Commercial Real Estate & Business News March 4, 2019

Office Sales Dropped Off in January on Market Volatility, But Are Expected to Pick Up Pace
Market volatility in the fourth quarter of 2018 led to a sharp drop-off in investment sales in the office sector in January, according to the most recent report from research firm Real Capital Analytics (RCA). Office sales volume declined by 29 percent year-over-year, to $7.8 billion. According to RCA researchers, “Investors became more…»

ASU to Build $130M Residence Hall in Downtown Phoenix as Enrollment Growth Continues
Arizona State University is planning to build a new residence hall at its downtown Phoenix campus as enrollment growth continues to climb. ASU President Michael Crow said he expects the 400-bed student housing facility to cost about $130 million to develop. “We’re going to be launching construction soon on a building just north…»

Study: Cap Rate Stability Expected to Continue
Strong economic growth, abundant capital, and a favorable supply and demand environment led to broadly stable capitalization rates for U.S. commercial real estate assets in the second half of 2018, according to the latest research from global property advisor CBRE. The CBRE North America Cap Rate Survey provides insights on…»

New Grocery Store Business Coming from Amazon? Inc. aims to launch a new retail grocery store business separate from its Whole Foods Market subsidiary, The Wall Street Journal reported. Seattle-based Amazon already plans to open a grocery store in Los Angeles as soon as this year, and the company has inked leases to open two other locations in early 2020, the Journal…»

Top Concern for CRE Execs: Interest Rates
Rising interest rates followed closely by the end of the current growth cycle and a potential recession top the concerns of commercial real estate executives for 2019, according to Seyfarth Shaw’s fourth annual Real Estate Market Sentiment Survey. “The real estate industry is expecting the end of the growth cycle and even recession in…»