Sound Bites From Commercial Real Estate Conference

Winter 2016/2017 Issue

Sound Bites From NAIOP’s Commercial Real Estate Conference 2016, Sept. 25-28, in Scottsdale, Arizona:

“The lobby is not just a place people pass through. It’s a place to stop and work, to socialize, so [the] tech[nology] has to support that.” Jay Todisco, executive vice president, Ware Malcomb

“In five to 10 years, ... cobots [collaborative robots] and self-driving cars and buses will change the way site selection is viewed. In 10 years, labor will not be a deciding factor.” Geoffrey Kasselman, executive managing director and national industrial practice leader, Newmark Grubb Knight Frank

“The stuff that kills e-commerce is returns. In the case of fresh [deliveries], it’s a disaster if you get the delivery wrong because it doesn’t make sense to have the customer return it.” Kim Snyder, president, Southwest region, Prologis, Inc.

“While we love talking about big boxes, [the] industrial [market] is a 15,000-square-foot to 50,000-square-foot user market across the U.S.” Steven McCraney, SIOR, president and CEO, McCraney Property Company

“Boomers want to live close to a university, want to go to football games and want to have pets and friends. Senior living is quickly evolving from a place to an experience; they all just want a sense of community. That’s what we all want.” Paul Mullin, senior vice president, development, Silverado Senior Living

“When a property in [a secondary or tertiary] market goes bad it has much more impact and can mean more than a 50 percent loss of value, simply because there is less opportunity to recover.” Tom Fink, senior vice president and managing director, Trepp LLC

“The best second-tier cities for office are those in the Sunbelt. They enjoy a low tax environment, good infrastructure and rapid population growth. And that should continue for at least another 10 years.” Jason Bates, executive vice president and chief investment officer, Parkway Properties

“As a long-term building owner, it just makes sense to have high clear heights, even if tenants don’t ask for it.” Bill Petsas, senior vice president, Western U.S., EastGroup Properties

“The information arbitrage advantages that exist today are likely to disappear with increased data transparency. In the future, there may be no more secrets in commercial real estate.” James Eckenrode, executive director, Deloitte Center for Financial Services

“In terms of investor demand [for industrial product], it is mostly insatiable. It cannot be met.” Al Pontius, senior vice president and national director, specialty divisions, Marcus & Millichap

“I believe wholeheartedly that warehouse is the new retail.” Steven McCraney, SIOR, president and CEO, McCraney Property Company

“If U.S. manufacturing were its own country, it would have the ninth largest GDP on the planet.” Jason Tolliver, J.D., head of industrial research, Americas, Cushman & Wakefield

“Infill industrial projects are developments that are situated in built up [areas with] established, mature infrastructure [that are] constrained by geographical or political challenges whereby new supply cannot be added in a reasonable time frame to meet increases in demand.” Marty Busekrus, director, HFF