Commercial Real Estate & Business News – December 13, 2016

Since the recession, the Federal Reserve has been trying to do something that may seem counterintuitive: push inflation higher. Sure, flat to modest price increases are better for consumers, leaving them more money for discretionary purchases. But little or no inflation over a prolonged period is a sign of a weak economy and gives shoppers little reason to buy stuff today since they know it won’t be much more expensive in the months ahead. That can hurt consumer spending…»

Fitch projects U.S. retail sales, excluding automobiles and gasoline, will grow 3% to 4% in 2017, which is in line with the 3.8% forecasted for 2016 due to a generally consistent economic backdrop. Retailers on a positive trajectory will include Dollar Tree, Burlington Stores, Levi Strauss, Coach and J.C. Penney, according to Fitch. Sears, Claire’s Stores, Gymboree, Abercrombie & Fitch, Vince and Bon-Ton will be challenged to maintain share, liquidity and positive same-store sales…»

“Phoenix will grow a bit faster over the next couple of years. In part, (the growth will be) driven by sustained U.S. growth. Increased residential mobility across the U.S. will also benefit the Phoenix metro area,” Hammond said. “Overall, the outlook is certainly positive for Phoenix. It’s going to be the fastest growing region of the state, and will really drive overall state results going forward”…»

Opus Development Co. LLC is ending the year with a flurry by acquiring a parcel in Goodyear that is targeted for 1.654 + million sq. ft. of warehouse-distribution space. The 95.6-acre, shovel-ready site is within the Goodyear Crossing industrial park at the northeast corner of Cotton Lane (Loop 303 alignment) and State Route 85…»

Capitol Lofts are slated to be built on Washington Street in between Ninth and 10th avenues. That’s in between downtown and the Arizona Capitol. What makes the development different is it has loft designs with 20-foot ceilings and pricing starting at $165,000. Both the sales price – and the homeowners association fees – are a far cry from the higher-end pricing seen for other new downtown developments…»