Categories Economy, Narrative, Office Market, Office Trends

1-Minute Phoenix Metro Office Market Update: Q3 2022

The Metro Phoenix Office Market hit a small speedbump in Q3 on the path to recovery. After posting a big net absoption in Q2 of +918,413 SF, Q3 slipped to -81,621 SF. This puts year-to-date net absorption at +532,634 SF, on track to finish well below our 20-year average of 2 million SF. What’s going with … Continue reading 1-Minute Phoenix Metro Office Market Update: Q3 2022

Categories Covid19 Impact, Economy, Narrative, Office Trends, Tech Industry, Top 10 Issues Affecting Real Estate

Top 10 Issues Affecting Real Estate

As you may recall, Andrew and I are a long time Counselors of Real Estate (CRE). Annually the  Counselors of Real Estate organization  has all the members vote and comes up with the most interesting and comprehensive  list of Issues in our business.  The 2022-2023 Top 10 Issues Affecting Real Estate report came out last … Continue reading Top 10 Issues Affecting Real Estate

Categories Covid19 Impact, Economy, In the News, Narrative, Original Content, Ten on One

Ten on One- California Industrial Market

The Inland Empire of industrial market is MASSIVE.  It is estimated that 40% of all distribution to the US comes through the two ports located in Southern California.  We spent ten minutes talking Inland Empire with Jeff Huberman, one of the top industrial brokers in California. What did we learn? –These ports are the gateway to … Continue reading Ten on One- California Industrial Market

Categories Covid19 Impact, Economy, Narrative, Office Trends

PropTech is Changing Office Space

Office space is changing dramatically right in front of our eyes.  In this Narrative, we have talked about work from home, flex time, and how office space is becoming more experiential. Today I want to talk about another area: PropTech. The article below from prommodo is titled: The Coming Tsunami of PropTech. Proptech companies are showing up at … Continue reading PropTech is Changing Office Space

Categories Covid19 Impact, Creative Office Spaces, Economy, Narrative, Office Trends

Up to 70% Office Building Obsolescene??!!

Zisler Capital Associates released a report that stated up to 70% of the total office inventory might be obsolete. This is a massive disruption for office building owners. Now, we know that how tenants use their space is changing dramatically post covid and with new, rising technologies (Zoom, Slack, everything in the cloud, etc). We also … Continue reading Up to 70% Office Building Obsolescene??!!

Categories Economy, Narrative, Office Market, Tech Industry

5 Solutions for Saving Money on Office

The majority of companies are back in the office under some sort of adjusted schedule.  While work strategies differ, everyone can agree that build-out costs are painfully expensive. This is especially challenging during the war for talent that’s happening, and businesses need every dollar they can get to enhance the employee office experience. Since the … Continue reading 5 Solutions for Saving Money on Office

Categories Design, Economy, Narrative, Office Market, Office Trends, Tech Industry

Are the Suburbs Back? And other Office Trends from NAIOP

As companies begin to return to the offices which have largely been left empty since the Covid 19 pandemic started, the first trend we are seeing is companies are  going to have to transform the spaces into places where workers will want to be. This is an important move since there is now a shift … Continue reading Are the Suburbs Back? And other Office Trends from NAIOP

Categories Covid19 Impact, Creative Office Spaces, Economy, In the News, Narrative, Office Market, Office Trends

Second-Tier Cities Thriving

The pandemic has created some new trends (mask wearing, expanded home delivery, ghost restaurants, etc.).  That said, there has been even more acceleration of existing trends including last mile logistics, flex work schedules, and the rise of second-tier cities like Phoenix. Second-tier cities are growing like crazy and drawing the notice of institutional investors as well … Continue reading Second-Tier Cities Thriving

Categories Banks, Covid19 Impact, Creative Office Spaces, Economy, Narrative, Original Content

2021 Holiday Video–Our Travels this Year (1 minute 57 seconds)

2021 has been a wild and crazy year for everyone.  We are proud of the work we did this year especially with the uncertain circumstances in the office market.  Our clients have been amazing and we are grateful for each of you who worked with us this year. We spent 2020 locked down in Arizona….NOT … Continue reading 2021 Holiday Video–Our Travels this Year (1 minute 57 seconds)

Categories Creative Office Spaces, Economy, Narrative, Office Trends, Tech Industry

Technology Changing Parking

Parking is not the most exciting topic, but for office developers and users it’s critical. Technology is changing everything in our lives and parking is no different. Yes, Uber and Lyft have already started the change as people can now get to and from locations without having to worry about parking.  And autonomous driving is … Continue reading Technology Changing Parking

Categories Covid19 Impact, Economy, Narrative, Office Market, Office Trends, Tech Industry

Where America’s Developed Areas are Growing?

