Macroeconomic instability and tariff talks were front and center in the second quarter, yet the commercial real estate sector showed a surprising degree of resilience, the latest Global Commercial Property Monitor released by the Royal Institution of Chartered Surveyors in London found.

What should you expect going forward? "Many of the current themes that are causing uncertainty at the macro level are most likely going to linger through the second half of 2025," said Tarrant Parsons, head of market analytics, in the latest RICS Monitor podcast episode.

Tune in to get all the details!

According to Alex Nyhan, it’s a great time to be a neighborhood retail owner. Booming retail sales, digital retailers’ drive to establish a brick-and-mortar presence, and the desire to get close to the customer are all powering occupancy.

In this lively discussion, the CEO of First Washington Realty tells how the company is bringing fresh ideas to a 140-property that spans 22 states and Washington, D.C. He details a brand-new experiential concept at their property in West Hartford, Conn., as well as a redevelopment project that’s breathing new life into a vintage property in Kansas City.

Nyhan brings an eclectic background to his role as First Washington’s leader. He spent several years working in Latin America between college and graduate school, an experience that informed a challenge he faced years later as First Washington’s CEO.

He’s earned an MBA and a master’s degree in public administration from Harvard, served as an adviser for the World Bank and handled complex real estate deals for Washington, D.C.’s economic development department. After making the transition to commercial real estate, he held leadership positions for Forest City Enterprises.  

But the diversity of Nyhan’s experience extends beyond real estate. He’s also an accomplished musician who plays keyboards in a band that performs in the Washington, D.C., area. For a change of pace, we’ll even take a few minutes at the end of our conversation to talk music. Take a listen.

Welcome back to Sustainability Street, our podcast on the intersection of commercial real estate and the world we live in. 

While the ideal balance between in office and at-home work is still a work in progress for many companies, one thing is clear: Workplace wellness is top of mind for employers even as, or more so, with the definition of the workplace expanding.

My guest for this episode is Rachel Hodgdon, president & CEO of the International WELL Building Institute, which recently announced that adoption of the WELL building standard now exceeds 6 billion square feet.

Hogdgon and I discuss how companies are navigating the ongoing debate about hybrid work and using IWBI's tools to decide what's best for their individual enterprises.

Regardless of how many in-office days employers require, she said, employers—and building owners as a result—are learning quickly that they are now in competition with the home environment.

 "If you don't earn the commute by creating a place that is more conducive to at least certain types of work, where employees feel more productive than they could at home, then you're gonna lose out in terms of recruitment and retention," she said.

Listen to the episode to hear more insights from Hodgdon. Here’s a sample of the topics we discussed:

• Hogdon's personal journey (1:26)
• The 6 billion-square-foot milestone (3:38)
• Office culture vs. the desire for flexibility (5:57)
• Helping CEOs understand their employees (10:02)
• Optimizing the workplace for return to office (15:14)
• The ROI of wellness (23:30)
• Next frontier in wellness data (24:49)
• Food for thought on wellness (29:32)

And follow, rate and review CPE’s podcasts on Spotify, Apple Podcasts and YouTube! 

Dallas may be known for its sprawling layout, business-friendly climate and good fundamentals, but its office sector tells a more layered story. Whereas the vacancy rate is still lagging and some landlords are rethinking their investment strategies due to underperformance and volatility, some fundamentals still shine.

One segment of the office market is defined by outdated buildings dragging up vacancy, whereas the other is led by high-quality trophy assets drawing strong tenant interest. Financial institutions remain the main tenant base, but investors can find opportunities everywhere if they look at the bigger picture.

In this episode of Step Into My Office, I am joined by Newmark’s Head of SE Research, Ching-ting Wang and Executive Managing Director of Global Research, David Bitner, as we zoom into the market’s performance. Although some fundamentals might pose challenges, office absorption across the metro still performs well, especially in submarkets such as Uptown Turtle Creek and suburban areas. The evolution of workplace strategies, paired with current volatility in the sector, calls for caution, but also optimism.Most of the time, it’s about perspective, they say. So, what will shape the next chapter of Dallas’ office market and how is it comparable to other markets across the US?

Here’s what we discussed about:

• Vacancy rate highs, but positive absorption(01:39)
• Which submarkets are most resilient? (05:13)
• Is ease of access the new flight-to-quality? (09:36)
• Cost vs quality: what do tenants choose? (12:06)
•  What is missing from the office recovery? (15:09)
• Class segmentation and landlord behavior post-pandemic (18:55)
• What’s fueling development in a high-vacancy market? (23:25)
• Suburban areas shine for flex office (25:43)
• Adaptive reuse is still limited to dense CBD zones (27:19)
• Is Dallas a younger version of Los Angeles? (31:09)
• The next chapter for office (35:30)

Welcome back to Sustainability Street, our podcast on the intersection of commercial real estate and the world we live in. 

For this episode, I'm talking about mass timber construction with Varun Kohli, director of sustainability for Corgan, a global architecture and design firm with 19 offices.

In a recent study, sustainability and research teams at Corgan joined together to get a better understanding of the lifecycle of mass timber—from forest to installation and beyond—and the variables that impact its use. The goal was to help architects and developers account for all the embodied carbon associated with this increasingly popular building material.

The results of their study are helping dispel some of the myths about mass timber, and a mass timber carbon calculator now sits on the company's website.

" That's really where we want to make an impact," Kohli said. "You can't simply say, 'we want to use mass timber.'  Let's get into the specifics of where it's coming from, how it's being managed and see how that impacts your overall carbon emissions."

