demand for credit cards and mortgages boomed, Meyer said.


Forty minutes south, insurance giant State Farm hired about 2,000 people in 2016 and expects to bring on a similar number this year, in roles such as customer service, sales and IT, said Naomi Johnson, a State Farm public affairs specialist. She transferred to the Phoenix-area campus last June after working for the company for 16 years in her home state of New York.

Johnson, 39, said she’s seen the way the job growth is boosting the local economy, spurring new food and shopping spots to open.

She regularly gets calls from builders, checking on hiring – the campus now holds about 6,600 and the firm is aiming for 10,000 – as they start new housing projects.

“I’m constantly sharing that information because they’re preparing for this influx of people,” she says.

Limitless opportunities

New York leaders are aware their lead is slipping.

In 2015, the business association Partnership for New York City published a report titled At Risk: New York’s Future as the World Financial Capital.

It called for “public actions”, such as tax breaks and investment in transport and housing, to keep New York competitive with international rivals and the smaller US cities nipping at its heels.

Now banks are cheering signs of looser regulation under US President Donald Trump.

The tumult caused by the UK vote to leave the European Union last summer has also fuelled hopes that London’s loss could be the Big Apple’s gain.

“There are a lot of discussions with people saying Prague, Amsterdam may be the next financial centre in Europe, but meanwhile the US may get its own share as well,” says Ahu Yildirmaz, co-head of the research institute at payrolls processor, ADP.

“Brexit may actually make New York more of a centre.”

But the momentum outside of New York is unlikely to stop. ADP announced its own expansion in Arizona last year with plans for 1,500 jobs.

‘Not in New York’

Ascensus, a financial company headquartered in Pennsylvania that handles back-office operations for financial advisors, plans to open an office in Arizona this year with about 170 people and room for more.

Chief executive Bob Guillocheau said the industry is in a good position, as the country ages and relies more on private accounts to pay for retirement, college and health care.

For his firm, which provides record keeping and administrative services for the accounts, the opportunities to grow are “sort of limitless”.

But it won’t be happening in New York, he says.

“I grew up in New York. I know that New York has a tremendous amount to offer, but given the nature of our business… it’s not that we need to be in New York City to do that.”

– The number of tech companies in Phoenix has grown by over 350% since 2012.
– 5,000 new “tech jobs” have been created in Arizona since the tech boom started.
– Renaissance Square is improving some of their office space to appeal to tech companies.


What’s driving a downtown Phoenix tech boom?

By Brenna Goth


October 12, 2017

A San Francisco tech company that announced an expansion from Silicon Valley to downtown Phoenix last week cited a lively business climate and a light-rail stop as primary factors in choosing the city.

Representatives of a semiconductor packaging company moving its corporate headquarters in May from California to south of Phoenix Sky Harbor International Airport said the city is cost-effective and has the workforce they need.

These recent examples are part of what Phoenix leaders say is a flood of tech industry leaders and startups looking to open in the city. Mayor Greg Stanton highlighted the growth in his State of the City speech on April 25.

Stanton said the number of tech companies downtown has nearly quadrupled in the past five years. He credited adaptive reuse projects in the Warehouse District and new tech hubs as a source of the success.

The numbers Stanton used include more than the central core, according to the Community and Economic Development Department. The increase encompasses the area from Buckeye Road to Indianola Avenue between Seventh Street and Seventh Avenue.

But Phoenix economic development leaders agree the most notable noticeable uptick is in the city center.

“Throughout the city, we see how innovation breeds innovation,” Stanton said in his speech.

Phoenix offers ‘sense of community’


Keith Evans of Wespac Construction walks through the lobby area of Renaissance Square on April 27, 2017, in Phoenix. Renaissance Square is undergoing rennovations to attract a younger, tech-oriented, workforce to its building. Phoenix has seen an increase in tech companies in recent years. 

Since 2012, the number of tech companies in the roughly 4-mile stretch grew from 67 to about 260, said Joseph MacEwan, research assistant for the Community and Economic Development Department.

The department used a combination of data from the Maricopa Association of Governments, which tracks companies with five or more employees, and the city to calculate the increase. The department filtered data for tech companies, MacEwan said.

Over the same time period, technology jobs in that area increased from about 1,800 to more than 7,000, according to the Community and Economic Development Department. Technology jobs, however, are tracked more closely now by the city than in 2012, a spokesman said.

GROWTH:  Is sunshine and affordable homes enough to bring high-paying tech jobs?

The city’s definition of tech jobs isn’t represented directly in federal numbers, but U.S. Bureau of Labor Statistics data show employment in industries like manufacturing, trade and financial activities has increased in the past year in the greater Phoenix area.

Most cities market themselves as walkable, connected and a good place to live, said Christine Mackay, Phoenix Community and Economic Development Director. But she said Phoenix highlights that every company has room to grow here.

“What people are really grabbing onto is a sense of community.”

Christine Mackay, Phoenix Community and Economic Development Director

“What people are really grabbing onto is a sense of community,” Mackay said.

Upgrade, Inc., the San Francisco credit platform company moving downtown, plans to hire about 300 people in the next two years, according to a press release. The company will take two floors of the Renaissance Square building, which is undergoing a $50 million renovation on Central Avenue.

The energy of downtown compared to other parts of the city is one factor tech executives cite in choosing the location, Mackay said.

“That’s more of the vibrancy they’re looking for,” she said.

But big moves go beyond Phoenix’s center. Last week, the city announced the new corporate headquarters of RJR Technologies, Inc., the semiconductor packaging company based in California.

The move will add about 100 jobs south of the airport, according to a press release.

The company cited “financial advantages” over California and a “cost-effective and stable business environment,” the press release said. RJR Technologies already had a small office here.

