Western Specialty Contractors’ Houston, Texas, branch used its expertise in waterproofing to mitigate water intrusion above the West Legacy Club at historic Kyle Field, home to Texas A&M University’s football team.

Located in College Station, Texas, Kyle Field Stadium has been home to the Texas A&M Aggie football team since 1927. The permanent seating on the east and west sides of Kyle Field were added in 1927 and the horseshoe was completed in 1929. The stadium was expanded in 1967 to include two decks of grandstands, and the third decks were added to the east and west sides in 1980. Known as “Home of the 12^th Man”, its seating capacity of 102,733 makes it one of the five largest stadiums in collegiate football.

Western was contracted in April 2024 to apply 56,000 square feet of urethane coating to the deck above the stadium’s West Legacy Club to prevent water intrusion. Other than food/beverage spills and typical surface contaminants, the deck’s surface was in good condition.

Most sports stadiums and arenas in the United States are made up of reinforced and precast concrete with steel seating supports and railings. Unfortunately, an even more universal characteristic is their openness and vulnerability to the elements — in addition to the wear and tear they receive from fans. All of these forces combine to take a toll on their structural integrity.

Without routine maintenance and protection, these concrete structures are subject to cracking, spalling and structural damage from movement and reoccurring freeze and thaw cycles.

Western’s scope of work on Kyle Field included:

• Applying epoxy around the handrail posts
• Removing the seating
• Pressure washing the deck
• Replacing the control joint sealants
• Installing a primer, base coat and textured topcoat
• Re-installing seating after coating had cured

While in the middle of the project, Western’s crews had to demobilize and remove all equipment to accommodate a soccer match between Mexico and Brazil on June 8, 2024, followed by a record-setting concert put on by George Strait on June 15, 2024. Western was able to resume the project following the events and complete the work in August 2024, on schedule and within budget.

Marcus & Millichap brokered the sale of Forney Retail Center, a 15,042-square-foot retail center in the Dallas suburb of Forney, Texas.   

Chris Gainey and Philip Levy, investment specialists in Marcus & Millichap’s Dallas and Fort Worth offices, exclusively marketed the property on behalf of the local private seller and procured the buyer, an out-of-state limited liability company. 

Built in 2023, Forney Retail Center is a Class A multi-tenant retail center located at 476 FM 548, near the signalized intersection of College Avenue. The tenant mix includes national, regional, and local retailers such as Nothing Bundt Cakes, HotWorx, and Wingstop. The center is shadow anchored by a highly anticipated Tom Thumb grocery store, estimated to open in summer 2024, along with more than 20,000 square feet of retail space on the northeast quadrant of FM 548 and College Avenue. 

Retailers hoping for a bump in sales this holiday season just received an early gift from JLL: In its latest research, JLL predicts that shoppers are willing to spend more this holiday season.

What’s behind this? JLL points to cooling inflation and the revival of physical storefronts. According to JLL’s 2024 Holiday Shopping Survey, consumers are boosting their holiday budgets by 31.7% in 2024, with shoppers planning to spend an average of $1,261 for gifts, holiday food and décor and experiences. 

“We’re not only seeing a shift in the amount that shoppers are spending but also what they spend their budgets on, including a focus less on giving and more on living,” said Naveen Jaggi, president of Retail Advisory Services, Americas, at JLL, in a statement.

According to JLL’s data, consumers are expected to increase their holiday shopping budgets by more than $300 from last year. JLL says that this increase is due in part to a 56% planned uptick in spending on holiday-related experiences such as dining out or attending a live performance. Jaggi says that this is evidence that shoppers are embracing more than just physical goods this holiday season.

Among physical gifts, clothing, electronics and accessories top the list of items shoppers plan to give others this holiday season. An interesting trend? A total of 83% of holiday shoppers plan to buy a gift for themselves this year (up from 76.2% in 2023), with apparel and electronics topping consumers’ self-indulgent lists. 

JLL’s survey came with good news for physical storefronts, too. According to the results, Most consumers will visit physical retail storefronts this year, either shopping in a mall or in an open-air center; picking up curbside or in-store; or a combination of these options.

JLL says that Consumers also plan to rely on multiple channels to shop, including an increasing reliance on social platforms for holiday gift ideas.

More than eight in 10 respondents will use social media platforms like Facebook, Instagram and TikTok when making their 2024 holiday shopping decisions, with TikTok’s e-commerce platform nearly doubling in popularity when compared to 2023. While shoppers continue to turn to their digital devices to check gifts off holiday shopping lists, only 12% of holiday shoppers will exclusively order online this season as consumers increasingly prioritize in-store holiday experiences. 

“Our survey indicates that consumers will flock to physical stores this holiday season, with malls emerging as the top brick-and-mortar destination. In fact, we’re forecasting an 18% uptick in mall visits where shoppers can experience the full breadth of holiday spirit,” said Kristin Mueller, President, Retail Property Management at JLL, in a statement.

“Consumer demand for physical experiences, whether that be dining out, listening to live music, or appreciating storefront décor, has revitalized the mall experience and we’re expecting this resurgence to further accelerate in the 2024 holiday season.” 