A few weeks ago I wrote a narrative about rankings, and what I look for in markets where I believe companies will thrive. I posed four questions to ask with the number one question being:  Is the market growing? Below is a great article from the Washington Post on where America is growing by new land … Continue reading Where America’s Developed Areas are Growing?

Categories Covid19 Impact, Economy, Graphs, Narrative, Office Market, Original Content

1-Minute Phoenix Metro Office Market Update: Q3 2021 and a 30-Second Favor to Ask

We are honored to have been chosen as one of five finalists for Broker of the Decade in Metro Phoenix by CEM Magazine. The winner is determined via vote by the readers.  We would greatly appreciate if you could take 30 seconds right now and cast your vote by clicking here (we are third in the … Continue reading 1-Minute Phoenix Metro Office Market Update: Q3 2021 and a 30-Second Favor to Ask

Categories Covid19 Impact, Economy, Narrative, Tech Industry

Indoor Farming

A few years back I wrote a narrative on indoor farming (you can read it here).  The technology has grown and grown (pun intended) and now we are seeing some incredible changes. Sananbio, one of the world’s largest indoor farming technology providers, has announced an unmanned vertical farming system.  Here’s how it works: –Pour the seeds in … Continue reading Indoor Farming

Categories Covid19 Impact, Economy, Narrative

Which Cities are America’s new boomtowns? Try Salt Lake City and Indianapolis

Even before the pandemic, jobs in Metro Phoenix were on the rise, drawing large numbers of employees away from bigger cities like San Francisco, LA, and New York, to the area. That trend accelerated during the pandemic, with an influx of new remote workers moving to the city. What is really cool is the diversification … Continue reading Which Cities are America’s new boomtowns? Try Salt Lake City and Indianapolis

Categories Covid19 Impact, Economy, Narrative, Office Market, Office Trends

The Hottest Office Topic in the Valley

Office subleases continue to prove a hot topic this year. Tenants in the market are eyeing subleases for their great prices, or are using them as leverage to bargain against traditional options. In the Metro Phoenix market, with 100 million SF of office space, we are now showing over 4.5 million SF of sublease now … Continue reading The Hottest Office Topic in the Valley

Categories Covid19 Impact, Economy, Graphs, Narrative, Office Market

Reducing Office Space? 74% of Fortune 500 CEO`s Say It`s Likely

You may have noticed that I’ve spent more time than usual passing along information as it pops up.  My job is to make sure you and our clients are on the cutting edge of where office space is going and how it is changing. Due to the pandemic, there is a lot of confusing data … Continue reading Reducing Office Space? 74% of Fortune 500 CEO`s Say It`s Likely

Categories Covid19 Impact, Economy, Narrative, Office Market, Original Content

1-Minute Phoenix Metro Office Market Update: Q2 2021

The Metro Phoenix Office Market remains in disarray at the midpoint of 2021.  Companies (small and medium-sized) are coming back to work, signing new leases and getting back to a new normal. Other companies (often large ones) continue to kick the can with short-term renewals, downsizing as leases roll, or trying the sublease market.  The … Continue reading 1-Minute Phoenix Metro Office Market Update: Q2 2021

Categories Covid19 Impact, Economy, Graphs, Narrative, Office Market

CRE International Investors Coming to the US and AZ

Readers of this narrative know that my team and I represent tenants and landlords primarily in the Metro Phoenix area. Every year we see more and more investors coming to us from outside Arizona, and even outside the U.S. Interest in commercial real estate investing is on the rise in the international community, which is … Continue reading CRE International Investors Coming to the US and AZ

Categories Economy, Graphs, Narrative

$329,100

The housing market is on FIRE. We are seeing house prices skyrocket across the country, especially here in Metro Phoenix. How hot is it? The median price of a home in the US just hit $329,100. While I’m not in the residential sphere, I’ve been keeping an eye on housing prices and am amazed at … Continue reading $329,100

Categories Covid19 Impact, Economy, Graphs, Narrative, Office Trends

Commercial Sales Volume in a Pandemic

There’s no doubt that the pandemic has had far-reaching consequences for industries worldwide. In my business, the pandemic created several great markets (residential development and industrial); a sandstorm in our area of office space leasing (no one knows where we are going yet) and has devastated other segments (retail and hospitality). One other segment that was … Continue reading Commercial Sales Volume in a Pandemic

Categories Covid19 Impact, Economy, Narrative, Office Market, Original Content

1-Minute Phoenix Metro Office Market Update: Q1 2021

The pandemic certainly took its toll on the Metro Phoenix Office Market in Q1.  The numbers tell us it was the worst quarter since the Great Recession (2008): Net absorption (new office space taken by job growth) went negative for the third quarter in a row, at -550,000 SF; sublease space increased at the highest … Continue reading 1-Minute Phoenix Metro Office Market Update: Q1 2021