Building makeovers aim to draw tech


Mark Majerus, security supervisor at Renaissance Square, walks the 15th floor on April 27, 2017. The building to undergoing extensive renovations to help attract tech companies that could relocate to Phoenix. (Photo: Mark Henle/The Republic)

Some downtown developers are building new office space to attract tech companies. Others are renovating existing spaces to make them more appealing to that workforce.

Companies today are looking for a type of office that’s different than what was built in previous decades, Mackay said. They are asking for big, open spaces and natural light as well as common areas that promote collaboration, like “high-top tables where you can charge your phone,” Mackay said.

Downtown sites like the 111 West Monroe Building and the Heard Building, for example, recently renovated office suites and highlight their walkability, architecture and local retail tenants.

Renaissance Square just started construction on upgrades to its lobbies, elevators, conference room and office suites. A second phase will improve the connection between the two towers and repurpose 3rd-floor tennis courts into outdoor space, said Mark Wayne, principal of Cypress Office Properties, LLC., that owns the building in a joint venture with Oaktree Capital Management, LP.

The improvements will make the building, constructed in the 1980s, more attractive to both Millennial workers and employers that want to attract and retain top talent, Wayne said. Outdated and dark lobbies will transform into places where people can connect and get out of their individual offices, he said.

The movement of tech companies to downtown Phoenix is clear, Wayne said. They are transforming a business area that used to be dominated by law firms and government offices, he said.

“Our strategy is to meet that demand,” he said.

– Boeing moved to Falcon Field Airpark in Mesa from Seattle, Washington.
– The division of Boeing plans to be fully moved in to Arizona by 2020.
– Other divisions are moving from Seattle due to costs of working there.
– Mesa employees will be paid less than Seattle employees.


Boeing plans to shift hundreds of jobs to Arizona

By Dominic Gates


October 13, 2017


Boeing plans to transfer a substantial piece of the work of its Shared Services Group out of the Puget Sound region. Potentially hundreds of jobs will move to Mesa, Ariz. The company hopes to avoid layoffs and to shed many of the jobs here through attrition.

Boeing plans to transfer yet another substantial work group out of the Puget Sound region, the company confirmed Wednesday. The work shifting to Mesa, Arizona, will involve hundreds of jobs.

The changes are coming at Boeing’s Shared Services Group (SSG), which employs about 3,000 people in the Puget Sound region and provides a wide range of support services to Boeing’s corporate and production units.

The unit’s leadership has initiated a sweeping review and has begun to inform specific groups that their work is pegged for moving.

It’s part of Boeing’s intense corporate drive to cut costs, which is largely responsible for the loss of more than 18,300 Boeing jobs in the state since the most recent employment peak in fall 2012.

Boeing aims to complete the SSG reorganization by 2020, but SSG president Beverly Wyse will move from Renton to Mesa sooner.

Wyse, a longtime Boeing exec who previously ran Boeing’s South Carolina complex and headed the Renton 737 assembly plant, said the reorganization will also take out some layers of management and is aimed at making SSG more efficient and productive.

Wyse said managers have begun meeting with employees and working out details. At this point, she said, it’s too early to tell how many jobs will be moved.

“In the next six to eight weeks, we’ll understand everyone’s preferences and develop a transition plan for each employee,” Wyse said.

In one affected group, a person with knowledge of the plan said Boeing will offer relocation packages to just 5 to 10 percent of the current employees who are considered critical to the work.

To stay at SSG, the person said, others will have to reapply for their jobs and accept a lower salary offered in Mesa.

Wyse said the terms of the work transfer will differ from one work group to another.

“We are working through service by service what proportion of each team has critical skills that we have to transfer,” she said.

Job cuts by attrition

SSG, which at the end of May employed almost 5,900 people companywide, provides more than 100 services across Boeing.

Some are specific to each work site, such as security and fire protection, building and equipment maintenance, and real-estate management.

Other SSG groups are responsible for broader services across the entire Boeing enterprise, including human-resources functions such as pay and benefits; back-office functions such as management of company vehicles, travel expenses and accounts payable; business planning; purchasing non-production equipment and office supplies; and managing the logistics of delivering aerospace parts to Boeing plants across the country.

The groups providing services all across Boeing are the ones tapped for moving to Mesa, Wyse said.

About half of the total SSG employees are now based in the Puget Sound region, she said.

And because many of their jobs relate to the specific production sites here, “the Puget Sound is our largest footprint and it’ll continue to be our largest footprint” even after the work transfer, she said.

In addition to transferring work to Mesa, the reorganization will reduce jobs through attrition.

With the Puget Sound business economy booming, driven by tech companies like Amazon, attrition in some of her business-services groups is as high as 8 to 12 percent per year, she said.

Since Wyse took over as head of SSG in June last year, total employment in the group already has dropped by just over 1,400 people.

Employees rattled

Boeing has transferred work out of Washington state steadily since 2013.

That year, it announced the move of 1,500 IT jobs to St. Louis, Missouri, and North Charleston, South Carolina; nearly 700 commercial airplane engineering support jobs to southern California; and 1,000 research engineering jobs to Huntsville, Alabama; St. Louis and North Charleston.

In 2014, it announced the transfer of 1,000 more commercial airplane engineering- support jobs to southern California and then 2,000 defense-side jobs to Oklahoma City, Oklahoma, and St. Louis.

Most of the employees affected by those earlier work transfers were members of the white-collar Society of Professional Engineering Employees in Aerospace (SPEEA) union.

In contrast, most SSG employees are nonunion. About 140 SPEEA members work in facilities for SSG and will not be affected by the work transfer, Boeing said.

Wyse said she’s striving to make the process of moving work to Mesa a humane and deliberate one that gives “the people who have gotten us to where we are today the opportunity … to make a respectful transition.”

She said she is hoping for “minimal, if any, involuntary layoffs” as some employees leave for other companies and others find positions in Boeing’s other operations here.

She said SSG employees working in finance, planning or supplier management can look for jobs within the Commercial Airplanes unit that demand similar skills.

“We’ll give this a long tail,” Wyse said. “People deserve the opportunity to find a good transition.”

However, employees are understandably rattled.

One young SSG analyst said an all-hands meeting last week raised fears of job losses without providing any reassurance about the chances of still having a future at Boeing.

“We didn’t get good answers,” the analyst said.

He said he understands that Boeing needs to be more competitive and cut costs. He said SSG has many inefficiencies, such as multiple databases that don’t interact so that it’s difficult to track total spending.

Still, he said, the company needs to be less “heartless” in making decisions that profoundly affect employees and their families.

He’s now actively looking for another job.

“Boeing will do what it needs to do to survive,” the analyst said. “So will I.”

– Phoenix is the 6th largest city in the nation
– Phoenix rated one of the best cities for young professionals
– AZ quality of life is high while the costs of living are low


Why Businesses Are Moving to This Valley Instead (Hint: It’s Not Silicon)

The Mayor of Phoenix and two local companies talk about why the Valley of the Sun is great for business.

By John Boitnott


October 12, 2017

Silicon Valley has long been considered the tech hub of the U.S., with many of the top companies in the world keeping their headquarters there. However, as housing prices and the overall cost of living have increased in the San Francisco Bay Area, many startups are jumping ship and choosing alternatives, bringing jobs and economic growth to other cities and states.

I’ve done stories on the scenes in VegasPortlandNew York City and Austin over the years. People write all the time about Seattle, Denver, Houston, Chicago and more. But one that never crossed my mind was Phoenix, Arizona. Turns out the country’s sixth largest city (who knew?) is one of the top metro areas experiencing an injection of innovative companies.

Yelp, Uber, and Shutterfly have all recently opened offices in Phoenix, drawn by lower housing costs and hot weather. City officials hope this draws more new tech businesses to the area. The city has also recently been called one of the best cities for young professionals in the U.S.

“No city in the country has gone through a greater transformation,” says Phoenix Mayor Greg Stanton. “Especially in the downtown area where you see this unbelievable building boom, particularly residential. People are moving to the heart of the city in a magnitude that has never happened before.”

I spoke to Mayor Stanton about the city’s transformation in recent years, as well as two executives who have been part of that change, and have found great success with their Phoenix-based companies.

A diversifying economy

If you haven’t been to Phoenix lately, you’d be excused for thinking the city’s economy was still reliant on “real estate on the desert’s edge,” as Stanton puts it. The bustling desert metropolis is seeing transplants arrive at a fast pace from all over the country now, and the economy has diversified along with that. Stanton points to the opening of a new bio-science campus in the heart of downtown, along with the influx of tech companies from Silicon Valley.

inRead invented by Teads

“The quality of life (is so high) and the cost of living here is so much less,” says Stanton. “So many companies are discovering Phoenix, either moving their entire operations or at least major operations, growing here in Phoenix because they know that they can get a sophisticated workforce at a significantly lower cost than Silicon Valley…That combined with ‘hashtag-yes Phoenix,’ which is sort of our name for our converging startup and entrepreneurial community. You get those cross-pollinating, our existing startup community combined with all these people moving in from Silicon Valley, we got something special going on here.”

Staying close to home

The Valley of the Sun isn’t just a place where people bring their companies for a better shot at success. It’s someplace where companies get their start and grow. Marketing-software company Infusionsoft is an example of that and is a tech darling of sorts in the area at this point. It started in the Phoenix suburb of Chandler in 2001, with no goal to grow into a large corporation, according to CEO Clate Mask.

They operated in survival mode as they developed customized software for a small list of clients. Mask and his team worked long hours for years before developing the software package that was the predecessor to Infusionsoft. It eventually grew from being a small family business to a thriving startup, to a popular solution now used by companies all over the world.

“I wish I could say we had this grand vision of what we were going to do, but we were just building the business in our backyard because we were already in Phoenix, and that was home to us,” Mask says. “So that’s why we built it there.”

Growing in place

Even as one of the fastest-growing private companies in Arizona, Infusionsoft has no plans to move. The company has about 600 employees and more than 140,000 users. Not only is Phoenix home for Mask and his employees, but he has hired top executives who don’t even live in Phoenix. They fly in from Silicon Valley and other locations around the country each week, often doing a four-day work schedule in Pheonix, and a 3-day break back at home.

“It’s all about the culture,” Mask says. “If you’ve got great culture fit and people who are totally passionate about helping small businesses succeed. Then, if they’ve got the right skills, then we want to bring them into the Infusionsoft culture. And they’ll travel for that. They’ll come be a part of that because they see what we’re up to and they have a passion to help small businesses succeed in sales and marketing automation.”

Why one company moved to Phoenix from the Bay Area

Popular mattress seller Tuft & Needle is an example of a company founded in Silicon Valley that needed a change of scene. J.T. Marino and his co-founder didn’t want to build the typical Valley startup. They realized that they could achieve that more easily in Phoenix.

“We saw it as one of those fundamental problems in the mattress industry that being on the open market really drives towards higher prices, higher margins, lower costs, and sales tactics which has really what got this industry in this conundrum in the first place,” Marino recalls. “This is why we set out to solve these issues. So we saw this (moving to Phoenix) as important to essentially, kind of stay pure, stay employee owned.”

Like Infusionsoft, Tuft & Needle has seen big growth during its time in Phoenix. Founded in 2012, the company has 150 employees and an annual revenue of more than $100 million. By locating there, the company was able to avoid the high San Francisco Bay-area rents, and they wisely chose to put some of that savings toward purchasing their own building. They’ve accomplished all of that without taking funding, which is something they likely wouldn’t have been able to do if they’d chosen to stay in Silicon Valley.