And for the first time, department stores topped the list of store types where consumers plan to visit for holiday shopping. With more than half of consumers (57.9%) planning to visit department stores, this increase correlates with the rise in mall visits overall, where mall shoppers will increase by 18.7% this year. 

JLL found, too, that shoppers aren’t waiting to start their holiday buying this season. According to JLL’s research, more than 40% of consumers said that they started checking items off their holiday shopping lists in September. By the week after Thanksgiving, JLL predicts that the number of consumers that have started shopping will more than double (86%) as consumers take advantage of deal days like Black Friday and Cyber Monday. 

Deal days will be particularly of interest to younger shoppers, primarily Gen Z, who are expected to start shopping during Black Friday weekend, while the big spender Millennial cohort (aged 30-44 years) will start shopping notably earlier, with 65.5% starting by Halloween.

JLL also reported that more shoppers will head to stores on deal days in 2024 than last year, with more than 50% of consumers planning to shop Black Friday deals in-store, compared to 39.5% in 2023. 

Lone Star PACE helped arrange $3.5 million in C-PACE financing for sustainable building renovations at Meadow Park Tower in Dallas County, Texas.

The 263,000-square-foot, 15-story, multitenant office building is located at 10440 N. Central Expressway in Dallas. The building was constructed in 1986 and renovated in 2016. A subsequent renovation began in 2022 and includes the installation of sustainable building components, including energy-efficient windows and walls, LED lighting, improved HVAC systems and low-flow plumbing.

C-PACE allows property owners to access low-cost, long-term financing for energy and water conservation systems at commercial buildings. Property owners can use C-PACE to finance new construction, building retrofits or recapitalizations.

Bayview PACE served as the capital provider for the project, which is estimated to reduce Bradford’s annual electricity consumption by 25%, its water consumption by 28% and its natural gas consumption by 42%.

Bradford MPT Partners has spent the last few years upgrading the building’s interior and adding a slew of top-tier amenities, including a new outdoor patio, tenant lounge, conference center, fitness center and putting green. These investments have resulted in a stabilized occupancy of 90%.

Cushman & Wakefield announced today that the firm represented the building’s ownership, Affinius Capital, in leasing 23,417 square feet to Vaalco Energy Inc. at 2500 CityWest in Houston.

Win Haggard of Cushman & Wakefield represented ownership, under the direction of Dennis Tarro and Phillip Moore with Patrinely. Joshua Brown and Audrey Selber of Newmark represented Vaalco Energy, which will occupy the fourth floor of the building. Patrinely oversees the building’s leasing and management.

Located at 2500 CityWest Blvd. near the intersection of Westheimer Road and West Sam Houston Parkway, the office tower totals 25 stories. Features and amenities include a fitness center; onsite coffee shop and deli; Common Desk flexible workspaces; a conference center with multiple, flexible meeting spaces; and dozens of restaurant and retail options nearby.

Political uncertainty is the leading concern for top commercial and multifamily real estate advisors as 2025 approaches—but it has a lot of competition, according to the Top Ten Issues Affecting Real Estate®, a just-released annual report from The Counselors of Real Estate®, a global organization comprised of leading property advisors. Each year, the report poses potential solutions to the industry’s most critical challenges.

In addition to political uncertainty, the real estate industry also faces $1.8 trillion in commercial real estate debt set to mature before 2026; $380 billion in economic losses in 2023 due to extreme weather; soaring insurance costs; and persistent, still-elevated interest rates. On the bright side, interest-rate induced bleeding has slowed as deal volume has begun to stabilize heading into 2025.

Anthony DellaPelle, global chair of the Couneslors of Real Estate

“This coming year, elections in more than 70 countries could shake up an already volatile geopolitical landscape, and the U.S. elections in particular will have a significant impact on regulation, trade, corporate taxes, immigration policy and sustainability,” said Anthony DellaPelle, global chair of the Counselors of Real Estate®, in the Top Ten Issues report.

“The urgency of prioritizing sustainability and climate resiliency in real estate strategies has never been more apparent, as we saw massive economic losses last year due to extreme weather, which is also contributing to sky-high insurance costs.”

The Counselors of Real Estate® is approaching the disruptions caused by this pervasive uncertainty with a focus on solutions, enhancing the industry’s understanding of how these issues will impact various asset classes within commercial real estate.

