Jones Lang LaSalle
Paying for Palms
It's pricey to rent both an office and an apartment in West Palm Beach.
A study of 61 major markets by San Francisco-based real-estate services firm Global Real Analytics shows office-building prices in that south Florida market skyrocketed nearly 35% last year -- the biggest increase in the country. West Palm Beach also led the survey in apartment price appreciation, with a 32% increase. Behind the gains is one of the nation's hottest job markets.
West Palm Beach and Oakland, Calif., are projected to be the best office markets in the country in terms of occupancy gains and rent growth over the next two years, says Maria Sicola, research director for Cushman & Wakefield, the New York-based commercial real-estate services firm.
For contrarian investors not looking to buy on the upswing, Detroit offers cheap office buildings. Capitalization rates -- the return on investment in the first year -- for buildings in the Motor City are the second highest in the country at 9.5%. Detroit also was the only office market in the U.S. where prices fell last year, by 2.2%. But with U.S. auto makers on the skids, white-collar job prospects aren't good, and Cushman & Wakefield projects Detroit will lag behind most U.S. markets over the next two years.
Battle Experience
National real-estate brokerage firm Grubb & Ellis is trying to expand its presence in the fierce world of New York City real estate by hiring a veteran of the tumult of post-9/11 lower Manhattan.
David Arena, who starts as president of Grubb & Ellis's New York region today, ran Morgan Stanley's real-estate group when it searched for a new home for the brokerage firm's 3,500 workers following the loss of its offices in the terrorist attack. After employees were relocated to Westchester County, New York; midtown Manhattan and New Jersey, in 2002 he joined real-estate advisory firm Jones Lang LaSalle Inc., where he helped Morgan Stanley eventually move some of its workers back to lower Manhattan. More recently Mr. Arena has helped to advise the Port Authority of New York and New Jersey in its contentious negotiations with developer Larry Silverstein over plans to redevelop the World Trade Center site.
Northbrook, Ill.-based Grubb & Ellis hopes Mr. Arena will help expand the firm's leasing and brokerage business.
He says the past five years have prepared him for his new job. "You have to be able to move quickly, opportunistically, think ahead and manage risk," says Mr. Arena. "Those are the kinds of experiences that I took away from 9/11 and working downtown."
Paying for Palms
It's pricey to rent both an office and an apartment in West Palm Beach.
A study of 61 major markets by San Francisco-based real-estate services firm Global Real Analytics shows office-building prices in that south Florida market skyrocketed nearly 35% last year -- the biggest increase in the country. West Palm Beach also led the survey in apartment price appreciation, with a 32% increase. Behind the gains is one of the nation's hottest job markets.
West Palm Beach and Oakland, Calif., are projected to be the best office markets in the country in terms of occupancy gains and rent growth over the next two years, says Maria Sicola, research director for Cushman & Wakefield, the New York-based commercial real-estate services firm.
For contrarian investors not looking to buy on the upswing, Detroit offers cheap office buildings. Capitalization rates -- the return on investment in the first year -- for buildings in the Motor City are the second highest in the country at 9.5%. Detroit also was the only office market in the U.S. where prices fell last year, by 2.2%. But with U.S. auto makers on the skids, white-collar job prospects aren't good, and Cushman & Wakefield projects Detroit will lag behind most U.S. markets over the next two years.
Battle Experience
National real-estate brokerage firm Grubb & Ellis is trying to expand its presence in the fierce world of New York City real estate by hiring a veteran of the tumult of post-9/11 lower Manhattan.
David Arena, who starts as president of Grubb & Ellis's New York region today, ran Morgan Stanley's real-estate group when it searched for a new home for the brokerage firm's 3,500 workers following the loss of its offices in the terrorist attack. After employees were relocated to Westchester County, New York; midtown Manhattan and New Jersey, in 2002 he joined real-estate advisory firm Jones Lang LaSalle Inc., where he helped Morgan Stanley eventually move some of its workers back to lower Manhattan. More recently Mr. Arena has helped to advise the Port Authority of New York and New Jersey in its contentious negotiations with developer Larry Silverstein over plans to redevelop the World Trade Center site.
Northbrook, Ill.-based Grubb & Ellis hopes Mr. Arena will help expand the firm's leasing and brokerage business.
He says the past five years have prepared him for his new job. "You have to be able to move quickly, opportunistically, think ahead and manage risk," says Mr. Arena. "Those are the kinds of experiences that I took away from 9/11 and working downtown."
posted by Jones Lang LaSalle NJ News Blog at 9:13 AM
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