Category: News & Market Reports

Pack it up! Chicagoland Claims Top Rankings for Most Affordable Suburbs

Posted on by Sarah

Suburbia has always been appealing, but the migration away from city living is maintaining momentum for a variety of reasons.

Many who made the choice to move away from city living at the onset of COVID-19 have come to prefer the relaxed atmosphere and lower-density neighborhoods to the hustle and bustle of a hub like Chicago.

But these luxuries come at a price. One might think suburban living is cost-conscious, but in some areas, it was found to be just the opposite — especially if you’re looking to settle in a suburb with premium housing, safe neighborhoods and a variety of shopping and dining options.

To find the most affordable premier spots, StorageCafe ranked suburbs nationwide. And Chicago’s suburbs? They stole the spotlight.

The Midwest is home to some of the most neighborly communities in the U.S., and its cost of living is friendlier than many locations, according to the report. Crystal Lake among the most affordable places, and rents for storage units make relocating even more appealing at around $100/month. This is much lower than in Chicago.

Algonquin, Elk Grove Village, Bloomingdale, Vernon Hills and Buffalo Grove are a few more Illinois names that made the list. Residents find these cities especially attractive because of the many outdoor recreation opportunities that aren’t as easily accessible in Chicago.

Wisconsin and Minnesota also have a few cities on the list, including of Pewaukee and Brookfield for Milwaukee and Rogers for Minneapolis.

Aside from the Midwest, the South is another sought-after region due to its affordability compared to places like California and New York. Homes in Dallas’ Southlake are nearly one-third of the price of those of comparable size in LA’s Laguna Beach — $1.1 million to $3 million.

Illinois and Texas, though, are no longer a best-kept secret and are in high demand because of their relative affordability and strong employment sectors, according to StorageCafe. California to Texas, for example, is one of the busiest relocation routes in the U.S., and 190 Californians are trading their Louis for Lucchese per day.

The preference of suburbs to cities is strong nationwide. According to StorageCafe, Pew Research Center found that Americans who prefer suburban living saw an increase from 42% to 46% over the last three years.

Because of the continued influx, the now-attractive prices might not stay attractive for long.

Henderson Avenue Cool-street Retail Center in Dallas Trades

Posted on by Sarah

JLL Capital Markets announced today it represented a CIM Group-fund and Open Realty Advisors in the sale of the partnership’s 15 standalone and strip retail buildings totaling 123,960 square feet along the dynamic and pedestrian-friendly Henderson Avenue in Dallas, Texas.

Acadia Realty Trust acquired the asset in its entry into the Dallas-Fort Worth market.

Property tenants include Sprouts Farmers Market and an eclectic mix of service-oriented and locally inspired retailers, restaurants and night life such as Warby Parker, The Skellig, Tecovas, Bonobos, and CorePower Yoga brought to the area by CIM Group and Open Realty Advisors. The portfolio also includes several parcels for future development opportunities.

The portfolio spans over a mile within Dallas’s urban core and within the Henderson Avenue district, which has evolved over the last 20 years into one of Dallas’ premier mixed-use neighborhoods. The trendy district is surrounded by desirable, affluent residential communities and near Southern Methodist University’s more than 12,000 students.

The JLL Retail Capital Markets team representing the seller was led by Senior Managing Directors Ryan Shore, Chris Gerard and Co-Head of JLL Retail Capital Markets Barry Brown, Associate Erin Lazarus and Analyst Beth Copeland. The same team along with Senior Managing Director Todd Savage completed the sale of Knox Park Village on behalf of the seller earlier this year.

According to JLL’s Retail Capital Markets team in Dallas, “Henderson Avenue has emerged as Dallas’ ‘cool-street’ retail destination, where young, millennial residents are drawn to the mix of digitally native brands and trendy local restaurants that the ownership team brought to this east Dallas neighborhood.”

JLL Valuation Advisory Hires Managing Director to Lead its Institutional Sector

Posted on by Sarah

JLL Valuation Advisory announced today that it has hired managing director Tasha Gould, MAI, to lead its institutional sector for its U.S. valuation advisory services and is focusing on providing technology-driven solutions to best serve institutional clients.

Gould is responsible for managing and expanding institutional client relationships and partnering with sector and market leads to provide superior client outcomes. She now plays a critical role designing and executing a sector growth strategy, building relationships and managing delivery quality. She also plans on recruiting and mentoring team leads and collaborating with technology and operations to improve JLL Valuation Advisory’s platform and drive culture.

