In case you missed it: Aug. 31
Aug 31, 2012
As you gear up for the holiday weekend, take some time to catch up on stories from the past week before you hit the beach. Below is some of the news we’ve been following lately:
CNBC: “As Housing Recovers, Will Apartment Boom End?”
CNBC reporter Diana Olick comments on the latest reports of existing home sales and discusses the effect that housing recovery will have on the recently booming apartment sector. Rents are high in a majority of the large U.S. markets, and vacancies are declining. My son, who lives in the Bay Area, found it more financially advantageous to buy a four-bedroom house rather than renew his lease in a two-bedroom condo. The economics appear to be out of balance and something must give. Either home prices will rise or apartment rents decline. According to the U.S. Commerce Department, multifamily housing starts rose 30 percent in July from a year ago. Olick identifies a cultural shift toward apartment living and predicts that apartment demand will continue to increase. Hop over to CNBC for the full scoop.
USA Today: “New Home sales up 3.6% in July, match two-year high”
USA Today reported on a story by the Associated Press regarding new home sales figures released by the Commerce Department. According to the report, new home sales in the U.S. increased 3.6 percent in July, resulting in a two-year high in May. The figures revealed that new home sales have improved 35 percent in the past year, reaching a seasonally adjusted annual rate of 372,000.
Shopping Centers Today: “Planned U.S. store openings up 11 percent in July: Report”
In July, the number of planned store openings for U.S. retailers hit a four year high, according to RBC Capital Markets. The 2,000 chains that RBC tracks each month plan to open 78,325 stores over the next two years, a 0.6 percent increase from June. Analyst Rich Moore anticipates further increases in 2013, barring any unforeseen economic speed bumps. This is a positive step in filling the myriad of vacancies created by the Great Recession. It is also an indication that retailers believe the worst is over and better times are coming! Jump over to the article to read more.
National Association of Realtors: “Commercial Real Estate Recovering at a Slower Pace”
The National Association of Realtors (NAR) issued a press release on its quarterly commercial real estate forecast, which predicted job creation could slow and securing a commercial real estate loan will remain difficult. Yet there are positive signs as well, such as increased demand for apartments, and industrial and warehouse space benefiting from import and export advancements. This is another indication that the economy is improving. Click through to read the complete overview of the various markets.
Author: Raymond T. Cirz