“I can pay myself and our team members better proportionally here than there,” Marino says. “So we have a better lifestyle. It’s not like a premium, high sought-after place. There’s a lot of weird economic influences that are happening in cities like New York, and San Francisco and L.A. I view it like it’s a weight that is holding you down.”

A different kind of job applicant

Marino says company turnover is close to zero and during the interview process, candidates are more interested in the type of work they’ll be doing and the future they’ll have with the company. In Silicon Valley, interviewees are more likely to ask about exit strategies and being vested.

“They’re not viewing it like a gamble, like to cash out or something like that versus when I interview people from some other places, the conversation goes very differently so people here are thinking more long term,” Marino says. “They’re not thinking, ‘I’m going to vest, and then I’m going to leave and go join another start-up.’ They’re thinking, ‘Why would I work here? How am I going to grow?'”

Little things like that are a big reason why companies are setting up shop in Phoenix and then attracting knowledge workers. Another reason, according to Mayor Stanton, is that the city doesn’t have a lot of “old boy networks.”

“Those companies that grow to be Fortune 500 companies in other cities, in older cities, haven’t had that chance yet here in Phoenix,” Stanton says. “We don’t have a lot of old boy networks which means if you come to Phoenix, the only thing holding you back from just killing it in this town is your own work ethic and willingness to build your career. And that’s why we keep consistently popping up as one of ‘the best of’ for starting up a business, ‘the best of’ for young professionals. The future of the U.S. and the future of Phoenix are one in the same. We have a wonderfully diverse population, soon to be a majority Latino population, so we’re diversifying ahead of America and how well we do here is gonna be a real indicator of how well America does. That’s another reason of why Phoenix is so important.”

– State legislation passed in 2015 made for a more friendly business environment in Arizona.
– AZ is rated one of the top 10 states to do business, according to Chief Executive.


Businesses On The Move To Arizona

By The Governor’s Office


October 12, 2017

Arizona has always served as a trailblazing model for the nation to follow. Now, as other states move backward, businesses and the jobs they bring are turning to our state to grow and thrive.

BBC News recently published an article about how financial firms—looking for a place to thrive—are saying, “Goodbye New York, Hello Arizona.” The story notes that, over the 12 months leading to March 2017, hiring for finance and insurance jobs in Arizona grew faster than any other state in the country:

“The subway stops near Wall Street are still crammed in the mornings yet financial firms in New York—once the centre of the money universe—aren’t expanding the way they used to.

“Companies in far-flung states such as Arizona and Texas are seeing the rise in financial jobs instead. . . .

“. . . Meyer is based in Arizona, a desert state on the border with Mexico that is better known for the Grand Canyon than banking. But over the 12 months to March, hiring for finance and insurance jobs grew faster than any other state in the country.”


We’re leading the nation when it comes to embracing the 21st century for financial services and many other sectors of the economy.


We passed legislation in April 2015 making it easier for entrepreneurs to get the financing they need to open and expand. Since then, we’ve made a number of policy improvements to build upon that success and ensure that businesses can continue to flourish in our state.


That’s why Chief Executive ranked Arizona as one of the Top 10 states in the U.S. in which to do business when the magazine released its annual rankings last week.


It’s the same reason Kiplinger wrote this month that Arizona is “poised to do well as more tech firms relocate from Calif. and elsewhere to the Grand Canyon State, where the operating costs are lower and the regulatory climate is friendlier.”

Arizona is the place to be.

Steve Forbes, editor-in-chief of the eponymous Forbes magazine, highlighted our state’s economic success in his newest column:

“While all eyes on are on Washington these days to see how well the bold Trump agenda advances, Arizona Governor Doug Ducey is quietly creating a case-study in how to achieve economic growth and create the jobs of the future. He is luring high-tech innovators, attracting scores of start-ups, and incentivizing corporate expansion. . . .

“. . . Governor Ducey should be a role model for conservative chief executives, legislators, and city leaders throughout the nation. What he accomplished in Arizona can be duplicated by any other state that is willing to work with tech companies and other businesses to help them succeed.”

There’s certainly still work to do, but—with the lowest unemployment rate since 2008, higher credit ratings and consumer confidence, and a real-estate market on the rise—let’s keep up the momentum and continue being a state where workers, businesses, and entrepreneurs feel welcome.

– Rogers Corp. has a 180-year history in Connecticut   
– Rogers Corporation, Carlisle Group, and Kudelski Group are all moving to Arizona.



BREAKING: New global corporate headquarters headed to Phoenix area

By Eric Jay Toll


October 12, 2017



Arizona just landed its third corporate headquarters relocation this year.


Rogers Corp. (NYSE:ROG), an engineered materials solution firm, is moving its global headquarters from namesake Rogers, Connecticut, to Chandler.


The company already has a major business and manufacturing process in the city.


Bruce D. Hoechner, president and CEO of Rogers, said the decision supports the company’s long-term strategy and is an integral part of its plans for growth and expansion.


“Relocating our corporate headquarters to Arizona improves our access to the growing business and technology centers on the West Coast,” Hoechner said.


Rogers Advanced Connectivity Solutions division is headquarters in Chandler, and has been in the area for 50 years. The company has 400 Arizona employees. Another 70 corporate employees will make the move to the Southeast Valley as part of the headquarters relocation.


Carlisle Group from Charlotte, North Carolina, and Kudelski Group, from Switzerland, both announced corporate relocations into the Valley this year. Cardinal IG is building a regional headquarters in Buckeye, and Farmers Insurance also announced a major regional headquarters in Phoenix this year.


Rogers Corp. has a history going back more than 180 years, founded in Connecticut in 1832. It is retaining a manufacturing, research and development center in Connecticut. All the corporate functions — human resources, information technology, finance and technology — are relocating to Chandler.


The company operates facilities in the U.S., China, three in the European Union and South Korea. All global functions will be administered from Arizona.


