News & Opinions
The latest news and insights from Hanley Wood’s outspoken experts and key thought-leaders throughout the residential and commercial design and construction industry.
Rick Harrison, President of Rick Harrison Site Design Studio and Neighborhood Innovations, LLC / newgeography / August 16, 2013
In the housing industry, land planners are the first to be dropped during a downturn… and the first needed in an upturn. A good way to monitor the optimism of the housing development market is to monitor the volume of land planning.
The land plan is the beginning of a long and arduous process. Unlike architecture, which is relatively quick from design to construction, land planning takes patience. It can easily consume a year or two (or more) for a US neighborhood to go from the initial design stages to the beginning of construction.
Typically, but not always, national recessions coincide withRead More
Mark Heschmeyer / CoStar / August 7, 2013
Although Cost of Borrowing May Go Up, Investor Risks Appear Low
Analysts believe it is becoming more and more likely that commercial real estate loans coming due in the next few years will face a higher rate environment. However, the strengthening economy is expected to offfset near-term investor risk.
Two notable commercial real estate developers and investors support the assessment that property fundamentals are catching up to the valuations created by strong capital flows into the property markets.
Owen D. Thomas, CEO of Boston Properties, said, “If interest rates go up it’sRead More
Joseph Batdorf, president and CEO, J Turner Research / MULTIFAMILY EXECUTIVE / August 5, 2013
When it comes to student housing in the United States, one thing is pretty much clear: the dorm days are over.
To satisfy both cost and quality-of-life concerns, most students have moved off campus into modernized student housing communities, and competition for their rent dollars hinges around several key factors: be close to school, build big apartments with lots of storage, and make sure residents have their own bathroom (even if they share a bedroom).
As revealed in “Gauging Student Living Preferences,” a survey of 7,095 graduate and undergraduate students prepared exclusivelyRead More
John Caulfield / MULTIFAMILY EXECUTIVE / August 1, 2013
Coming out of the recession, Raleigh-Durham, N.C., seemed to be one of those can’t-miss real estate markets. Its economy and demographics were exactly what builders, developers, and investors coveted in terms of potential growth. And competitive conditions seemed ripe for the picking.
So the gold rush began, and aggressive construction of multifamily apartments followed. Maybe a bit too aggressive, say some industry watchers, who uniformly identify Raleigh-Durham among the handful of go-go markets whose building activity might be getting ahead of demand.
No one is ready to utterRead More
Lindsay Machak / MULTIFAMILY EXECUTIVE / July 17, 2013
The race is on to build and deliver new units while the upturn still has momentum, but the frenzied pace of competition has bumped up land prices significantly.
Developers purchased more than $3.6 billion in new development land in the first quarter of 2013, according to data from New York-based Real Capital Analytics (RCA). This is the largest amount of new development land purchased in the first quarter of a year since the Great Recession began.
Steven Coon, a principal at Kansas City-based Land Development Strategies, said securing financing isn’t the most difficult part of gettingRead More