{"id":1004101888,"date":"2014-08-06T20:34:08","date_gmt":"2014-08-07T04:34:08","guid":{"rendered":"https:\/\/www.commercialsearch.com\/news\/?p=1004101888"},"modified":"2020-04-28T02:06:46","modified_gmt":"2020-04-28T10:06:46","slug":"dla-piper-survey-cre-execs-on-crowdfunding-workspace-and-e-commerce","status":"publish","type":"post","link":"https:\/\/www.commercialsearch.com\/news\/dla-piper-survey-cre-execs-on-crowdfunding-workspace-and-e-commerce\/","title":{"rendered":"DLA Piper Survey: CRE Execs on Crowdfunding, Workspace and E-Commerce"},"content":{"rendered":"<p><a href=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2014\/08\/Jay-Epstien.jpg\"><img loading=\"lazy\" decoding=\"async\" data-attachment-id=\"1004101893\" data-permalink=\"https:\/\/www.commercialsearch.com\/news\/dla-piper-survey-cre-execs-on-crowdfunding-workspace-and-e-commerce\/jay-epstien\/\" data-orig-file=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2014\/08\/Jay-Epstien.jpg\" data-orig-size=\"350,400\" data-comments-opened=\"1\" data-image-meta=\"{&quot;aperture&quot;:&quot;4&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;Canon EOS 30D&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;1161077615&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;98&quot;,&quot;iso&quot;:&quot;100&quot;,&quot;shutter_speed&quot;:&quot;0.0125&quot;,&quot;title&quot;:&quot;&quot;}\" data-image-title=\"Jay Epstien\" data-image-description=\"\" data-image-caption=\"\" data-large-file=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2014\/08\/Jay-Epstien.jpg?w=350\" class=\"alignright size-thumbnail wp-image-1004101893\" alt=\"Jay Epstien\" src=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2014\/08\/Jay-Epstien.jpg\" width=\"150\" height=\"150\" \/><\/a>By Gail Kalinoski, Contributing Editor<\/p>\n<p><a href=\"https:\/\/research.zarca.com\/survey.aspx?k=QTsRWYYsQYTsPsPsP&amp;lang=0&amp;data\" target=\"_blank\" rel=\"nofollow\"><span style=\"color: #ff0000;\">It&#8217;s not too late to participate in the survey!<\/span><\/a><\/p>\n<p>Crowdfunding has been attracting attention, but most top CRE executives don\u2019t expect it to be a significant source of commercial real estate investment for at least the next three to five years. That opinion has emerged from DLA Piper\u2019s latest survey of top commercial real estate officials, now underway.<\/p>\n<p>DLA Piper U.S. Real Estate Practice Chair Jay Epstien said the responses to the crowdfunding question have been the most surprising so far among those received for the annual DLA Piper State of the Market Survey.<\/p>\n<p>\u201cIt\u2019s been getting more coverage in the last six to 12 months. Deals are happening,\u201d Epstien said of crowdfunding. \u201cIt may not be a significant source, but it\u2019s going to raise money and it\u2019s going to be a player unless someone like the SEC says that\u2019s not going to work.\u201d<\/p>\n<p>The law firm\u2019s survey of CEOs, COOs, CFO and other senior CRE executives, is conducted in conjunction with the DLA Piper Global Real Estate Summit, this year set for Sept. 9 in Chicago. While executives can still participate in the survey (see link at the end of this article), DLA Piper gave <i>Commercial Property Executive<\/i> an exclusive preview of some of the questions and responses as tabulated so far.<\/p>\n<p>On the crowdfunding question, only 23.71 percent said they agreed or somewhat agreed that it would gain momentum and become a significant source of CRE investment in the next three to five years. More than 30 percent \u2013 31.96 percent, to be specific \u2013 said they somewhat disagreed, and 15.46 percent said they disagreed, with 28.87 percent remaining neutral.<\/p>\n<p>Epstien said he would place himself in the \u201csomewhat agree\u201d column.<\/p>\n<p>The crowdfunding question was one of several new ones included in this year\u2019s annual survey. Other new topics addressed flexibility and collaboration in office spaces and how e-tailing may be affecting commercial real estate.<\/p>\n<p>\u201cAll of these things affect how people are thinking about using their real estate and how they are investing their capital,\u201d Epstien told <i>CPE.<\/i>\u00a0 \u201cHow do you invest with the view that the world is changing? How do you protect your long-term capital investments?<\/p>\n<p>\u201cWe developed these questions to try and elicit answers on things we\u2019ve all been observing and the dynamics of how space is being used,\u201d Epstien added.<\/p>\n<p>The theme of this year\u2019s summit at the Four Seasons Hotel Chicago is \u201cNew Heights New Challenges: Embracing Innovation in a Changing World.\u201d<\/p>\n<p>\u201cWe hope the conference will provide tremendous insight into where the real estate world is today and how the leaders view where they\u2019re going in the foreseeable future,\u201d Epstien said.<\/p>\n<p>The questions receiving the highest \u201cagree\u201d or \u201csomewhat agree\u201d responses thus far have addressed flexible and collaborative office spaces. The one that drew the highest combined response \u2013 90.72 percent \u2013 asked executives whether they thought the movement toward flexible and collaborative office spaces would drive change in office building development to accommodate evolving requirements for floor plates, HVAC and support areas, et cetera. Of the total respondents, 57.73 percent said they agreed and 32.99 percent said they somewhat agreed.