News shaking up CRE this week: From Hilton’s hostels to factory revivals
Mar 11, 2016
Here are the news stories you might have missed this week:
Bloomberg: Millennials spending power has Hilton weighing a ‘hostel-like’ brand
Hilton is thinking small – to appeal to a younger demographic, the hotel giant might add a new brand that’s scaled down and cheaper. These “micro-hotels” would be in U.S. cities and mirror European hostels’ less-expensive, less-amenities concept. A “no frills” room, Hilton believes, would attract millennials, especially overseas visitors who are familiar with hostels. There’s no formal plan on the table, but it’s a brand idea that Hilton is exploring. Visit Bloomberg.com to read more about Hilton’s vision.
The Kansas City Star: Kansas City’s Land Bank sells commercial buildings, vacant land
There are 150 commercial properties in Kansas City for sale, and they’re going for cheap. The city government’s Land Bank program is aiming to sell these commercial zones, many of which are vacant lots that are ready for development. The Land Bank is unloading the buildings and land for about two-thirds of the properties’ value, which can be a great deal for developers. But some properties need a lot of TLC or, in some cases, to be completely redeveloped. Go to KansasCity.com to learn more about the sale.
CNN: America’s abandoned factories in hot demand
Abandoned U.S. factories are getting new life thanks to an improving economy and the need for space. These huge spaces aren’t just becoming apartments and offices, they’re also maintaining their true identity by being used as factories once again. In some cases, these factories are home to newer industries like urban agriculture and fish farming. The demand for such factories and warehouses is making for a competitive market again. To read more about this trend, visit CNN.com.
The Morning Call: It’s been months since a new tenant committed to moving to downtown Allentown
Though it’s been a few months since another major office tenant announced they were moving to Allentown, the Pennsylvania community is still optimistic about its office market. Companies are showing interest in the area, but haven’t signed new leases yet. In some cases, new office developments are being built and organizations are waiting to see the space before deciding to move in. In fact, the multifamily sector is booming, encouraging developers to continue to move ahead with large-scale office and retail projects. The whole story can be found at MCall.com.