Here’s a sample of the topics we discussed:

• The allure of mass timber (2:22)
• Misconceptions about mass timber (3:51)
• Corgan's mass timber research project (5:51)
• Managing what's left behind in the forest (6:03)
• The transportation piece (9:25)
• The Corgan mass timber calculator (13:21)
• The embodied carbon debate (15:54)
• Blending research and sustainability (21:34)

Follow, rate and review CPE’s podcasts on Spotify, Apple Podcasts and YouTube! 

When going through a merger, acquisition or carve-out, you need to act with extreme care to ensure a smooth transition for everyone involved. To avoid pitfalls and subsequent issues, real estate strategy is one aspect that requires special attention.

“CRE leaders need to be involved in those key upfront stages so they know where the business plans to grow and contract in the two to three years post-merger, so that they can configure de footprint and the real estate operating model to meet the business where the business is at the right time,” said Rob Raymond, managing director in FTI Consulting’s Real Estate Solutions Group, in the second FTI Experts’ Hub podcast this year.

Listen to the entire conversation to find out all about the critical questions you should be asking in order to understand the impact of the M&A or carve-out on your real estate portfolio and operating model!

Press play for a conversation on CREW Network Foundation's mission and programs! Chair Gayle Bourdeau talks to CPE's Laura Calugar about all the way the foundation is making a difference.

Bourdeau first learned about CREW Network in 1998 while she was a summer associate in the business department of a title insurance company. She joined CREW Boston in 2003 and since then has held multiple positions within the organization. Today, she is the chair of CREW Network Foundation, dedicating all her resources to accelerating success for women and bringing more young girls into commercial real estate.

Five years after the passage of Local Law 97, impacted property owners are facing their first reporting deadline under the groundbreaking carbon emissions reduction legislation.

But it's the deadlines to come that will really challenge owners and the city at large. By 2050, all buildings are expected to get to zero.

Welcome back to Sustainability Street, our podcast on the intersection of commercial real estate and the world we live in. 

My guest for this episode is Amanda Clevinger, policy and programs director for Bright Power. She and I discuss how owners are coping with the new building performance standard, how the city plans to fund its massive decarbonization project and and how owners not currently affected by emissions caps can prepare for what is likely to come in the future.

 "I think we need to get through the first year of emissions reporting, and then we're gonna see more of that focus of pushing buildings to take firmer actions to upgrade their buildings and Beneficial Electrification credits will be part of that discussion because it does provide a pretty lucrative reward for electrifying early," Clevinger told me.

Here's a sample of the topics we discussed:

An "aggressive" legislation (5:34)
The road to electrification (8:41)
Compliance challenges (12:10)
How can older properties and co-ops comply? (16:34)
Funding the work (21:26)
Local law 97 and the split incentive (26:00)
Energy effiiciency and AI (29:35)
Building performance standards are spreading (31:03)

Taking stock of the real estate capital markets is a tall order right now. At this volatile moment, it’s invaluable to hear insights from an executive who’s been there and done that through multiple market cycles.

Welcome back to Investment Matters. Our guest is Toby Cobb, a 30-year industry veteran and the co-founder of 3650 Capital, a diversified lender and loan servicer.

Previously, as co-CEO of LNR Property, he built the company's loan origination platform and led its restructuring and sale. At Deutsche Bank, he served as managing director & co-head of U.S. commercial real estate.

In part 1 of this special two-part episode, you’ll hear Cobb’s frank insights on what it takes to get projects financed today, the prospects for interest rates and the telling tale of three neighboring office buildings in Midtown Manhattan. Take a listen.

Episode highlights:

• Taking the pulse of the credit and equity markets and policy changes in a volatile time (1:12)

• Why higher-for-longer looks more likely (5:21)  
• The Fed’s impact on market cycles (8:25)

• Snapshot of bank lending—the top 50 and beyond(10:15)     

• How extend-and-pretend is undermining assetvalue (13:08)      

• What’s getting construction financing today (15:30)   
• A tale of three Manhattan assets (19:25 )

The last quarter of 2024 was a busy time for Los Angeles and pushed the metro to rank third nationally in terms of investment. Despite a slight slowdown compared to previous years, the metro kept a stabilized vacancy rate, below the national average. As economic uncertainty continues to influence the office sector, no market remains immune to the current shifting dynamics and investors are trying to adapt.

While uncertainty remains a concern, there’s space for optimism in the sector. The rise of flex office spaces, as well as creative offices and the flight of tenants toward higher quality, amenitized spaces, keeps the metro in flux. In this episode of Step Into My Office, I delved into the market dynamics with John Anthony, SIOR, Executive Vice President and Managing Director at Kidder Mathews. Anthony highlighted some of the shifts reshaping demand and examined the current occupancy patterns and the evolving tenant roster.

Anthony believes that Los Angeles is “going through an evolution, a recalibration”, as landlords adapt to hybrid work patterns and ongoing market volatility. He pointed out two key trends shaping the metro’s dynamics: the flight to quality, as tenants seize to upgrade their spaces without long-term commitments and “somewhat of a flight to the suburbs”, since flexible campus-style environments are becoming more attractive than traditional office space, such as downtown towers.

Here's what we touched on:

• LA’s current office landscape (01:31)
• The main trends influencing demand (03:29)
• Finding opportunities in Los Angeles (04:53)
• What role does the government play? (06:29)
• The pause in office development (08:23)
• How are investors recalibrating their strategies? (10:12)
• What’s fueling flex office space growth? (17:19)
• What’s up with conversions? (20:23)
• What’s next? (23:40)