Top Ten Issues Affecting Real Estate in 2025

1. Political Uncertainty Pervades Every Corner – In 2025, the real estate sector is navigating uncertainty due to elections in more than 70 nations including the United States, Taiwan and the EU. In the U.S., notable real estate-related issues to watch include potential rent caps for corporate landlords and modifications to the 1031 like-kind exchange. Globally, elections could affect trade and military policies, with repercussions for the U.S. economy overall. This unpredictability complicates real estate transactions and real estate workouts for distressed assets, as investors seek clarity on economic growth, inflation, and interest rates.
2. Transactions Will Remain Tepid Amid High Financing Costs – While interest rates came down in September 2024, the financing markets remain challenged due to still-elevated rates. As a result, deal assessments and market valuations remain complex. While transaction volumes are stabilizing, uncertainty still persists. Many owners are hesitant to sell, and potential buyers are wary of high prices, still expecting a surge in distressed asset sales due to upcoming loan maturities. The Counselors’ report predicts that buyers will continue to adopt a cautious approach, focusing on higher cap rate deals, with a more aggressive market re-entry likely not materializing for another two years.
3. Commercial Real Estate Market on the Edge of a $1.8 Trillion Debt Cliff – The real estate sector faces a looming $1.8 trillion in commercial loan maturities by 2026. While lenders are increasingly extending these loans in hopes of better market conditions, this temporary relief may soon reach its limits as banks grapple with regulatory constraints and insufficient capital reserves. While forecasts suggest a decline in federal funds rates from 5.25–5.50% to around 3.5–4.0% by the end of 2025, borrowers who secured loans at sub-4% cap rates may encounter debt service payments that are 75% to 100% higher. This increase, combined with a reset in property values, complicates refinancing efforts for many owners. The resolution of these maturing loans will significantly impact market dynamics in 2025, potentially triggering a domino effect that could alter competition and tenant retention across properties.
4. Expect Higher Cap Rates as Investors Price in Geopolitical Risks and Market Volatility – Ongoing geopolitical turmoil, from conflicts in Ukraine and Gaza to supply chain disruptions, is reshaping the real estate landscape. This instability drives inflation, affects labor and housing affordability, and complicates monetary policy, all of which impact real estate pricing and risk-adjusted returns. Expect higher cap rates as investors price in greater risk. The current environment of “higher-for-longer” interest rates means returns must expand beyond the Treasury rate. In this type of disrupted market, it’s key for investors to tailor strategies to specific market conditions, as they can no longer rely on historical cycles.
5. Insurance Costs Soar as Natural Disasters Cause Hundreds of Billions in Losses– Towering insurance premiums, driven by inflation, increased property values and extreme weather, are hitting real estate owners hard. In 2023, natural disasters caused $380 billion in losses, with only 31% covered by insurance. Residential, hospitality, and senior living properties are particularly impacted, with rising claims and “runaway juries” inflating awards. Government legislation, like California’s habitability lawsuits, adds further pressure. The old model of buying insurance is fading as owners focus on risk management, rightsizing coverage, and exploring alternative risk transfer solutions to control escalating expenses.
6. The Dream of Affordable Housing Slips Further Out of Reach – Housing affordability continues to worsen due to rising costs and a shortage of 4.4 million units. Multifamily rent growth has slowed, but rents have climbed 45% over the past 15 years. Despite increased construction, development is uneven, concentrated in major metros, and insufficient to meet demand. Nearly 54% of renters are now cost-burdened, spending over 30% of their income on housing. Declining multifamily construction and growing demand from younger renters suggest affordability challenges will intensify in 2025. Solutions require both building new housing and preserving existing affordable units, with private sector involvement crucial.
7. Artificial Intelligence (AI) Impact Hinges on Data Accessibility and Accuracy – AI’s role in real estate is rapidly evolving, with focus shifting to the accuracy, granularity, and timeliness of data inputs that drive algorithms. While AI can optimize certain processes, commercial real estate still faces challenges with fragmented data and location-specific nuances. As AI algorithms demand significant computing power, data centers are booming, but advancements in algorithm efficiency could change their appeal as investment opportunities.
8. Extreme Weather Events Propel Need for Resilience and Regulation – Increased frequency of hurricanes, wildfires, and floods have caused billions in property damages. In Europe, new regulations like the EU’s Corporate Sustainability Reporting Directive and the U.K.’s Minimum Energy Efficiency Standards are setting strict sustainability rules, while U.S. regulations remain fragmented. As extreme weather and investor demands grow, the business case for resilient properties is stronger than ever, driving a need for investment in green technologies and AI.
9. Office Vacancies Will Drive Adaptive Reuse in Urban Cores – A generational shift is happening in cities, as how people use offices stabilizes into a new paradigm—leaving many office buildings poised for adaptive re-use into residential, healthcare and educational uses with the potential to revitalize urban cores. U.S. office vacancy rates are expected to peak at 19.7% by the end of 2024, leading to lower occupancy rates and declining property values, particularly in cities like New York and San Francisco. This structural shift impacts tax bases, city finances, and the broader real estate ecosystem; however, while converting offices is a potential solution, it’s costly and complex.
10. Buyer-Seller Price Gap Narrows – Some good news amongst uncertainty: the divide between buyers and sellers on asset prices persists but is no longer widening. Pricing declines, especially in sectors like core business district (CBD) office, are slowing, providing hope for stabilization. Industrial real estate has been less affected, showing an 8.6% annual price increase. As interest rates stabilize, the worst of the pricing shock appears to be over. However, loan maturities could force sellers to adjust expectations, pushing more deals as refinancing pressures build. More declines in interest rates or stronger rent growth would also help further bridge the gap.

The full 2025 Top Ten Issues Affecting Real Estate report can be viewed online.