Inflation is expected to remain around 8% for August according to Bloomberg. While this may be slightly lower than the 8.5% consumer price index recorded in July, the continued rise in inflation from a year ago increases the cost of providing and maintaining government programs and services at the local level. The National League of Cities has reported that cities are using federal pandemic relief funds to address the impact of inflation.
Originally published on September 21, 2022, by Toby Burke for NAIOP Blog.
The federal government in the United States is responsible for establishing national policies and objectives that are often not achievable without the active participation of state and local governments in our federalist system of government. Federal funds are usually included as part of these efforts to assist state and local governments in following federal guidelines and procedures to implement these policies. This reliance on the involvement of state and local governments places significant importance on strong intergovernmental relationships.
Originally published in September 2022 by Christopher De Sousa, Ph.D., MCIP, RPP, Professor, School of Urban and Regional Planning, Toronto Metropolitan University for NAIOP.
Former industrial sites and other properties that may be contaminated — commonly called brownfields — can be found across the United States and Canada. Brownfields are often adjacent to well-developed transportation infrastructure, and many are near urban centers. These locational advantages make many brownfields viable targets for redevelopment to new uses, but the costs and risks associated with environmental remediation often make these redevelopment projects impossible without public financial and regulatory support. For this reason, public-private partnerships involving multiple levels of government, nonprofit organizations and private developers have played a prominent role in brownfield redevelopment. Public support for these projects has long been tied to achieving social and economic goals such as increasing employment, revitalizing communities and strengthening local real estate markets. In recent decades, public-private partnerships have also prioritized environmental objectives, from green building design to renewable energy and ecological revitalization.
Social, economic and environmental sustainability are now key considerations for most brownfield redevelopment projects backed by public-private partnerships. Even developers who pursue brownfield projects without public subsidies may find it beneficial or necessary to pursue sustainability objectives to obtain necessary entitlements and community support.
Originally published by Jenna Glick in the Summer 2022 Issue of NAIOP's Development Magazine.
The lack of diversity in the commercial real estate industry has been under increased scrutiny for the past few years. Some of the largest companies in global real estate made it a priority, such as Blackstone appointing a global head of diversity, equity and inclusion (DEI) in June 2021 and CBRE hiring a chief responsibility officer in 2020. Cushman & Wakefield named its first chief DEI officer in December 2020, and JLL expanded its internal team dedicated to DEI initiatives.
Inclusion initiatives focused on sourcing and fostering diverse talent are widely recognized, but they are only part of the equation. Another component involves supplier diversity and inclusion programs that leverage corporate purchasing power.
Originally published on September 20, 2022, by Maria Gatea for NAIOP Blog.
E-commerce provides easy access to goods with the click of a button, filling homes with stuff, stuff and more stuff. Meanwhile, the trendy minimalist lifestyle emphasizes only keeping what is needed and eliminating everything else. Where does the average American end up on the spectrum of goods ownership? As it turns out, among apartment renters, one in five uses self-storage to manage their belongings, at least temporarily.
Self-storage is a rapidly developing service that assists in life events such as moving, downsizing, or changes in family size. More recently, the widespread need to create home offices with the rise of working from home during the COVID-19 pandemic has added to the traditional sources of demand for self-storage. Renters, in particular, are finding more use for storage away from home as they move more often, and apartments are generally smaller. On average, renter-occupied homes in the U.S. are smaller than owner-occupied homes by largely 800 square feet. As a result, many renters are using self-storage as an extension of their homes.
Originally published on September 13, 2022, by NAIOP.
Students receive credit towards earning their certificate through core classes presented by the NAIOP Center for Education. So whether you want to enhance the value of your current career track or to increase your credibility in transitioning to a new career goal or area of interest, consider the professional benefits and competitive edge you'll gain by earning your NAIOP Certificate of Advanced Study.
Commercial real estate professionals wanting to advance their careers by earning their certificate can focus their efforts on either the development or finance tracks by pursuing a Certificate of Advanced Study in Commercial Real Estate Development or a Certificate of Advanced Study in Real Estate Finance.
Originally published by Robert Dunphy in the Summer 2022 NAIOP Development Magazine Issue.
The COVID-19 restrictions that began in March 2020 led to business closures and a sharp cutback in personal travel that caused demand for parking to plummet. Except for curbside pickup of retail purchases and carry-out meals, most travelers stayed home and avoided commercial and private parking lots and on-street spaces.
In April 2020, passenger travel on roads declined by 60%, while public transit usage fell by 81%, and air travel slumped by 96%, according to the U.S. Department of Transportation’s Bureau of Transportation Statistics. It was not until the spring of 2021 that passenger car travel returned to 2019 levels on average, but with wide variations across the country.
Originally published on September 6, 2022 by Patrick Sisson for Bisnow National.
Women in commercial real estate, particularly those in the upper echelons of management, have made gains when it comes to equity and pay parity in the workplace, but talent pipelines, mentorship and diversity in leadership ranks still leave something to be desired.
That’s according to a pair of new surveys on the careers and perceptions of women in commercial real estate as the industry goes through a generational upheaval in the aftermath of a pandemic and racial reckoning that have changed the way workplaces work.
Originally published on September 3, 2022 by Rebecca Picciotto for the Wall Street Journal.
Affordable-housing developers nationwide are stalling work on new projects, delaying thousands of units from coming to market when the U.S. already has a broad deficit of low-income housing.
Rising interest rates and inflation have made financing for affordable housing more difficult and costly. Supply-chain issues for materials like lumber and appliances have eased a bit recently but haven’t gone away.
These forces can disrupt all types of property development, but they have been especially detrimental to affordable housing. Developers of market-rate apartments can raise rents when they are running low on cash. Affordable-housing developers tend to be limited in their rent increases in order to qualify for federal tax credits.
