Browse Tag: San Francisco

Commercial Real Estate News Roundup For January 29, 2015

 

Using events to anchor a co-workspace, using Chinese developers to pull towers out of San Fran ground, and using zingy jargon when consulting to convenience retail on how to sell more stuff — it’s all here in today’s Commercial Real Estate News Roundup for January 29, 2015.

General

Office

Industrial

Retail

 

Commercial Real Estate News Roundup For September 30, 2014

Denver skyline at blue hour

 

Putting on your pants in San Diego, East coast ports getting hotter, Denver’s plans to get even higher — it’s all here in the Commercial Real Estate News Roundup for September 30, 2014.

 

 

 

General

 

Demand for S.F. commercial property is through the roof, SF Chronicle, Sept. 27, 2014 – Tech and non-tech uniting across the Bay Area to drive property prices and narrow availability.

 

Banks Seeing Lower Loss Rates on Commercial Real Estate, Huffington Post, Sept. 23, 2014 – The mop and bucket from the Great Recession still being wielded even as years of desperate unwinding of bad loans declines in the face of something more natural and cyclical.

 

Commercial comeback, Boston Globe, Sept. 24, 2014 – Meanwhile in New England, industry and office growth in and around Boston pick up steam.

 

Charleston area buzzing with commercial building projects, Charleston Post & Courier, Sept. 28, 2014 – Buildouts in the southeast’s leading port city are crowding the ground and sky.

 

 

 

 

 

Office

 

The office tower that transformed downtown Houston is for sale — and expected to fetch record price, Houston Culture Map, Sept. 22, 2014 – 36 historical stories are on the market, and the tech and defense citadel called Houston is expected to make pricing history.

 

San Francisco’s 2014 office leasing breaks dot-com record, San Francisco Business Times, Sept. 25, 2014 – Luckily for the commercial property sector, the high-tech promise of the “paperless office” was always a bunch of hooey.

 

22-story office tower coming to downtown Denver, Denver Business Journal, Sept. 25, 2014 – Mile-high city aims to get 22 stories taller.

 

 

 

Industrial

 

Need for speedier delivery stokes hot industrial market, The Record, Sept. 24, 2014 – 3PL (third party logistics) and warehouse properties are in record demand, especially in New Jersey

 

Tight industrial market sends semiconductor firm to Sherwood for warehouse space, Portland Business Journal, Sept. 25, 2014 – Meanwhile up in the Cascades, spillover from traditional tech environs is changing the commercial property equation.

 

This deal shows how blazing hot Baltimore’s industrial market has become, Baltimore Business Journal, Sept. 29, 2014 – Strategic acquisitions of warehousing near Atlantic ports are proceeding at all building classes, says the BBJ.

 

 

Retail

 

Microsoft to Open Fifth Avenue Store, WSJ, Sept. 29, 2014 – Software giant left in wake of Apple’s dust considers retail expansion. 

 

Lucescu Realty sells Utah shopping center portfolio for $226 million, CSA, Sept. 29, 2014

 

Malls fight back against Internet, U-T San Diego, Sept 26, 2014 – What can’t e-tailing deliver that malls can?  Food and entertainment.  San Diego shopping centers focus on what it means to put on your pants to go shopping.

 

 

 

Multifamily

 

Apartments slated for big, vacant downtown Syracuse building, Syracuse Post-Standard, Sept. 29, 2014 – Vacancies no more in upstate New York 

 

SunTrust watches for multi-family bubble in Nashville, The Tennessean, Sept. 22, 2014 – Is Nashville over-developing and under absorbing its multifamily space?

 

Builders Turn Focus to Housing Market, NYT, Sept. 26, 2014 – Gotham and housing: the eternal waltz on an ever-shrinking dancefloor.

 

 

 

Will Twitter’s Move to Market Street Bring New San Francisco Deals?

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Checking on the commercial RE market in San Francisco shows a primary market dealing with the ever-shifting realities of tech and traditional economics. Whole swathes of the near-downtown area have struggled with vacancies and neighborhood perception problems, in some cases reaching far beyond the downturn of ’07-’08.

But when a market is blessed with lots of technology companies, growth remains the watchword.  In Vauhini Vara’s April 14th WSJ piece titled Market Street Looks For Twitter Revival, expectations are high concerning the relocation of social media tech company Twitter’s headquarters into a Market Street property that has lain dormant for years.

Picking up the story from where the excellent Bay Area Commercial Real Estate Blog left it last month, WSJ noted the elements that went into the deal, including a six-year payroll tax exemption:

While local business owners await Twitter’s arrival, that hoped-for rebound has yet to materialize. With crime and homelessness still rampant and storefronts boarded up, pedestrians remain wary of venturing too far west of the downtown shopping hub around the Westfield San Francisco Centre, a mall on Market between Fourth and Fifth Streets.

Yet the news of Twitter’s planned move to an enormous, nearly vacant building between Ninth and 10th Streets, long known as the San Francisco Mart, has energized city officials and small businesses working to improve the stretch of Market Street between Fifth and 10th Streets. The organizer of the Burning Man Festival, Black Rock Arts Foundation, also recently announced it would move to this part of Market.

Mr. Stender, who co-founded Huckleberry Bicycles with two friends, said they “recognized the potential of mid-Market” but Twitter’s move “will help it along much more than we could.”

Coming at around the same time are a spate of San Francisco tech business commercial property deals that point to sunnier days ahead for the city by the bay:

Zynga revived a development that had long sat vacant in Showplace Square. The biggest deal in 5 years when they signed.

Salesforce put their stake in the ground in Mission Bay, set to build their global headquarters in the storied and somewhat troubled development in Mission Bay. Add 5,000 workers to stay in the city and a huge lift to the Mission Bay.

Now Twitter is one step closer to reviving a large development at 1355 Market Street, and an entire submarket may benefit in the process. The Civic Center now won’t just be home to lawyers, judges, city gov employees and a generous sampling of SF’s more eclectic denizens. Twitter and its ostensible followers (so wish all the building owners and city officials) may just be the catalyst to revive another run down SF market.

Cheers to the city for getting this done. Hopefully the tax breaks won’t end with the big guns. The city is thriving because of the huge number of startups setting up shop here, and the more loyalty these founding teams have for the city, the more likely they will want to revive a market when their time comes.

Boom times?  Maybe not exactly. But the signs are unmistakable that San Francisco’s commercial property market still has some treats left in the portfolio.