Real Estate & Construction News Roundup (7/10/24) – Strong Construction Investment in Data Centers, Increase Use of Proptech in Hospitality and Effects of Remote-Work on Housing Market
In our latest roundup, renters stay in their units longer, GenAI change how commercial real estate operates, and banks continue high exposure due to commercial real estate.
- Strong investor interest, particularly in opportunistic and value-add segments, signals a strong market for construction firms specializing in high-yield projects. (Sebastian Obando, Construction Dive)
- A growing number of renters are staying in their units for longer periods of time than they did a decade ago with over one-third of U.S. renters have lived in the same apartment for more than five years. (Mary Salmonsen, Multifamily Dive)
- Several U.S. regional and mid-sized banks continue to face the squeeze from high exposure to the commercial real estate sector that has been shaken by higher-for-longer interest rates and empty office buildings. (Reuters)
- Proptech is working with hotels and other hospitality properties to increase efficiency and reduce costs for owners, operators and consumers. (Philip Russo, Commercial Observer)
- Industry experts say they expect a wave of defaults in the apartment business, intensifying problems across the commercial real estate industry. (Joe Rennison and Julie Creswell, Yahoo)
- GenAI can support property operations, acquisition strategy and portfolio planning in ways that could change how commercial real estate companies do business. (Umar Riaz, EY)
- Remote-work trends are starting to reverse, and that’s forcing some people to sell their homes as 10.1% of people who are likely to move in the next year are doing so because of a return-to-office policy. (Matthew Fox, Yahoo)
