This week MSNBC correspondents Jacob Rascone and Hallie Jackson traveled to Reno, Nevada to learn about how Reno is diversifying the economy to help the city rebound from a deep recession. Capstak’s CEO, Heather Goldman, was invited to discuss Reno’s burgeoning “tech scene” saying, “"We didn't leave New York, we found Reno. It's a very special place. It is easy to get lost in the weeds in Palo Alto and we were able to hire a world-class development team and marketing team."
When talking about the decline of brick and mortar retail, Amazon is often brought up as a culprit. Yesterday, Amazon CEO, Jeff Bezos, made an announcement that deepens the existing wounds in the grocery industry. Bezos tool this time? Lowering the prices at his newly acquired brick and mortar chain, Whole Foods. This news caused a quick drop in other grocery chain’s stock prices. According to Business Insider, “Kroger dropped as much as 8.3%, while Sprouts Farmers Market slipped 6.6% and Target lost 4.2%. Walmart, which sells the most groceries in the US, fell more than 2%.”
With banks tightening their lending standards, it’s only natural that someone else in the market would step in and take their place. Boston is in the process of seeing that land grab. The city saw five pension and insurance providers originate about $1 billion in commercial real estate loans in the first two quarters. Is this trend going to spread across the nation? Or, is Boston just the right place at the right time for these non-traditional lenders?
The suburban office park is often bemoaned as visually unappealing and unconducive to the “millennial” lifestyle. But, according to a recent study by JLL, you should sleep on the suburban office market. The study found that half of suburban markets have higher rents than their nearest downtowns, and if your office park has urban characteristics like access to transportation and high density the property will perform even better. Tech companies, like Apple and Google, seem to be doubling down on this idea, pumping millions and even billions into their suburban Bay Area campuses rather than moving to San Francisco’s urban core.
Last week, we wrote about the White House’s new Infrastructure Council made up of primarily real estate developers. And, in less than one week the plan for the council has been scrapped. The news follows on the disbanding of two other councils. The latest executive order, calling for shortening the federal permitting and approvals process for infrastructure development, still stands, but it doesn’t provide further detail on Trump’s intended $1 trillion in proposed government infrastructure spending. Based on current reports, it looks like legislators will hold off on addressing infrastructure until closer to the 2018 midterm elections.