Categories Economy, Narrative, Office Market

10 Issues Affecting Commercial Real Estate 2017

One thing I constantly stress to my team is that to be successful in this industry, you have to be willing to learn and adapt to the times, or quickly become obsolete and watch your business disappear. As a 20+ year Counselor of Real Estate (CRE), I love our annual top ten issues affecting commercial real estate. They are thoughtful, insightful, and always ahead of the curve.  Below is this year’s Top 10.
Here are my top 3 (But be sure to read below as there are 7 others that are equally important):

  1. Retail Disruption – Customer traffic is now being driven by “Experiential” retail like restaurants, entertainment centers, and gyms rather than traditional brick and mortar. (See our special report on retail here)
  2. The Technology Boom – A major study of automation by McKinnsey & Company suggests that up to 47% of today’s jobs could be replaced by automation. Disruption is no longer coming, it’s here. 
  3. Polarization and The Effect on CRE – The current political uncertainty about changes to trade, travel and immigration policy threaten cross-border investing, hospitality properties, retail, and manufacturing supply chains. 

Keeping our readers (and our clients) up to speed on Commercial Real Estate is the purpose of this narrative.



P.S. It’s time for a critical rose ceremony. Who will go home, and who will have the chance to meet the architect? Watch the video to find out!

Screen Shot 2017-12-05 at 8.44.25 AM

The CRE 2017-18 Top Ten issues Affecting Real Estate


1. Political Polarization and Global Uncertainty

Political Polarization and Global Uncertainty are impacting decision-making at every level of government and throughout the business community.  On an international level, recent elections in the U.S., France, Austria, the U.K. and other countries point to resurging nationalism, testing existing diplomatic and trade relationships around the globe as exemplified by Brexit and NATO.  Potentially devastating military conflicts seem more likely in Asia and existing conflicts in the Middle East are more volatile.

Even at the local level, there is continuing and intensifying polarization between and within political parties, making it virtually impossible for representatives to find the common ground needed to resolve differences and move ahead. Decisions cannot be made when compromise is viewed as weakness and people with differing points of view have difficulty being in the same room. If people struggle to express and hear divergent opinions, it will be nearly impossible to address existing and emerging problems going forward.

Negative implications on real estate are immediate. Uncertainty about changes to trade, travel and immigration policy threaten cross-border investing, hospitality properties, retail, and manufacturing supply chains, among other effects.  Rising interest rates and retail inflation will make middle-class homeownership that much more difficult.  Longer-term implications could be much more severe, as polarization prevents long-term fixes to issues such as infrastructure, affordable housing, local and state pension liabilities, and education.  And so, one or both of these trends affects virtually every issue on this year’s list and a host of others that didn’t make the cut.

 2. The Technology Boom
The tech start-up boom is revolutionizing real estate operations across the board.  One of the biggest changes this year is not a killer app, but an unprecedented wave of commercial real estate technology innovations that are expected to change the way real estate is bought, sold, and managed.  Commercial real estate tech start-ups were impressive in 2011, with $186 million invested. This has grown exponentially. In 2016, investment reached $2.7 billion. MIT’s real estate innovation lab has identified 1,600 real estate tech start-ups worldwide.

Robotic learning, a research field testing robots that can acquire new skills and adapt to their environment, has accelerated automation of the workplace. This year, robots showed that they can work as teams, learn from videos, and rely less on specialized human programmers. Thirty percent of banking jobs are expected to disappear in the next decade, and fully robotic lettuce farming is expected to open in Japan this year. A major study of automation by McKinnsey
& Company suggests that up to 47% of today’s jobs could be replaced by automation.

Big Data has  come to real estate planning, and space planning decisions are now informed by real-time information.  Autonomous vehicles, especially trucks, are projected to go mainstream.  Automated cars could knock 85 percent off taxi and ride-share costs, competing favorably with car ownership.  When autonomous vehicles cost less than cars, we’ll need to find something else to do with our garages, parking lots, and much of our streetscape. Reliable, fast, complete information also drives the sharing economy, as tech savvy users drop ownership in favor of dependable access.

In retail, the question has shifted from “Do you shop online?” to “How many deliveries did you have today?” Online retail continues to drive warehouse demand – but each foot of new warehouse space leased by online retailers translates into eight feet of vacant retail. Smart lenders and investors are already insisting that new construction reflect future demand patterns, not those with which we are currently familiar.

Get ready to change uses – you won’t need as much parking or retail, and anything that can be shared will be. Financing commercial construction will require this kind of foresight.  Homes with features that take advantage of these trends (secure package dropoff and access to bandwidth) will also draw more attention in the marketplace.

3. Generational Disruption
Boomers’ and Millennials’ divergent views of where they live, work, and play increasingly impact the property markets.  The Baby Boom generation of approximately 74.0 million (born between 1946 and 1964) is now smaller than the Millennial Generation of some 75.4 million (born roughly between 1980 and 1997).   A significant number of today’s real estate decisions, as well as those connected to the workplace and consumer spending, are made by people under the age of 40.  Yet Boomers, too, remain engaged, continuing as productive members of  the workforce in increasing numbers far beyond the traditional retirement age of 65. Millennials are moving into management positions and looking to raise children and own homes at the same time that Boomers seek to downsize or age in place.  The generations are crossing paths everywhere:  in the workplace, in housing and at the local bar and grill, intersecting and sharing spaces, despite their often disparate priorities when it comes to the built environment.

Studies project that Millennials will ultimately behave in a fashion similar to Boomers – but do so ten years later.  This generation is characterized by:

  • Leading a more transient, “experience-oriented” lifestyle in their 20s.
  • Marrying, having children, and buying homes in their 30s as opposed to their 20s.
  • Living in the city before moving to the suburbs (or rapidly emerging “urban burbs”) in search of the larger, more affordable home and better school.

