Wharton organizational psychologist and New York Times-bestselling author Adam Grant shares insights on making better business decisions, fostering innovation and how your personal "challenge network” can lead to superior products and delight your customers.

Share these insights on how to be a successful leader:

1.    Encourage Humor and Humility: They help maintain a flexible and open-minded approach, making it easier to rethink and adapt.

2.    Have Pre-Mortems: Discuss as many potential failures as possible before launching. That way you can prevent or know how to handle problems when they occur.

3.    Eschew Best Practices for Better Practices: “Best Practices” implies there’s only one right way, while seeking “Better Practices” encourages people to innovate and try new things.

4.    Build a Challenge Network: Maintain a group of trusted critics who provide truly honest feedback to improve your decision-making.

5.    Reward Speaking Truth to Power: Encourage employees to ask questions, suggest improvements and challenge outdated ideas.

Manulife’s Jessica Harrison and CBRE’s Kevin Aussef join us from the CBRE Investor Symposium, where they highlight investment opportunities, particularly in alternative asset classes.

Share these insights:

-     Market Momentum: Real estate capital markets are gaining momentum, as the gap between buyer and seller expectations narrows.

-     Strategic Investment: Sectors like affordable housing, cold storage, and industrial outdoor storage present attractive opportunities.

-     Market Reset and Repricing: Investors are setting their sights on higher returns, even for lower-risk assets.

-     New Approach: Manulife has transformed into a private equity real estate investor and launched new investment strategies to capitalize on market opportunities.

-     Tech Advances: AI enhances operational efficiencies and predictive analytics, improving underwriting and investment decisions.

We explore Chicago's vibrant real estate scene with CIBC’s Karen Case and CBRE’s Lisa Konieczka. They discuss market dynamics, Fulton Market's emergence and transformation, and ongoing capital markets challenges and opportunities.

Share these insights about Chicago real estate:

-     The Big Split: Chicago's office market is bifurcated: creditworthy occupiers looking for high-quality space will have limited options while much of the rest of the market languishes amid a glut of space.

-     Important Amenities: Advanced technology, workout facilities and unique features in the best buildings will help  attract tenants and draw people back to the office.

-     Capital Markets Challenges: High costs and limited access to capital have slowed new development significantly, exacerbating the shortage of premium-quality space.

-     Transportation Networks: Chicago's excellent transportation infrastructure supports its diverse economy and enhances its appeal as a business hub.

-     Strategic Transformation: Fulton Market has evolved into a vibrant live-work-play area, attracting major tenants and showcasing successful urban redevelopment.

Two self-storage experts—Merit Hill Capital’s Liz Schlesinger and CBRE’s Nick Walker—discuss the sector's strong long-term fundamentals and near-term challenges facing this resilient asset class, including a tepid housing market.

Share these insights about the self-storage industry fundamentals:

1. Operators understand the customer: Self-storage customers prioritize proximity and convenience over amenities.
2. Data plays a huge role: Savvy investors use data to inform site selection and identify market trends such as the increasing demand for units in urban areas.
3. The housing market impacts demand: Investors should be aware of the potential risks and opportunities associated with housing market fluctuations.
4. Operational expertise required: Self-storage relies heavily on operational expertise to maximize returns.

Ray Washburne is an accomplished investor with an eclectic portfolio that spans shopping centers, restaurants, energy and more. Washburne offers a unique perspective on market trends, Investment opportunities and the the evolution of cities.

Retail

• Unique Identity Wins: Local restaurants and regional brand dining experiences are essential to attracting visitors to a city or neighborhood.
• Bifurcation of Retail: High-end luxury retailers and those that offervalue to consumers are doing well.

Office

• Demolition Over Conversion: Many older offices are being demolished due to high conversion costs and antiquated construction.
• Amenities Matter: Office buildings with unique amenities are commanding higher rents and driving tenant demand.

Cities & The Economy

·     Urban Revitalization: Cities are experiencing a resurgence with new developments driving growth and investment.

·     Caution Persists: A large federal deficit, high consumer credit card debt, and sticky inflation are making it essential for investors to be prepared for extended volatility.

