The Urban Land Institute is a thoughtful group of committed real estate practitioners who are global in their membership and thoughts. They have recently produced their emerging trends for 2015. You can click here for the complete document. Below I have included a few pages of Chapter 1 for a quick review, the entire document is lengthy.
Here are my personal highlights—most of which have nothing to do with their trends:
–“Jobs will chase people” is becoming the primary rule in the market. BUT, you need talent, skill, and knowledge. Without these, you will not be recruited.
–Technology—both incremental and disruptive, is changing space use, location, and demand levels. This is one of the reasons why I spend a bunch of time in this narrative discussing new technology. Fast and Furious.
–Aging—A huge new concern for America, although this is the first time I have discussed it in this narrative. Aging refers to crumbling and decrepit infrastructure. We rely upon roads, bridges, transit, water systems, and even electrical grids to live our lives. These were put in place 50 to 100 years ago and we rarely think about them—until they stop working. We have a D+ grade in the US given to us by the American Society of Civil Engineers.
Very early each morning, I drive down Camelback Road on my way to the preserve for my hike/run. Camelback road is one of our most visible and high end roads. At least five times a year there is water pooled in the street. After about a week, the street crews come, temporarily fix the leak and repave. Within a couple months, the water is leaking again, not always in the same place. Instead of fixing the problem permanently, they Band-Aid it. Take that one small story and run it across America—you’ll see that we have a big problem coming.
–Finally, there has been no real rebound year so investors are requiring deep market knowledge and hands on local skills. That is where we come in. If you need information on Arizona or Metro Phoenix, let me know.
There is lots more in the report along with my standard highlights. Enjoy.
For the entire Chapter 1, with highlights, please click here.