Boomers, on the other hand, are exhibiting behaviors often associated with Millennials:

  • Transitioning to a more transient, “experience oriented” lifestyle in their 60s.
  • Selling their homes and renting (in the same buildings as younger generations).
  • Abandoning the suburbs for city living (or choosing urban like locations a bit further out).

Real estate developers, investors, owners, and builders will need to understand not only the location preferences of each group, but the design and amenity features of housing units, whether rental or owner occupied.   One size will not fit all and supply will need to match rapidly changing demand.  In coming years, Boomers will be looking for aging options and amenities while Millennials, with an ingrained reliance on social media, will prioritize “networks” offering product knowledge and immediate, online access to goods and services.

At work, Boomers tend to favor the traditional office design of earlier generations, an onsite work environment, and structured schedule. Millennials, now entering the work force in large numbers, prefer “collaborative” office designs and flexibility in where and when they work.  Particularly interesting is the new dynamic which places these diverse interests side by side.  While employed Baby Boomers tend to be the decision makers in their workplace, a shift is underway, as Millennials literally climb the ladder – no longer to the corner suite – but to the standing desk in the middle of an open office arena with a private “wellness room” and exposed kitchens and snack bars.  The challenge for builders, landlords, owners, and tenants alike will be in finding an acceptable design balance that appeals to the contrasting audiences they serve – now and in the future.

4. Retail Disruption
The trend toward transforming retail into “experiences” continues to develop, and is offsetting shrinkage in the physical “bricks and mortar” consumer goods platform.  “Experiential” retail drives customer traffic to a more diverse and highly participatory environment targeted to a variety of age groups and interests.   This sector has transitioned into a kind of “Omni Channel”– encompassing e-commerce, reduced or repurposed physical elements, and a host of previously unforeseen spaces, both physical and virtual – with a current emphasis evolved from bricks and mortar shopping to the timely, efficient transfer of goods from source to inventory to consumer.  Many traditional retailers are adopting an “Amazon-like” approach, creating new warehouses, new distribution methods, and new fulfillment models (same-day deliveries, easy return methods, etc.). An irony of this is the recent embrace by  “disruptive retailers” such as Amazon of the traditional retail model characterized by the opening of physical stores, which allow consumers to “see, feel, and return” what they purchase.

It is no secret that the U.S. has been “over-retailed” for decades.  In a recent study by Cowan and Company, the United States boasts 40% more shopping space per capita than Canada, five times more than the U.K. and ten times more than Germany.  Retailers unable to profitably transition into the multi-faceted new format have been forced to shutter physical stores, migrate into virtual space, or discontinue operations entirely.   Such stalwarts as Sears, Macy’s, and J.C. Penney join countless other retailers in being forced to close multiple stores throughout the country, leaving malls anchored by these legacy retailers scrambling to reposition huge empty spaces or go out of business altogether.

Despite this massive repositioning, we are not by any stretch of the imagination facing a “Retail Apocalypse.” Restaurants have boomed in recent years and service-oriented outlets  take up ever more space.  Grocery-anchored malls remain steady – at least for now, although change is afoot as grocery models join the fray and prepare to reinvent themselves.  Retailers who cater to a fresh or appealing niche in the marketplace are thriving, exemplified by “fast fashion” venues such as H&M and Zara which turn out, at highly affordable prices, versions of high fashion designs within weeks of their appearance on the runway.  As retailers refine their inventories, distribution methods, and fulfillment models, the retail market will survive and even prosper – but will do so in fresh, new ways.

5. Infrastructure Investment
While both major U.S. political parties appear to support substantial investment in infrastructure, it remains unclear when and if the United States Government will be in a position to move major initiatives forward any time soon. However, initial conceptual plans released by the Trump administration indicate a relatively limited Federal Government investment, placing heavy reliance on local and state governments and public-private enterprises.  Politics aside, this approach presents important opportunities for the private sector which is directing significant funds to infrastructure projects, recognizing the need for – and longer-term rewards of – investment in roads, bridges, tunnels, ports, and airports.  Blackstone plans to create a $40 billion infrastructure fund this year.  They are not alone. Prequin, a leading source of data and intelligence for the alternative assets industry, reports that investors now oversee $376 billion in U.S. infrastructure dollars.

While political winds continue to blow in many different directions, it is clear that the need for infrastructure investment is critical.  The movement of goods, which involves everything from ports to airports to warehouses to roads, highways and railroads, is further straining an aging and highly vulnerable interior framework.  Add to this the need for pipelines, electricity transmission, and water distribution, and the immediacy of infrastructure needs becomes even more pronounced.

Major changes in global transportation routes are also driving infrastructure development. This is exemplified by the Panama Canal, the undisputed catalyst for port development in such cities as Houston, Savannah, Charleston, and other ports along the Eastern seaboard.

How the infrastructure challenge is met — or not met as the case may be – will have major real estate implications.  Reliance on public-private investment means projects must havestrong revenue-generating capacity to be funded — something most rural projects and many water, electricity, and road undertakings cannot achieve,  particularly in struggling communities.

Public transit, which has emerged as one of the most critical investment criteria of institutional investors, cannot meet revenue requirements of public-private funds. Initial federal budgets have zeroed out public transit investment, a dramatic problem for many communities and real estate investments.  The sheer volume of need is also a concern, as state and local financial resources are severely limited due to pension liabilities and limited ability to raise additional revenue.

6. Housing: The Big Mismatch
Safe, decent, affordable housing has been shown to have a stabilizing effect on urban economies, crime, and public health.  A current lack  of inventory has generated a spike in home prices and, as a result, declining affordability for many home buyers, particularly those in lower income sectors.   A critical disparity exists between housing needs and housing supply. Although improving home prices, economic growth, mortgage accessibility and rental development have improved housing access and affordability in many areas, a confounding series of supply-demand mismatches continues to severely impact markets worldwide.  While the United States increasingly wrestles with the issue, a recent study of 300 metropolitan areas around the world ranked North America as a market with far fewer affordability problems than most.

