What I'm Reading Open Field: Startups in smaller MSAs are facing competition from large Silicon Valley competitors when it comes to hiring employees: Some of the biggest names in tech aren’t just allowing existing workers to relocate out of the Bay Area, they are also starting to hire in places...
July 28th – Sitting it Out
What I'm Reading Sitting it Out: Foreign purchases of U.S. residential real estate were down 27% in the year ended in March, a new low since the end of the Great Recession. As insane as the housing market has been, the boom has taken place with little foreign interest compared...
July 27th – Mismatch
What I'm Reading Mismatch: Most of the US is simultaneously experiencing a severe housing shortage and an office glut. Conventional wisdom suggests that vacant office buildings could be converted to residential uses. However, the bureaucratic processes are difficult, the conversions are typically too costly and office floorplates don't translate well...
July 26th – Front Row
What I'm Reading Front Row: As boat sales continue to soar and manufacturer backlogs grow, waterfront homes with private docks are becoming even more valuable. In other related news, its a great time to own boat storage facilities and non-seasonal marinas. Wall Street Journal Sweet Spot: NMHC's July Apartment Market...
July 23rd – Drying Out
What I'm Reading Drying Out: The western mega-drought is forcing cities with water shortages to issue building moratoriums. Ironically, many of the areas hardest hit by the the drought are also experiencing the largest housing and population booms. The forced shutdown of development will force even more people into the...
July 22nd – Turning Japanese
What I'm Reading Turning Japanese: Not that long ago, global overpopulation was a popular fear. That is no longer the case and global birth trends point towards the opposite, especially in the developed world. The long term aging trend will have many implications, not the least of which is deflationary...
July 21st – Legal Remedy
What I'm Reading Roll the Dice: Escalating material prices have made it challenging for contractors and manufacturers to bid on jobs, with owners sometime finding themselves paying out of pocket to cover overruns. Wall Street Journal Opt Out: Some workers are beginning to look for legal remedies that allow them...
July 20th – Diverted
What I'm Reading Diverted: Money is pouring into real estate funds but investor strategies are different in the past. Historically, downtown office towers were prime targets for institutions, as the size of the assets allows them to deploy hundreds of millions of dollars at once. But now, the long-term stability...
July 19th – Micro Marketing
What I'm Reading Micro Marketing: Cities have historically tried to increase job opportunities by trying to attract large companies with tax incentives. In the post COVID remote work world, cities are increasingly focusing their marketing efforts on appealing to individuals who already have a job but are looking for a...
July 16th – Dispersion
What I'm Reading Dispersion: Relocation buyers are fundamentally changing the housing landscape across the country. When higher income individuals and families from the coasts move into more affordable areas, they are able to outbid locals when housing is scarce. The result is a shift to more expensive housing costs. Affordability...