I recently heard Hamid Moghadam, CEO of Prologis, speak at Burnham-Moores 22nd Annual Real Estate Conference. He ended the conversation by discussing his company’s policies to increase the number of women across all departments. It was empowering to hear that a company with such a presence on the world commercial real estate stage has specific policies to promote women. Many more companies and countless organizations have pledged to be champions and advocates of women in the commercial real estate space. We are proud to work with a number of clients who make this diversity a focus in order to compliment their already successful businesses with women that can take their companies to the next level.
These changes are even taking place on construction sites. Construction sites and careers have a reputation that has not historically been conducive to women. Read here about the incredible organizations across the country who are working tirelessly to promote diversity in the trades.
The Real Estate Roundtable’s Q1 2018 Economic Sentiment Index shows that executives in the commercial real estate space still anticipate “strong near-term asset values and capital availability.”
Highlights from the report include:
Survey respondents feel comfortable with where the current 2018 market is, but are concerned about 2019
Capital sources are making more calculated decisions
Asset values seem to be peaking
Competitive and available sources of capital are prevalent
Read the summary and access the full report at Connect.media.
According to NAIOP Research Foundation’s annual report, commercial real estate development and operation of existing buildings generated the following economic benefits:
Supported 7.6 million American jobs in 2017 (a measure of both new and existing jobs).
Contributed $935.1 billion to U.S. GDP.
Generated $286.4 billion in salaries and wages.
Read the full report to understand the full impact that commercial real estate has on the economy. Originally published by Dr. Stephen S. Fuller in January 2018 on NAIOP.org.
Bitcoin’s blockchain technology has revolutionized the way financial markets are thinking. In a nutshell, blockchain technology is a continuously growing list of data that is inherently resistant to modification. How can that be applied to CRE? Connect Commercial Real Estate explored what that technology could mean for commercial real estate in their article What’s Blockchain’s Potential Impact on CRE?
Want to be part of the continued life science boom? Check out our job board for west coast CRE opportunities in that space.
The Connect article sites the below major takeaways from the CBRE report:
“– Employment in U.S. life sciences has risen by 23.5% since 2001, outpacing the overall job-growth rate of 10.2% – Lab-space vacancy rates are tight in primary life-sciences markets, registering at less than 2% in Chicago, 4% in the Bay Area and less than 5% in Boston -Rent growth is robust, including a 50% increase in Boston’s Cambridge submarket since 2013 – Venture capital investment in the U.S. life-sciences industry now is 53% greater than 10 years ago”
Clearly life science and biotech is a hot market, and we are excited to see the economic benefits of the space needs and research results of theindustry.
It’s 2018. It’s January. It’s the start of new resolutions and a great time to look at where we are in our careers. For many, it might also be time for our annual reviews and bonus and promotion discussions. The insightful 2017 Real Estate Compensation Survey conducted by CEL & Associates, Inc. lists the many real estate industry jobs out there and their associated salaries and bonuses.
I pulled together the below charts to provide a visual representation that highlights select roles and role levels.
Working with folks in these positions daily, I want to share with you some observations that I took from the compensation study:
Roles in the residential arena pay significantly less than office and retail, with retail real estate roles paying the most. It will be interesting to see how those trends develop as our industry continues to evolve.
Roles in leasing tend to have a larger percentage of their compensation rooted in bonus, so while their base salaries may be lower, their bonuses are higher. This isn’t as apparent in residential leasing, however.
As you would expect, the higher the level of position, people tend to receive a larger bonus as a percent of their salary, so not only is the bonus percentage increasing with seniority, but the base number that it is based on increases as well.
As a general proxy, based on a small sample size of numbers I tested compared with average salaries I have seen in the local market, San Diego pays about 10% less than the national median numbers published in this survey.
Stay tuned as we provide some inspirational insights next month regarding how to springboard your career in the direction of those executive roles (and compensation packages!).
*Thank you to CEL & Associates, Inc. for the information.
Please note that the compensation figures presented represent a composite of all companies participating in the 2017 CEL National Survey and are not stratified by
ownership/type of company (public vs. private), company size, product specialization, regional geographic location, or metropolitan area. Further, factors such as tenure,
experience, role and responsibility will impact compensation levels and benchmarks (percentiles) for the evaluation of any comparative situation, as will the financial situation of
a company and its investment and business strategy.
(1) High = 75th percentile, Median = 50th percentile, Low = 25th percentile.
Survey Completed 2Q 2017.
Source: CEL Associates, Inc./CEL Compensation Advisors, LLC (c) 2017 National Real Estate Compensation Survey – All Rights Reserved. Not to be referenced or
reproduced in any form without prior permission in writing: 12121 Wilshire Blvd., Suite 204, Los Angeles, CA 90025 Tel. (310) 571-3113, Fax. (310) 571-3117.
2018 continues to be talked about in a positive light for the real estate industry. There will always be a need for brick and mortar, regardless of how much technology continues to disrupt our society. The way we use those buildings just may require more and more creativity. The below article is a great read whether you own real estate, work in the industry, or are just plain curious.
According to Deloitte, there are four focus areas where commercial real estate companies can focus to help them continue to grow and maximize value. They are:
PRIORITY ONE | UNLOCK THE VALUE OF REITS: ACCELERATE BUSINESS
PRIORITY TWO | FOCUS ON RE FINTECH STARTUPS: AVAIL ALTERNATIVE CAPITAL OPTIONS
From major mergers and capital constraints on apartments to the co-working revolution and the Fed finally making its move on interest rates, 2016 was not without its major commercial real estate stories. But, of course, the biggest one of all won the American presidency. See below for the major commercial real estate news highlights on 2016.
Enter Donald Trump
Marriott International Grows With Starwood Merger
Creation of ColonyNorthStar
China Becomes Major US Real Estate Investor
Banks Pull Back On Apartment Construction Lending
Merger Mania In Dixie
Hines REIT Liquidation
Fed Makes Its Move. Finally.
The VTS/Hightower $300M Merger
Co-Working Takes The US By Storm
Originally published by Jarred Schenke for Bisnow on Dec 23, 2016. See additional details on these commercial real estate 2016 highlights in the full article here: The Biggest Commercial Real Estate Stories Of 2016
With Amazon’s September announcement that is will be building another Seattle-sized headquarters, cities put their best and most creative brainpower into telling Amazon why they should choose their city.
What’s in it for the chosen finalist? A campus the size of it’s current Seattle headquarters, $5 billion in construction spend, and 50,000 plus high-paying jobs.
Numerous cities have been named as stand out candidates including New York City, Denver, Austin, Boston, Chicago and Washington, D.C., Detroit, Pittsburgh, Minneapolis, and Baltimore. The site of the new headquarters will undoubtedly need to have quality higher education, functional infrastructure, and significant government backing.
Finalists are announced in December with the winning location to be announced in 2018. We are all excited to see which city gets economic boost from the Amazon powerhouse.
Read more about thoughts on the expansion by some of NAIOP’s Distinguished Fellows:
