Bringing manufacturing back to U.S. soil is in full swing, but a labor shortage could bring it all to a halt. Companies are struggling to find labor to both build the space and run the completed plants. Bisnow National Reporter Dees Stribling dove into the latest in the nearshoring push. Read the full story here.
Nonresidential Building Momentum Increases (Dodge Construction Network): The Dodge Momentum Index, which measures the initial planning stages of nonresidential building projects, has risen by 6%. This increase suggests a growing optimism in the construction of commercial buildings as 25 projects valued at or above $100M started the planning stage in April. Check the latest on the Dodge Momentum Index.
REITs Rebound (Hoya Capital): REITs have shown a strong rebound as the latest earnings season wraps up. Forty-one percent of REITs raised their outlook, 48% maintained and 10% lowered. Read more about REITs’ performance.
Slowdown In U.S. Solar Factory Boom (Bloomberg): The growth in U.S. solar manufacturing is slowing due to the influx of cheap imports, challenging the domestic industry despite supportive federal policies. This surge in less expensive foreign panels is complicating efforts to bolster local production under the Biden administration. Many of the $16B worth of solar manufacturing plant projects announced in the last two years have been put on ice. Explore why these projects aren’t coming to fruition.
Data Center REIT Equinix Refutes Short Seller Claims, Reports 7% Revenue Growth (Bisnow): Equinix is pushing back on accusations it has artificially inflated its value. An internal investigation found no wrongdoing, but a federal inquiry into its accounting practices is still underway. Get up to speed on the investigation.
Tech Talent Exodus Amid Return-to-Office Mandates (WaPo): A recent study has found that forcing a return to the office has led to significant attrition among top tech talent at major firms like Microsoft, Apple and SpaceX. Many employees chose to leave rather than comply with mandated office returns. Learn about the impact of return-to-office policies.
IQHQ’s Bold Bet May Not Pay Off (Bisnow): IQHQ is building huge life sciences campuses around the U.S. — it is responsible for three of the five largest projects underway. But now those developments are delivering in a market of significantly reduced demand. Learn more about IQHQ’s developments.
U.S. Government Boosts Domestic Chip Production (NYT): Polar Semiconductor has been awarded $120M by the U.S. government to expand its facilities as part of a broader push to strengthen the nation's semiconductor manufacturing capabilities amid global supply chain challenges. Read about the federal investment in chip manufacturing.
DLA Piper Survey Reflects Cautious Optimism in Real Estate (DLA Piper): The latest DLA Piper State of the Market survey reveals a "measured optimism" among respondents. Check out the survey results.
Legendary Capital REIT Plans to Sell Hotel Portfolio (CoStar): Legendary Capital REIT has approved a strategic plan to sell its 2,260-room hotel portfolio. Its properties span 10 states and are mostly limited service. Read about Legendary Capital’s strategic decision.
JCPenney Sees Profits, Considers Expansion (Retail Dive): JCPenney has reported profitability in its latest financial results and is considering the possibility of opening new stores. This development marks a significant turnaround for the retailer, which has struggled in past years. Read more about JCPenney's plans.
Starwood Eyes $5.4B Logistics Sector Acquisition (Bloomberg): A group led by Starwood is considering a buyout of warehouse developer ESR, valued at $5.4B. Read about the potential buyout.
New Florida Law Disrupts Condo Market (WSJ): Three years after the tragic Surfside collapse, a new Florida law intended to prevent similar disasters is causing upheaval in the condo market. The law, which imposes stringent requirements for building assessments and repairs, has led to a slowdown in sales and increased financial burdens for condo owners. Explore the impacts of the law.
Sharp Decline In Vacation-Home Mortgages (Redfin): The demand for vacation-home mortgages has plummeted 40% from a year prior and 64% from 2021. This downturn is indicative of broader trends affecting the housing market, especially in leisure-focused areas. Learn about the decline in mortgage demand.
Georgia's Growing Pains With Data Centers (WSJ and Bisnow): As Georgia becomes a popular location for new data centers, the state faces challenges reconciling the high electricity demands of these facilities with its energy sustainability goals. The development of data centers is crucial for supporting technology and business growth, but raises concerns about energy use and environmental impact. Learn more about the challenges in Georgia and the latest legal maneuverings around data center development.
Tishman Speyer Dives Into Data Centers (Data Center Dynamics): Real estate giant Tishman Speyer is entering the data center market with plans to build a campus in Frankfurt, Germany, in partnership with utility company Mainova. Details on Tishman Speyer’s new venture. *** The First Draft is produced by Director of Newsletters Jay Rickey, Managing Editor Catie Dixon, Editor-in-Chief Mark F. Bonner and Deputy Newsletter Editor Kayla Carmicheal, with an assist from ChatGPT. We’d love your feedback! Email us at first...@bisnow.com. Was this email forwarded to you? Get on the distribution list here. |
