In the News—Week of October 26, 2020
Around the Nation
COVID-19 sparks spike in demand for real estate to house life sciences
CNBC reports that the COVID-19 pandemic has boosted the demand for real estate in the life sciences sector. There is about 13.9 million square feet of life sciences space under construction, but that is not keeping up with demand. Lab space vacancy is around 8%. “The biotech sector may be the single most attractive subsector within commercial real estate today,” CBRE’s Spencer Levy says.
Energy & Environment
Draft of New Hampshire energy plan focuses on doing more with less
New Hampshire is considering a plan to reduce electricity use by 5% and natural gas use 3% in the next years, the Concord Monitor reports. The Public Utilities Commission must approve a plan by the end of the year. The draft involved the state’s four large utilities. “Asking them to help you use less of (their) product is very counter-intuitive,” Madeleine Mineau, executive director of Clean Energy NH, says. “At the same time, there are arguments for utilities to be program administrators. They have relationships with customers.” Mineau says the plan is different in another aspect. “The idea is to set the energy-saving goals first, then back into what’s needed to achieve them,’’ she explains. “Previously it was more like: ‘Here’s a budget, what can you do with this?’ ”
Amazon center is expected to bring 3,000 jobs to Katy
Amazon recently opened an 800,000-square-feet sorting center in the Houston suburb of Katy, reports Community Impact Newspaper. The center sorts packages before they are sent to a delivery station or to outside delivery partners to take to customers. The company says the center will provide about 3,000 part-time and full-time jobs, starting at $15 an hour.
Dallas leads way as commercial real estate activity picks up nationally
Commercial real estate investment grew about 9% nationally from the second to the third quarter, The Real Deal reports. Data from Real Capital Analytics shows an unusual uptick in the summer — that’s the good news. And the Dallas-Fort Worth area is the top market for real estate investment. That said, Dallas is down 27% from the previous year. That is better than L.A. (41%) and the traditional leader, Manhattan (52%).
RED says several watering holes, eateries planned in downtown Phoenix
Commercial real estate company RED Development says there are plans for new restaurant and cocktail lounges in downtown Phoenix, KTAR News reports. Blanco Cocina Cantina has set an opening date of Nov. 13 to become the first restaurant to open at Block 23 on Washington and Second streets. Three more food and beverage businesses have opened or will open in the area. A residential development called the Ryan opened earlier this year and is 30% leased.
Amazon investing $100 million in fulfillment centers, other facilities
Amazon is spending $100 million to expand its facilities in Mexico, Mexico News Daily reports. The e-commerce giant is opening fulfillment centers in Apodaca, Nuevo León, and Tlajomulco, Jalisco. These are the first centers outside the Mexico City area. Amazon is also planning to add 12 delivery stations. The new buildings will total more than 69,000 square meters, an area larger than the famed Azteca Stadium in Mexico City. The company says the expansions will bring about 1,500 jobs.