Commercial Real Estate & Business News – June 22, 2016

On “King of the Hill,” the animated sitcom that aired for 13 years on Fox, the character named Peggy Hill once called Phoenix “a monument to man’s arrogance.” Last summer, on a day the temperature broke records at 115 degrees, someone posted a segment on Reddit under the thread “Phoenix, Arizona, should not exist.” And that is just a small taste of the disrespect often heaped on the nation’s sixth-largest city.…»
Days before a deadline for bids on hundreds of Sports Authority store leases, a pair of sporting-goods retailers are said to be discussing a joint bid for as many as 200 of the collapsing Englewood-based chain’s stores. The Wall Street Journal reports that Sports Direct International plc (LON: SPD), the largest sporting-goods retailer in the…»
It has been a conundrum in the office market throughout the last few years: the job market has been fairly steady, especially for office-using industries. So why has office occupancy growth been so sluggish? Is it because employers are squeezing new staff into smaller spaces, especially Millennials who are more tolerant of this? Or is there some other cause? An arms-length look at the data shows that employers may be squeezing more staff into smaller quarters, but the “Millennial effect”-for lack of a better term-is minimall…»

The Federal Reserve warned that prices in the commercial real-estate market may have run up too far too fast. Valuations in commercial real estate “appear increasingly vulnerable to negative shocks, as CRE prices have continued to outpace rental income,” the Fed said in its semiannual Monetary Policy Report to Congress. The Fed noted that prices exceed their pre-crisis peaks by some measures…»

WP Glimcher Inc. said Monday afternoon that its CEO and vice chairman, Michael P. Glimcher, had resigned from the company and its board effective immediately. The shopping center REIT also announced that it planned to rebrand as Washington Prime Group, the name under which it had operated after its spin-off from Simon Property Group in the spring of 2014. The spin-off entity later acquired Glimcher Realty Trust for approximately $2 billion.…»