Atlanta’s tech firms are moving in, and Macy’s ponders its future
Aug 28, 2015
Here are the news stories you might have missed this week:
The Wall Street Journal: Marijuana producers gobble up warehouse space in Denver area
Business owners in the Denver area have a problem, and that’s a lack of industrial space. The reason is the now-legal marijuana business which is scooping up warehouses. This crunch means small businesses can’t find the space they need, and because the city is a major cog in the industrial supply chain, that’s creating problems for logistics and transportation providers. But, this is good news for warehouse owners: rents rose last year, and it’s now more expensive to buy warehouse space. Read the whole story at WSJ.com.
Atlanta Business Chronicle: Why Atlanta’s tech startups are abandoning the ‘burbs for the gritty inner city
It’s a story we’re familiar with: Firms are leaving the suburbs and moving into cities. In Atlanta’s case, rents just short of $30 per square foot in Midtown are resulting in companies relocating to other, “grittier” neighborhoods. In areas like West Midtown and Fairlie-Poplar, once run-down warehouses are being converted to cool offices, condos, and restaurants. Lower rents and prices are matched with added amenities like access to parking, and the close proximity to vibrant art scenes and higher learning opportunities have made these areas very attractive spots for new businesses. Visit BizJournals.com to read more about the move into Atlanta.
National Real Estate Investor: Investors charmed by LA’s rosy economics and hot multifamily market
There’s plenty of action in Los Angeles, but not on the movie set. Rather, investors are funneling money into new multifamily developments, as rents and demand are rising together. With more than 10,000 rental units coming online this year and another 5,000 set for next year, the market is primed for robust growth and strong returns over the next few years. The multifamily market is strong thanks in part to local job growth, caused by new tech firms and companies that focus on sustainability that are calling LA home. Go to NREIOnline.com to learn more about LA’s multifamily market.
New York Business Journal: Macy’s weighs value of NYC real estate, including flagship
Macy’s is synonymous with midtown Manhattan, and its flagship store is a destination. That’s one reason why some investors are pushing for Macy’s to spin off its real estate holdings nationwide, including its popular 34th Street store, into a separate company. If it did, Macy’s would join other national firms that are moving their holdings into a REIT, especially in a time when the commercial real estate market is hot. Despite the potential of Macy’s real estate, which is valued at $21 billion overall, executives from the retail giant are coy on making a decision regarding this move. To learn more, go to BizJournals.com.