An especially serious issue is the growing affordability gap and limited availability of housing in locations with significant job growth, particularly in major metropolitan areas and coastal regions.  Those working in technology, finance and other highly paid fields have monopolized new, resale, and rental product, raising prices on once affordable rental and for sale housing and creating a crisis for lower paid workers and those who are unemployed.   Younger workers seeking employment opportunities, many carrying substantial student debt, remain priced out of the owner market.  Developers have only begun to address the potential for starter home construction (as was done in the 1940s and 50s) as land and construction costs (as well as regulatory constraints) have created price points that are simply too high to interest those  who might otherwise build or invest in entry-level housing.

In other markets, Baby Boomers seek transitional rental housing, but the lack of multifamily rentals with sufficient space and of buyers for the large homes in distant suburbs they wish to vacate have made this shift in lifestyle a true challenge for an older generation wishing to remain active and engaged.  Insufficient  investment in public transportation,  government limitations on “mother-in-law” and micro units, and creative solutions to what could become an affordability crisis exacerbate the problem – widening the gap, real or perceived, between the “Haves” and “Have Nots” and potentially creating even greater problems long term.

7. Lost Decades of the Middle Class
After successive post-recession years of insignificant gains, median household incomes in the U.S. rose in 2015 by 5.2% to $56,516. Still, despite this welcome increase,middle class incomes have yet to recover their pre-recession highs ($57,403 in 2007), and are actually hovering below inflation-adjusted levels from almost two decades ago ($57,909).  Battered by automation and outsourcing, middle class jobs are still under pressure as the U.S. economy transitions from manufacturing to services.  Middle class disenchantment has been linked to the current rise of populist candidates in many countries; global economic and political uncertainty are intimately tied to a large proportion of the voter base disappointed with what government leaders and the business elite have delivered so far.

Retail properties serving primarily middle class customers are bearing the brunt of store closures. Malls with tenants serving high income buyers are faring relatively better.  Rising costs of living and student debt levels suggest that home purchase decisions will be postponed by the young.  Rentals will not necessarily benefit in the most expensive, desirable urban locations; supply growth in multifamily housing counterbalances demand, and stagnant income levels constrain rent growth.

8. Real Estate’s Emerging Role in Health Care
The U.S. spends over $3 trillion each year on health care, or nearly $10,000 per person. That’s double the average for developed countries worldwide, but U.S. health outcomes and efficiency are poorly ranked in comparison to the rest of the industrialized world.  While political polarization is making it difficult to address quality and access problems, the real estate industry has emerged as a major player to cost-effectively improve people’s health.  Medical services are increasingly being delivered in clinics, urgent care facilities, and ambulatory surgery centers, reducing costly hospital visits.  Virtual care – bundling  digital and wireless (video conferencing, email, photos, etc.) and home and mobile monitoring of patients – is expanding rapidly as security and access problems are resolved.  Applied data analytics also help in this “everywhere care” model.

Building occupants are increasingly demanding that the space they inhabit be designed, constructed, and operated in ways that advance positive health outcomes. It makes intuitive sense that buildings could help or hurt health in that people spend 90% of their time indoors. Research from the Mayo Clinic also concludes that only 20% of health comes from health care, with environmental and behavioral factors accounting for 40%.
Evidence of the importance of this trend is that most major real estate professional groups have recently ramped up their focus on healthy buildings.  Designing buildings to specifically address health behaviors has become the most transformative and rapidly growing subtrend of the “Health and Well Being” macro-trend.

Dramatic growth in business interest is a key factor driving this trend. According to Fidelity’s annual national survey of corporations, over 90% of companies have some form of health management or wellness program with approximately 80% also utilizing incentives.  Powerful recent research on the impacts of carbon dioxide on white collar worker cognition (increase by 61% to 101%) and how adjustable desks affect worker productivity (46% increase) also provide a partial explanation. New and cheaper technologies have also helped.

However, it was not until the emergence in late 2014 of the WELL Building Standard, with over 102 building interventions tied to scientific and medical research, that occupants became more actively involved in the healthy buildings movement. The International WELL Building Institute has registered or certified over 450 projects in 28 countries to become WELL Certified.  With adoption by many leading corporations like Wells Fargo, TD Bank, Deloitte, EY, Microsoft, Genentech, McKesson and investors including Oxford, Cadillac Fairview, Kilroy Realty, Hines, Lendlease, Grosvenor, and AXA, future growth prospects are strong.

9. Immigration
The Trump administration has attempted to enact more restrictive immigration laws, emphasizing concerns about security and terrorism while appealing to a voter base concerned about jobs lost to illegal immigrants. In the meantime, companies ranging from tech firms to real estate finance companies bemoan the lack of qualified workers. Development projects in high supply growth MSAs such as Denver stall because of labor shortages. Demographers point to immigrant groups as the source of household formation and favorable trends in population growth that will benefit the U.S. relative to geographies with aging populations like the EU and Japan.

New immigrants tend to rent, boosting demand for multifamily housing, especially in gateway cities.  Recent surveys suggest that immigrant populations aspire to own homes and to move relatively freely from cities to suburbs and back in the search for employment. Labor mobility and homeownership rates will be constrained by limiting immigration. Industries like tech that demand highly skilled workers may be forced to innovate and substitute capital for labor if they cannot fill vacancies by recruiting foreign workers – constraining job growth. Longer term, if the entry of immigrant populations that tend to have larger households is curtailed, there will be a limit on the so-called demographic dividend for economic growth, with less of a labor force to support an aging population.