Categories Economy, Graphs, Narrative

Countries With the Most Sustainable Energy Policies

I have some global thinking for your narrative today. Lots of thought and energy is going into making the world more sustainable. There are many ways people are working towards sustainability, and below is a graph showing which countries are doing the best job. Here are my thoughts:1—The US is doing a good job (I know, we … Continue reading Countries With the Most Sustainable Energy Policies

Categories Economy, Narrative, Office Market, Office Trends, Top 10 Issues Affecting Real Estate

Top 10 Issues Affecting Real Estate

The Counselors of Real Estate (of which Andrew and I are proud members) have released their annual top 10 issues affecting real estate.  Please read the whole article below.  As you can imagine, COVID-19 is currently leading the way on issues affecting real estate. Big shocker.  We have written about the pandemic a ton in previous … Continue reading Top 10 Issues Affecting Real Estate

Categories Economy, Graphs, Narrative, Office Market

What is Your State’s Poor Infrastructure Costing You?

Below is an incredible graph.  States have let their infrastructure go to hell and it is costing consumers a ton of money in car damages.  Take a look below to see what your state is costing you.I also pulled cities within the Metro Phoenix market to see what individual cities are costing us. 1—Lack of … Continue reading What is Your State’s Poor Infrastructure Costing You?

Categories Economy, Narrative

A Decade of Home Building

The last decade (pre-COVID-19) was a lesson in taking the long road.  I remember meeting with a couple CEOs of homebuilding companies every year and hearing the same story from 2009-2012: “Last year was bad but this next year is going to be a lot better.”  This was the message for four straight years.  Multifamily, on … Continue reading A Decade of Home Building

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 … Continue reading Rules for Capital

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 … Continue reading 1-Minute Phoenix Metro Office Update: Q1 2018

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 … Continue reading Growing Together

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 … Continue reading Underlying Organizational Costs

Categories Economy, Narrative, Office Market, Top 10 Issues Affecting Real Estate

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 … Continue reading 10 Issues Affecting Commercial Real Estate 2017

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 … Continue reading Spending Trends in America

Categories Economy, Narrative, Office Market

2-Minute Phoenix Metro Office Update: Q2 2017

The second quarter was not quite as busy as the first, but there is still good news as our market slowly (painfully slow) continues to improve.  Vacancy held steady at 18.8% despite new construction, and we continued our streak of continuous positive net absorption (job growth).  We haven’t had negative net absorption since 2009. The pace of … Continue reading 2-Minute Phoenix Metro Office Update: Q2 2017

Categories Economy, Narrative

4 in the Top 20!

The good news keeps coming. Metro Phoenix just landed 4 cities in the top 20 best US cities for finding a job in 2017.  Arizona is open for business.  If you are looking to relocate, or know someone who is, there is no better area than the Valley of the Sun.   Here are a … Continue reading 4 in the Top 20!

Categories Economy, Narrative

Demonetized Cost of Living

Everyone talks about the negatives that happen in our lives. But some of the most incredible transformations are going on right in front of our eyes as well. A few months ago, I shared with you Dr. Peter Diamandis’ email about how the world is getting better (Click here to read that post). Today’s topic also comes from Diamandis, and … Continue reading Demonetized Cost of Living

Categories Economy, Narrative, Office Market

CRE Crowdfunding

Crowdfunding Commercial Real Estate acquisitions is all the rage. However, like everything, there are opportunities and liabilities in placing your investment dollars in a crowdfunded deal.   Below are two different articles with highlights. But first, a quick summary: Liabilities: Investors lack the industry knowledge and experience needed for real estate investments Too many uncommitted investors High legal fees … Continue reading CRE Crowdfunding

Categories Economy, Narrative, Office Market

Suburban Office Markets

The current recovery has been anemic, not just economically but in terms of new office construction as well. Long term, the lack of new buildings is good as overbuilding is not a concern. With the emergence of millennials in the work force and live/work/play environments,  suburban office markets have been even slower to recover. As the Central Business District … Continue reading Suburban Office Markets

Categories Economy, Narrative, Office Market

Metro Phoenix is Getting Better…Slowly

Steady net absorption (more space being leased due to job growth) continues to chip away at Metro Phoenix’s office vacancy as we head into Q4 2016. This quarter, Phoenix benefitted from medium-sized companies expanding. We hope these companies continue to grow. The metro Phoenix office market is on pace to perform roughly the same as 2015, i.e. … Continue reading Metro Phoenix is Getting Better…Slowly

Categories Economy, Narrative

Finally AZ is Growing Again!