<\/p>\n<p>\u201cYou have to start thinking about design of space and how the building and services you\u2019re providing are being influenced,\u201d Epstien said. \u201cIs it a current trend of the month or is it a dynamic shift?\u201d<\/p>\n<p>Also receiving a very high agree\/somewhat agree response was a question about whether those spaces move beyond tech-related businesses and entrepreneurs and attract more traditional users of office space. More than half \u2013 52.08 percent \u2013 said they agreed and 36.46 percent said they somewhat agreed.<\/p>\n<p>Epstien was not that surprised by the response because the trend he has been seeing in office design is that there are fewer private offices and more clear glass walls to let in more light and encourage collaboration. He also noted that changes in technology have led to smaller office footprints because companies, especially law firms, don\u2019t need as much storage space for files or books because so much of their work is done electronically.<\/p>\n<p>One question asked whether the movement toward flexible and collaborative office spaces supported or dominated by companies such as WeWork, Rocket Space and LiquidSpace would \u201cradically change the complexion of the office leasing market in many cities.\u201d The response was a more muted 6.19 percent agreeing and 26.80 percent somewhat agreeing. Nearly a third \u2013 31.96 percent \u2013 took a neutral stance, while 26.80 percent said they somewhat disagreed and 8.25 percent disagreed.<\/p>\n<p>Epstien said those companies shouldn\u2019t be discounted, recalling a recent visit to WeWork\u2019s headquarters in Manhattan, where CEO &amp; co-founder Adam Neumann told him it was leasing more than 1 million square feet around the U.S. and was aiming to eventually be New York City&#8217;s biggest tenant.<\/p>\n<p>\u201cThere are changes happening out there,\u201d Epstien said. \u201cWe want to hear from people making decisions on using space.\u201d<\/p>\n<p>He was not surprised by responses to the question about e-commerce\u2019s impact. Asked whether e-tailing, which comprises about 10 percent of all retail sales today, will fundamentally change the retail real estate sector in the long term, nearly 85 percent of respondents said they agreed or somewhat agreed.<\/p>\n<p>Epstien notes that the impact of e-commerce isn\u2019t just on brick-and-mortar retail stores but on distribution centers that companies like Amazon are increasingly building around the United States to fulfill their orders.<\/p>\n<p>He said the panels at the Sept. 9 summit in Chicago would discuss these topics and more. For further information on the conference, go to <a href=\"https:\/\/www.dlapiperresummit.com\/\" target=\"_blank\" rel=\"nofollow\">www.dlapiperresummit.com<\/a>. To take the survey, click on the following link: <a href=\"https:\/\/research.zarca.com\/survey.aspx?k=QTsRWYYsQYTsPsPsP&amp;lang=0&amp;data\" target=\"_blank\" rel=\"nofollow\">https:\/\/research.zarca.com\/survey.aspx?k=QTsRWYYsQYTsPsPsP&amp;lang=0&amp;data<\/a>=)<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Most top CRE executives don\u2019t expect crowdfunding to be a significant source of commercial real estate investment for at least the next three to five years, according to DLA Piper\u2019s latest survey of top commercial real estate officials, now underway.<\/p>\n","protected":false},"author":1068,"featured_media":1004101893,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21742],"tags":[],"class_list":["post-1004101888","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.0 (Yoast SEO v28.0) - 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Gail has been a freelance writer and editor for more than 20 years, contributing to daily websites, magazines, weekly business newspapers, market intelligence newsletters, research reports, monthly B-to-B and consumer magazines. Earlier in her career, Gail worked for Gannett Corp. as an editor and reporter for 15 years. Gail has a bachelor\u2019s degree in journalism from Pace University.","url":"https:\/\/www.commercialsearch.com\/news\/author\/gail-kalinoski\/"}]}},"jetpack_featured_media_url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2014\/08\/Jay-Epstien.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004101888","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/users\/1068"}],"replies":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/comments?post=1004101888"}],"version-history":[{"count":2,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004101888\/revisions"}],"predecessor-version":[{"id":1004426149,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004101888\/revisions\/1004426149"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/media\/1004101893"}],"wp:attachment":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/media?parent=1004101888"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/categories?post=1004101888"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/tags?post=1004101888"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}