Category: News & Market Reports

Mature & Diverse: Predictions for the Dallas Office Market in 2022

Posted on by Sarah

The Dallas office market isn’t just showing renewed signs of life in a post-COVID world, it’s blossoming.

“Leasing activity is picking up from the lull in 2020 and is almost 90 percent of the way back to pre-COVID levels, and more than 40 leases larger than 50,000 square feet have been signed since March 2020,” shares Kari Beets, Senior Research Manager at JLL. “Sublease space increased in Q3 2020, but has remained fairly stable since.”

She says development is picking up as well, with several spec projects scheduled to break ground with little or no pre-leasing. Though vacancy for Dallas overall is 4.1 percent higher than in Q1 2020, vacancy in Class A product built after 2010 is only up 1.6 percent.

“The ‘flight to quality’ is a trend that has been ongoing for the past few years and continues to have a large impact on the Dallas office market,” Beets says. “New Class AA space has seen significant activity and absorption, while older product stays stagnant.”

Josh White, Executive Vice President with CBRE’s Advisory and Transaction Services group in Dallas, adds that the companies that are confident in committing to an office lease are doing so because they believe that culture is the life force of their business and that a vibrant, amenity-rich office solution is a key component to building and maintaining a strong culture. Click to read more at www.rednews.com.

These 3 REITs Are Poised for Major Growth in 2022

Posted on by Sarah

Key Points
Mid-America Apartment Communities is the premier apartment operator in the Sun Belt.

Switch is preparing to become one of the newest data center REITs.
Plymouth Industrial REIT gives investors exposure to growing industrial demand.

Motley Fool Issues Rare “All In” Buy Alert

Real estate investment trusts (REITs) are often sought after for their reliable, attractive dividend returns, but REITs can also make great growth stocks.

Right now, most real estate industries are booming across the country, which has helped REITs grow to massive heights. Over the past year, REITs achieved a near 40% return year to date, outperforming the S&P 500 by over 10%.

There is some concern about the real estate market cooling in 2022, but regardless of where it goes, Mid-America Apartment Communities (NYSE:MAA), Switch (NYSE:SWCH), and Plymouth Industrial REIT (NYSE:PLYM) are all in a solid position for serious growth. Here’s a closer look at each company and why these REIT stocks are worthwhile buys for long-term investors. Click to read more at www.fool.com.

Navigating DFW’s Tight Construction Labor Market

Posted on by Sarah

Nationally, the construction industry has recovered more quickly than other industries, with employment nearing pre-pandemic levels and increasing new construction starts. But the continuing labor shortage is hamstringing the construction industry’s growth, requiring general contractors to be shrewd and proactive to successfully navigate today’s tight job market.

Construction-related businesses need to hire 740,000 new workers annually for the next three years to keep up with demand, according to several industry organizations. The number of open construction sector jobs currently averages between 300,000 and 400,000 each month.

The construction labor shortage will undoubtedly impact every organization that wants to build a new facility or improve an existing one. With that in mind, executives planning construction projects over the next three years should carefully vet their general contractor to make sure it has the necessary partners and relationships to staff their jobs.

Nearly five million people have quit their jobs over the past 18 months. This phenomenon, dubbed “The Great Resignation,” has left millions of jobs vacant across the nation. Click to read more at www.prnewswire.com.

Navigating DFW’s Tight Construction Labor Market

Posted on by Sarah

Nationally, the construction industry has recovered more quickly than other industries, with employment nearing pre-pandemic levels and increasing new construction starts. But the continuing labor shortage is hamstringing the construction industry’s growth, requiring general contractors to be shrewd and proactive to successfully navigate today’s tight job market.

Construction-related businesses need to hire 740,000 new workers annually for the next three years to keep up with demand, according to several industry organizations. The number of open construction sector jobs currently averages between 300,000 and 400,000 each month.

The construction labor shortage will undoubtedly impact every organization that wants to build a new facility or improve an existing one. With that in mind, executives planning construction projects over the next three years should carefully vet their general contractor to make sure it has the necessary partners and relationships to staff their jobs.

Nearly five million people have quit their jobs over the past 18 months. This phenomenon, dubbed “The Great Resignation,” has left millions of jobs vacant across the nation. Click to read more at www.dmagazine.com.

Samsung’s Property Tax Break in Taylor, TX Chip Plant

Posted on by Sarah

Why would Samsung choose Taylor, Texas as its location? There are two important factors to consider: Not only will the business receive a significant property tax break, but the deal is sure to create an abundance of lucrative jobs in Travis and Williamson County. Given the massive shortage of computer chips recently, it is good news that a new plant is being built. Hopefully, the $17 billion facility will help alleviate some of the community’s concerns.

The Details of the Property Tax Decision & Performance-Based Agreements in Williamson County

Recently, commissioners in Williamson County held a meeting with Samsung to reach an agreement surrounding tax breaks and incentives. Ad valorem taxes will be decided using a performance-based agreement in accordance with a newly approved Chapter 381 regulation. Samsung will pay 90 percent of ad valorem taxes during the initial decade of the agreement. Then, the county will grant 85 percent of ad valorem taxes paid by Samsung the following decade.

So, what exactly are the performance incentives that Samsung has to meet? The tax breaks are contingent upon Samsung constructing at least six million square feet in facilities by the end of January 2026. This must be followed by the creation of 1,800 full-time jobs. In exchange, Williamson County agreed to improve targeted roads around the facility to make life easier for the technology giant.

Other Tax Breaks Coming from Taylor ISD

Although Samsung will receive a large number of tax breaks from Williamson County, there is also an incentive deal with Taylor ISD. While the specifics of the agreement are still pending it appears that Samsung will receive more than $300 million in tax breaks during the next ten years. In exchange for the massive tax breaks, the community is getting a lot of lucrative jobs that are sorely needed. Click to read more at www.keatax.com.

2021 Year in Review – Reflecting and Projecting What’s Ahead For Retailers in 2022

Posted on by Sarah

In reflecting on my 2021 retail musings, I discovered a full two-thirds of the nearly three-dozen articles touched on five main topics – Sustainability and Conscious Consumerism, Big Box Specialty Stores, Big Discounters’ Dominance, Direct-to-Consumer Brands (DTC), and Mall Fall and Overhaul. A brief recap may provide a guide for what will be on our radar in 2022.

Sustainability and Conscious Consumerism

It is undeniable that the stigma once associated with buying secondhand has more than evaporated, it is becoming a net positive driven by millennials and Gen Z consumers. Even the much-discussed supply chain woes played to the reseller’s advantage this past year with its inherent “closed-loop” sourcing.

In October I suggested that companies like Poshmark and ThredUp were going to reap big holiday benefits. I noted that GlobalData predicted that retail resale would grow eleven times faster than the broader fashion retail sector through 2025, to an estimated value of $77 billion. It is expected to eclipse fast fashion by 2028. Click to read more at www.forbes.com.