10. Climate Change
In January 2017, the National Oceanic and Atmospheric Administration (NOAA) released a new report based on the most up to date scientific evidence on sea level rise that more than doubles the 2013 forecasts of potential sea level rise by 2100 from 2.2 to 4 feet to 6.6 to 8.6 feet.  Sea level rise is caused by both the thermal expansion of the oceans—aswater warms up, it expands—and the melting of glaciers and ice sheets.  These dramatic rises were due largely to new research on the role of the Antarctic in sea rises as well as improved forecast models.  The Atlantic (Virginia Coast North) and western Gulf of Mexico Coasts’ sea rise is projected to be greater than the global average by .3 to .5 meters by 2100.  Alaska and the Pacific Northwest are projected to be 0.1 to 1 meter lower.

While a potential rise of sea level by 6.6 to 8.6 feet by 2100 may seem far in the future, NOAA also estimates that annual frequencies of disruptive and damaging flooding would increase 25-fold with only a 14-inch increase inlocal sea level rise.  Major cities such as Miami, New York, New Orleans, Tampa and Boston are projected to have the most costly problems, with South Florida and most coastal areas all exposed to differing levels of sea rise risk and cost.

The implications of potential sea level rise and related flooding on real estate values is positioned to explode due to dramatic increases in the volume and accessibility of information on the consequences of sea rise. Employers and commercial real estate investors, thanks to hurricanes Katrina and Sandy, can now access municipal and state reports that detail potential risks of sea rise and efforts to mitigate such risks.  Residential and commercial buyers, sellers, brokers, and appraisers can now freely access flood maps and sea rise forecasts that provide detailed assessments of the population, buildings, infrastructure and land that are threatened by rising sea levels.    Websites such as Surging Seas Risk Finder even enable individuals to map potential sea rise and flooding risks of their properties and communities at different points in time and under different sea level assumptions.

Value implications extend well beyond those properties that might be directly affected by flooding.  For example, what if you live or work on a hill, but the access roads and key services you require flood?  Values of all properties will be affected if airports, transportation infrastructure, and other community amenities are negatively impacted.   Commercial properties and local economies in coastal regions will suffer if tenants concerned about community resilience or related tax consequences go elsewhere.

Residential properties are particularly vulnerable to even the potential for value declines due to increased flooding risk because they represent a significant proportion of the retirement nest eggs of many Americans.  Insurance to address such risk is either too expensive or not available in most cases.  For people who are counting on the equity from their home for retirement when they sell in 20 years, few will be willing to roll the dice that sea level rise will not impact value — and many are likely to sell before value declines are fully realized.


Categories Economy, Narrative, Office Market

1-Minute Phoenix Metro Office Update: Q3 2017

The Metro Phoenix office market continued on its eight-year positive course, albeit at a slower pace, for the 3rd quarter of 2017. As any athlete will tell you, a win is a win and all the [market] players will take it.  The 216,037 SF of office space absorbed fell short of expectations, however, some large leases were signed in Q3 and tenant activity is strong as we close out the year. 

Despite a seemingly high 19.6% vacancy across the entire market, sustained confidence from developers has 2.1 million SF of new space under construction. Note that only 31% of that figure has been built at the request of users.  The rest is speculative development in high-performing projects or submarkets.

Below is the link to our Lee & Associates Arizona 3rd Quarter 2017 Office Report and as usual, I’ve included my top takeaways, but expanded them to 5.

1. Big Deals Return – 3 of the top 5 leases signed were 130,000 SF or larger. Hopefully this trend continues. The biggest deal, Union Bank, adds 173,000 SF of net new jobs to the Greater Phoenix market. 

2.  Speculative Development – I believe this is prevalent even in a market with 19.6% vacancy, because companies continue to value new real estate as a great recruiting/retention tool.

3. Sublease Space is Significant – For the first time in years, sublease space is making a comeback.  Some of it has been caused by contraction (e.g. University of Phoenix). But State Farm and many other companies have sublet space due to growth, consolidations and the desire for newer buildings. In total, there is now 2.5 million SF of sublease space available in Greater Phoenix. This is concerning for landlords but an opportunity for tenants.

4. Amenities Will Cost You – The highest average rental rates (over $30/SF/YR) can be found in Downtown, Scottsdale South and the Camelback Corridor; home of some of the highest concentration of restaurants and shopping in the Valley.

5. Chandler Makes a Comeback – Previously quiet over the past couple years, Chandler now leads all other submarkets in net absorption with 538,000 SF, year to date.

Please call me if I can help you with your office lease or a building you own.


P.S. This week on The Bachelor-NAIOP Edition, Season 2, the guys test their tennis skills on a group date. Nothing like a little competition to reveal who’s there for the right reasons.

Screen Shot 2017-11-07 at 8.28.43 PM

Click Here to Read the Full Report

2017 Q3 Office Report_Page_1

Categories Economy, Narrative

Spending Trends in America

One of my favorite movie quotes is from Jerry Maguire – “Show me the money!” And that’s exactly what the below chart does. This very informative chart shows spending trends over the past 75 years in America.

Some key points for me:
— Education spending is trending up. Not sure if this is Americans valuing education or just that the cost has risen. As with all the technology advancements, this is a budget item that should be going up for most Americans. Keeping abreast of how technology is changing your business, employees, and the market is more critical today than ever before. 

— Housing continues to be the largest portion of spending. AND the amount we spend on housing costs is growing every period. Urbanization of our population worldwide and here in the US is a massive trend. (Click here to read my previous narrative on this topic.)

— Food costs have declined as food becomes cheaper and more accessible. (Click here to read another narrative on this topic.)  

On a personal note, I am dismayed at the decline in spending on reading.  In my household, I always say, “There is no budget for books.”

ccoppola@leearizona.comP.S. It’s time to find out who will receive a coveted rose and who will be sent home. Will your favorite tenant make the cut? Watch this week’s episode of The Bachelor – NAIOP Edition to find out.

Click here to read the full article.
Join the C2
You will receive concise insights on all things commercial real estate along with top level trade secrets.
Weekly Narrative