Medical office buildings get a clean bill of health, and why now is the time for Portland retrofits
Oct 9, 2015
Here are the news stories you might have missed this week:
Curbed: The new class of skyscrapers that will forever change the Chicago skyline
The future is looking bright for Chicago – just look up (well, soon). A number of supertalls have been proposed in Chicago, and these new skyscrapers will add thousands of hotel rooms and residences, as well as plenty of new office space, to the Windy City. These new buildings, some of which are already under development, come at a time when businesses are coming back to Chicago, real estate is hot, and the next crop of talented young professionals are calling Chicago home. What will the skyline look like in a decade? Probably lined with supertalls. See renderings at Curbed.com.
National Real Estate Investor: Investor competition intensifies for medical office properties
The test results are back: the demand for medical office buildings (MOBs) is healthier than ever. Cap rates for MOBs have declined to near 2007 levels, and sales this year have already eclipsed the totals in 2014. Investors are looking for more ways to monetize core and non-core assets and are exploring more growth areas. REITs are getting in on the action too, and are buying MOBs for an average price of $308 per square foot – more than hospital properties. Read what’s happening in the medical office sector at NREIOnline.com.
The Commercial Appeal: Concourse on course: Crosstown developers showcase progress
There’s a nifty development concept being built in Memphis – a true community building. Crosstown Concourse, scheduled to open in 2017, is a 1.1 million-square-foot mixed-use building that will have apartments, common rooms, an amphitheater-like space, and office space. But this isn’t just a building, but a village, where residents, employees, teachers, and researchers will spend time together to learn and grow. Want to live at Crosstown Concourse? Be prepared to spend time with other residents at the art exhibit, or invite them in to help with homework assignments. Visit CommercialAppeal.com to learn what’s happening in Memphis.
Portland Business Journal: GoGreen 2015: Portland commercial property energy pilot could be a ‘game-changer’
Portland is known as a forward-thinking city, and now the city government is putting money where their mouth is. Funding to the tune of $3 million has established Portland’s Commercial Property Assessed Clean Energy (CPACE) pilot program, and commercial property owners can draw on this money for energy-saving retrofits. Many building owners, both in Portland and elsewhere, are weary of starting similar upgrades, because they see no ROI if they sell the property before the retrofits are paid off. To remedy this problem, upgrade debt is attached to the building, not the owner, so if a building is sold, it remains with the property – an incentive some say could be a game-changer and spur retrofit investments in this West Coast city. Read about the pilot program at BizJournals.com.