Swire Properties’ Henry Bott and CBRE's Troy Ballard examine Miami's growth, appeal to global investors and the Residences at Mandarin Oriental, Swire's luxury condominium project on Brickell Key Island.

Share these insights about opportunities in Miami:

1. Miami is thriving: The city is growing rapidly, with strong demand for housing driven by an increasing population.
2. Luxury housing is in demand: The Residences at Mandarin Oriental is a prime example of the demand for high-end housing in Miami.
3. International investors: Miami’s multi-faceted appeal is attracting buyers from around the world.
4. Demographics are changing: Brickell, for instance, has attracted a younger population base.
5. Adaptive re-use opportunities: The office market in Miami has softened, but conversion and redevelopment projects are underway.

Stoneshield Capital’s Juan Pepa and CBRE's Adolfo Ramirez-Escudero discuss Spain's economic renaissance, which has engendered bountiful investment opportunities.

Share these insights about investment opportunities in Spain:

1. Spain has great fundamentals: Gone are the dog days following the Global Financial Crisis. Spain's high economic growth rate has made it an attractive investment destination.
2. Focus on alternative real estate sectors: Some of Spain’s strongest sectors are student housing, life sciences and seniors housing.
3. Renewable energy is in demand: Interest in energy and sustainable infrastructure, particularly around data centers and the industrial sectors, is high.
4. Big pharma has a big presence: A consolidation of big pharma companies makes the region attractive for life sciences investment.
5. It’s a business-friendly environment: Incentive programs and a supportive regulatory environment has drawn inbound capital.

This week we shine a spotlight on San Francisco, a market that is showing increasing signs of shaking off the post-pandemic doldrums. Listen to a wide-ranging discussion as The Bay Area Council's Jim Wunderman and CBRE's Joe Wallace explore the growing impact of AI on local economy and real estate market,  opportunities across sectors, public-private collaborations and the city's budding revival.

Share these insights from this week’s episode:

• Tech and AI Potential: The growth of AI is contributing to an  economic revival in San Francisco.
• Office-Space Dynamics: Office leasing improved notably  in San Francisco in Q4 2024, driven by its strong tech tenant base.
• Housing Development: Increasing the availability of affordable housing is vital for maintaining the city's workforce and economic growth.
• Infrastructure Improvements: Enhancing transportation—including the city’s historic trolley—and other infrastructure systems will support the region's growth.
• Cultural and Tourism Appeal: San Francisco's unique culture, diversity and lifestyle continue to attract talent and investment.

Jamie Hodari, CBRE's CEO of Building Operations & Experience, spotlights where he sees the biggest opportunity across commercial real estate: workplace experience. He discusses how a company’s space can attract tenants and enhance the employee experience, enriching people’s lives and increasing business effectiveness.

Share these insights from this week’s episode:

• Everything is operational real estate: Real estate companies are evolving from asset focused businesses to operating platforms, requiring high-quality management relentlessly focused on workplace experience.
• AI and data utilization are no longer nice-to-haves: Using AI to manage and interpret data is crucial for optimizing building operations.
• Markets are adapting to accommodate hybrid work models with flexible office usage: Urban markets especially put significant emphasis on making downtown areas vibrant.
• Finance institutions are catching up: The finance industry must recognize and adapt to the operational nature of modern real estate.
• Flight-to-quality is expanding: The focus for landlords and occupiers will increasingly be on creating spaces that people find enriching and valuable, not just functional.

With a twist on the conventional lodging business model, Extended Stay America (ESA) has seen impressive growth in recent years. ESA CEO Greg Juceam discusses managing its real estate portfolio and provides insights on the business of long-term accommodations.

Share these insights from this week’s episode:

1. Investment Potential: The extended-stay lodging segment offers a resilient and growing opportunity, particularly in secondary and tertiary markets.
2. Operational Simplicity: Extended-stay hotels can benefit from streamlined operations and less labor requirements.
3. Scalability: ESA’s model combines ownership and franchising, enabling multiple avenues for growth and scalability.
4. Diversified Demand: The diverse range of guest demand drivers -- from construction crews to long-term healthcare treatments to digital nomads -- tends to support stable occupancy rates.
5. Strategic Expansion: ESA’s focus on new builds and strategic acquisitions positions it well for future growth, even in challenging capital markets.