Trend to Urbanization According to Maria Sicola, Head of Research, Americas, Cushman and Wakefield
Maria discusses, among other things:
- How the central business districts, (“CBD’s”) are seeing strong activity and weakening in the suburbs;
- Leasing is up in the CBD’s as well as absorption;
- “This urban phenomena is now beginning to take shape”;
- CBD’s is where the workers are telling their companies, this is where they want to be. The workers are forcing the shift;
- Demographics, in general, are effecting a lot of the trends towards urbanization;
- This looks like a sustainable trend
- We are now seeing a growth in individual income, which we haven’t seen over the last few years
- It’s quality of life that the millennials are seeking as part of the trend to urbanization, not necessarily transportation cost savings.
- How is transportation effecting the CBD’s even though not every city has great transportation
- Transportation will be critical to urban growth
- Technology and energy is driving the recovery;
- The recovery is beginning to expand more broadly beyond tech and energy and now includes a mix professional services, including:
- Media
- Advertising
- Information
- We are beginning to move away from a service oriented economy and more to a technology driven economy
- The recovery is beginning to expand more broadly beyond tech and energy and now includes a mix professional services, including:
- How is the home worker going to effect office consumption
- Trends in the design of office space
- Open & collaborative
- Move toward efficiency of space
- Technology is decreasing space requirements, per employee
- Mobility is there where it wasn’t a few years ago.
- We are in the midst of a full economic recovery.
By: Maria Sicola and Howard Kline (Commercial Real Estate Radio)
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