Success in the commercial real estate world has always been about the ability to evolve. Investors are constantly looking for what’s “next,” while developers keep an eye on what the market is asking for. Retailers need to know the trends that their customers will want. And economic development organizations must be able to pivot when their community indicates a change is needed. In so many ways, the COVID-19 pandemic has tested the evolutional capacity of EDCs throughout Texas and a number of them are passing with flying colors, helping the investors, developers and companies that call their towns home weather an incredibly challenging time. At the Greater Houston Partnership (GHP), the team shifted to a strategy of remote working, online meetings and virtual events in March, according to Craig Rhodes, senior director of regional economic development. “The traditional trade shows, conferences and outbound recruitment missions have been replaced with virtual industry roadshows, site consultant outreach and targeted business outreach activities,” he said. An example of that: GHP hosted a virtual business recruitment mission with Houston Mayor Sylvester Turner in October 2020 to connect with companies in Silicon Valley. The event followed up a successful delegation trip in 2019 meeting with California tech companies about the opportunities for growth in Houston. Click to read more at www.rednews.com.

HOUSTON, Dec. 15, 2020 /PRNewswire/ — RedSwan CRE, the leading commercial real estate (CRE) tokenization platform, today announced their first tranche of Class A & B properties, $300M of a total of $2.5B (USD), are now being offered to major investors. Investments can be made through the company’s platform powered by advanced blockchain technology, allowing for a more secure investment in CRE. This is the first public offering of security token offerings (STOs) at this scale. “No other blockchain-based CRE company has created this much product of high-quality properties to the blockchain as digital securities,” said RedSwan CRE chief executive officer, Ed Nwokedi. “Adoption happens faster when the options for CRE investments are larger. By adding 25-50 properties in various locations and yields, the opportunities for investors to participate significantly increases.” Historically, smaller investors weren’t permitted or invited to participate in major $20M+ projects because the price of entry was too high, making it a challenge to access higher-quality investments. By Investing with RedSwan CRE’s platform, customers can invest alongside major institutional companies with similar or exact search terms. With the first tranche now available, investors will have freedom of liquidity. By using blockchain, the crowdfunding impact will allow investors to reduce the initial investment cost, allowing them to diversify their capital into multiple projects instead of one, without the historical requirement of holding them for 3-10 years before exiting. Based on SEC regulations of Reg D investors, only accredited investors can participate in RedSwan CRE’s STOs. Click to read more at www.prnewswire.com.

“Well, where are you going?” I asked my husband a couple of weeks ago as he rounded the corner in a suit. My visceral reaction got me thinking about how the pandemic has changed how we think about what we wear to work—not just where we work. As a designer, I understand the importance of aligning an organization’s culture, values, and policies with the aesthetic of the space. Lawyers, developers, and bankers in their formal business attire look appropriate in their wood and stone workplaces. Tech firms with concrete flooring and coffee bars are a better fit for the t-shirts and sneakers vibe. It makes sense. But now, whether you have been going to your office or not, I can safely say—we aren’t dressing the same. We aren’t dressing up. In a predominately virtual world, we are dressing for ourselves. We talk about the pandemic being an accelerator of remote work and collaborative technology. It may also accelerate heels and ties right out of our work attire forever. The evolution of the suit and business attire, like all fashion, has followed a trend pattern that mirrors major economic and cultural shifts in our country—a reflection of our values, lifestyles, and sentiment. For example, in the 1920s, embellishment dominated preferences as tie pins gained popularity and shirts became more colorful. Click to read more at www.dmagazine.com.

By Lydia Bennett, CCIM, Soozi Jones Walker, CCIM, SIOR | Fall 2020

By definition, a market disruption is a situation where a market stops functioning regularly, which usually results in a steep, significant decline. The global COVID-19 pandemic that will define 2020 is a disruption like none other. For commercial real estate professionals, one significant concern is the fundamental relationship between tenants and landlords. As economic instability reverberates across all sectors and in every geographic area, leases will be under strain. Every morning, you can see headlines that reflect a changing industry. E-commerce has been a bright spot in the national response to COVID-19, with major repercussions for real estate. Landlords across sectors are faced with difficult questions resulting from tenants under stress. Is forbearance a way to keep tenants in properties? Are rent deferrals a short-term solution to disruptions in retail, multifamily, hospitality, and other sectors? Pinterest offers one huge example of how quickly things can change in the office market. Back in March, literally hours before the coronavirus led to massive shutdowns across the U.S., the online giant signed a deal for 490,000 sf of office space in San Francisco, adding up to $440 million in total payments over the life of the lease. Flash forward to August, Pinterest decided to pay the landlord $89.5 million to cancel the contract. In this case, the tenant calculated the discounted value of the office space and decided to negotiate with the landlord/owner to reach an agreeable settlement – one that totaled 20 percent of the $440 million in payments.

WASHINGTON, D.C. (December 10, 2020) – Commercial and multifamily mortgage performance remains mixed, revealing the various impacts the COVID-19 pandemic has had on different types of commercial real estate, according to two reports released today by the Mortgage Bankers Association (MBA). The summary of findings come from MBA’s November Commercial Real Estate Finance (CREF) Loan Performance Survey and the latest quarterly Commercial/Multifamily Delinquency Report for the third quarter of 2020. The CREF Loan Performance Survey was developed to better understand the ways the pandemic is impacting commercial mortgage loan performance. MBA’s regular quarterly analysis of commercial/multifamily delinquency rates is based on third-party numbers covering each of the major capital sources. “Commercial and multifamily mortgage delinquency rates remain mixed, varying dramatically by property type, and therefore by capital source,” said Jamie Woodwell, MBA’s Vice President of Commercial Real Estate Research. “Much of the stress in the market is driven by loans, predominantly for lodging and retail properties, that became delinquent in April and May and have now transitioned to later-stage delinquencies. November did see small increases in newly delinquent retail, lodging and office loans, but at levels far below what was seen at the outset of the pandemic.” Added Woodwell, “Different capital sources calculate delinquency rates in different ways, and those differences can cloud comparisons. Looking to 2021, widespread vaccinations should help the economy and commercial real estate – especially the hard-hit retail and leisure and hospitality sectors – start to recover at a faster pace by mid-summer. Between now and then, much will depend on how long the current surge lasts, and the degree to which it holds back economic activity.” Click to read more at www.mba.org.