Real Estate & Construction News Roundup (1/24/24) – Long-Term Housing Issues in Hawaii, Underperforming REITs, and Growth in a Subset of the Hotel Sector
In our latest roundup, commercial real estate’s relationship with technology, towns and cities across the country prevent dollar stores from opening, empty offices and other commercial buildings are reused for housing, and more!
- Between 1988 and September 2023, the hotel room supply in the select service and extended stay hotel sector has increased by 60% greater than full-service hotel room supply growth. (Michele Laufik, Hotel Dive)
- With high mortgage rates and home prices, would-be buyers are understandably looking for deals — even if they need to move to a different city, state or region to find them. (Ana Teresa Solá, CNBC)
- Roughly 60 towns and cities have made changes to their zoning laws since 2018 to prevent dollar stores from opening within their limits. (Alex Bitter, Business Insider)
- Officials say the most urgent unmet need after the Lahaina wildfire in Hawaii is now stable long-term housing for some 5,000 residents. (Audrey McAvoy, AP via ABC)
- Empty offices and other commercial buildings across the U.S. are increasingly being converted into much-needed housing with such adaptive reuse projects expected to create around 122,000 apartments in the coming years. (Amanda Loudin, Facilities Dive)
- According to research from Ariel Property Advisors, remote work leads to significant drops in lease revenues and renewal rates, occupancy and market rents in the commercial office sector. (Ryan Masiello, Forbes)
- Real estate stocks have underperformed the broader stock market so far this year as investors worry the federal reserve won’t bring down the cost of borrowing as quickly as markets hope. (Dani Romero, Yahoo)
