Commercial Real Estate & Business News – October 10, 2017

Office vacancies declined 10 basis points during the third quarter to a national average of 12.9%, CBRE said Monday. Driving the improvements were suburban markets, continuing a trend seen over the past few quarters. Specifically, suburban office vacancies shed 20 bps to end Q3 at 14.1%, while for CBDs the quarterly decline was smaller although the 10-bp drop occurred in an office environment where vacancies are already more than 300 bps lower…»

Commercial real estate investors priced out of major U.S. markets have expanded their scope to secondary and tertiary markets to find properties yielding more generous returns, a trend typical of late-inning property cycles. But the robust demand for real estate and the current cycle’s longevity set this growth period apart from past ones and suggest that smaller markets will continue to reap investment for some time. …»

Two new hotels (including one aimed at millennials), a fast-casual Southeast Asian restaurant, Starbucks (Nasdaq: SBUX) and Texas Roadhouse are landing at a new development at the Loop 101 freeway and Via de Ventura. The Block at Pima Center is under construction off the busy freeway on the Salt River Pima Maricopa Indian Community next to Scottsdale.…»

Two big box retailers are taking over the former space occupied by Fry’s Food and Drug at the southeast corner of Bell Road and Seventh Street. Marshalls, owned by TJX Companies Inc. (NYSE: TJX), will occupy 23,475 square feet of the building, and Michaels (NASDAQ: MIK) will take 25,324 square feet. The Fry’s, a subsidiary of Kroger Co. (NYSE: KR), moved further east along Bell Road earlier this year.…»

Institutional investors helped the U.S. housing market recovery by purchasing single-family rental (SFR) homes after the Great Recession, buying up at least $33 billion in holdings. Compared with the total value of the single-family housing market, that amount is just a start, and a small one at that. …»