Gould has amassed 19 years of experience in institutional valuations, financial analysis and planning, audit and compliance, strategic partnerships, project management, client relationship building and more. She previously served as director of valuations for Invesco Real Estate, where she led a team of 12 valuation managers and analysts while overseeing valuations for Invesco’s direct real estate. Prior to that, she was the senior appraiser for Principal Real Estate Investors managing the valuation process for their North American portfolio that included office, retail, industrial and multi-housing assets. She is based in Dallas, Texas.

Starved for Space: Demand for Industrial Still Far Outpacing Supply

Posted on by Sarah

Not even the disruptions of the COVID-19 pandemic, Russia’s attack on Ukraine and rising inflation have stalled the still red-hot industrial market, according to the first quarter national industrial report released recently by Newmark.

The United States saw 103.5 million square feet of industrial absorption during the first quarter of the year. According to Newmark, this marks the fourth consecutive quarter that the country’s industrial market has reached more than 100 million square feet of absorption.

That 103.5 million square feet was actually a decline of 33% from the all-time quarterly absorption amount registered in the third quarter of 2021. But Newmark says that this amount of absorption is still about double the pre-pandemic quarterly average of 2019.

At the same time, the U.S. industrial market’s vacancy rate fell to a record 4%, while asking rents jumped 12.8% on a year-over-year basis to $9.26 a square foot.

This isn’t surprising: As Newmark says in its report, the national industrial market is starved for space, with many major markets having little to no immediate occupancy opportunities for tenants. Competition for this space has driven industrial rents well past the nation’s high inflation rate.

Developers aren’t shy about building new industrial spaces, either. Newmark reported that the national industrial construction pipeline measured 546.1 million square feet as of the end of the first quarter. Developers also delivered 81.1 million square feet of industrial space during the quarter.

Newmark highlighted several big industrial transactions during the quarter, including two in the Midwest.

In Columbus, Ohio, Related Companies purchased the 2.07-million-square-foot Eddie Bauer/PacSun Distribution Center for $90.5 million, a price of $44 a square foot. And in Milwaukee, Phoenix Investors purchased the 1.5-million-square-foot Briggs & Stratton manufacturing facility for $24 million.

Newmark also pointed to several Midwest markets as having especially low industrial vacancy rates as of the end of the first quarter. This includes Chicago, with a vacancy rate of 4.4%; Cincinnati, 3.7%; Cleveland, 4.4%; Columbus, 2.4%; Detroit, 4.3%; Indianapolis, 3.6%; Milwaukee, 2.8%; Minneapolis, 3.6%; Nashville, 4.4%; and St. Louis, 3.5%.

Cushman & Wakefield Arranges Sale of Windwater at Windmill Lakes

Posted on by Sarah

Cushman & Wakefield has arranged the sale of Windwater at Windmill Lakes, a 150-unit multifamily community located in the Hobby submarket of Houston, Texas.

Cushman & Wakefield’s John Carr and Ben Fuller represented the seller, Southern Breeze LLC (an organization led by Ronald and Sylvia Reine), in the transaction. The Equity, Debt & Structured Finance team at Cushman & Wakefield also arranged financing on behalf of the buyer, The Bascom Group.

“As a well-maintained property with 100% classic units and an excellent performance trend, Windwater at Windmill Lakes provides the buyer with a strong value-add opportunity on a Houston asset,” said Carr, Senior Director at Cushman & Wakefield.

Windwater at Windmill Lakes was built in 1999 and offers community amenities such as a tropical pool with beachfront entry, pool waterfall, covered parking and garages, large private patios/balconies, and a fitness center.

1,080-Acre Community to be Developed at FM 1774, Hwy. 105 in Plantersville

Posted on by Sarah

A 1,080-acre residential community with commercial space is in the works for the intersection of Hwy. 105 and FM 1774 in Plantersville, according to a May 2 release from NewQuest Properties, a commercial real estate firm. NewQuest Properties brokered a partnership agreement between landowner Butler Holdings Ltd. and High Meadow Development Co., which has developed High Meadow Estates in Montgomery.

The new residential community has been dubbed “The Cedars,” according to the release—a nod to its historic roots. According to the release, the tract has historically been known as The Cedars locally and was settled in the 1830s by farmers and ranchers from Arkansas and Alabama.

“This transaction provides the depth to provide single-family homes in an area destined for growth and eventually higher-end commercial development in an emerging corridor,” NewQuest Properties Vice President Joe Burke said in the release. “This is a shared vision between the Butler family, who has owned the land for more than 50 years, and the developer. Click to read more at www.communityimpact.com.