Arizona is growing again. Of all the states boasting job growth, we are at the top. We have been doing it with regional headquarters relocations, internal growth, and a robust tech market. I give a lot of credit for this growth to our pro-business Governor Doug Ducey. This narrative is decidedly not political, but our growth … Continue reading Finally AZ is Growing Again!

Categories Economy, Narrative

Stalking Millennials and CRE

It seems like I am stalking all Millennials these days. Readers know why. They are changing the way we do business. Below is an article on how they are changing Commercial Real Estate. Here are a few takeaways for me: Smartphones are here and they are being used for EVERYTHING. All our websites, media, packages, flyers etc. need … Continue reading Stalking Millennials and CRE

Categories Economy, Narrative

How Much You Need to Make to Buy a Home

While we specialize in leasing commercial office space, we watch the housing market very closely. Housing is a precursor to office space growth. Regular readers know this housing market recovery has been slow and multifamily has been on fire for the past 5-6 years. While there are lots of reasons for this, affordability may be one of them.   The below … Continue reading How Much You Need to Make to Buy a Home

Categories Economy, Narrative, Office Market

Understanding The Office Market: Q1 2016 Phoenix Office Report

Office leasing is off to a good start in 2016.  Here in Metro Phoenix, the market saw 641,000 square feet (SF) of net absorption (office jobs added) recorded in the first quarter.  This means Metro Phoenix is on track to absorb approximately 2.5 million SF for the year. That would mean another year of consistent, average … Continue reading Understanding The Office Market: Q1 2016 Phoenix Office Report

Categories Economy, Narrative, Office Market, Office Trends, Tech Industry

Game Changing Trend is Happening Right Now

Each January, I attend Abundance 360 produced by Peter Diamandis. One takeaway this year was how fast driverless cars are becoming a reality. This will happen in our lifetime. Google autonomous cars have over 1,000,000 miles in Palo Alto (click here). Tesla has a new package that will drive your car on the highway (click here) and there are at least … Continue reading Game Changing Trend is Happening Right Now

Categories Economy, Narrative

Snapshot of Arizona Economy

Below is a great snapshot of Arizona and where we are with our economy. In addition, I’ve added a couple extra tidbits that are not in the below infographic:   –Arizona still lags in job creation. We are not quite back to 100 percent of our jobs lost (even though we have regained 314,000). This is the first … Continue reading Snapshot of Arizona Economy

Categories Economy, Narrative

Employment Growth – Employer Payroll Survey vs. Household Survey

My favorite economist who tracks the national economy and the US office market is Peter Linneman. He produced the graph below which shows job loss and gain during the recession. This graph demonstrates exactly why I follow the jobs market so closely and why most office markets in the US have been slow to recover. Surprisingly, there are just a few … Continue reading Employment Growth – Employer Payroll Survey vs. Household Survey

Categories Economy, Narrative

Spheres of Influence

Every now and then I see cool graphs that grab my attention. Site Selection magazine ran the below graphs showing the top industries and the top projects of the year (2013).   I found the following insights: –Where companies are headquartered and the size of each company are very interesting. There is some clustering, but not always. –Transportation is driving the … Continue reading Spheres of Influence

Categories Economy, Narrative

7 Bold Commercial Real Estate Predictions

In my weekly narrative, I spend quite a bit of time thinking, talking, and looking at the future. Below are seven bold predictions by some of the leading thinkers in our industry. Here a few key predictions that stand out: –Malls will soon be extinct –Technology will run buildings (we see that coming today) –Green buildings will become the norm … Continue reading 7 Bold Commercial Real Estate Predictions

Categories Economy, Narrative

5 Measures of Arizona’s Economy As Fall Season Arrives

The local paper in Phoenix, The Arizona Republic, published a great summary about the Arizona economy and my favorite topic—Jobs. Please take a look below for the full article, but here are a few highlights:   –We are still at 60% of jobs recovered from pre-recession numbers. –Construction, typically our get-out-of-the-slump card, is severely lagging. –One bright spot … Continue reading 5 Measures of Arizona’s Economy As Fall Season Arrives

Categories Economy, Narrative

Highlights from Arizona State University’s Annual Economic Outlook

Over the last two weeks, I have talked about the numbers behind the job numbers in the US and Arizona. Of course, there are people much more qualified and articulate who actually track this kind of data for a living. Arizona State University’s annual Economic Outlook produced some quality information that I thought I would … Continue reading Highlights from Arizona State University’s Annual Economic Outlook

Categories Economy, Narrative, Office Market

A Look at the Numbers Behind the Current Headlines About Job Creation

Job creation news made headlines a few weeks back touting that the United States had recovered all of the jobs that were lost during the great recession. In Arizona, however, we are still way behind our pre-recession levels. Over the next two weeks, we are going to try to tie jobs, the Phoenix office market, … Continue reading A Look at the Numbers Behind the Current Headlines About Job Creation