Economy, Market & Trends
Framing lumber prices could be approaching the highs of the housing bubble by next spring, according to data from the National Association of Home Builders. Random Lengths prices are up 22 percent from a year ago, and CME futures are up about 19 percent year-over-year.
National rents have barely moved through the entire peak rental season and into September, according to data from Yardi Matrix, marking the longest period of stagnation in recent history—four consecutive months. Coming in at $1,354 for the month of September, the average rent is only 2.2 percent higher than this time last year.
East Los Angeles is shaping up to be one of the unlikely centers of southern California’s emerging bioscience industry. Bioscience has long had a presence in Los Angeles, given its collection of leading medical centers and universities.
The lack of affordable housing for the growing senior population in the United States is a looming crisis and deserves more attention and resources from both the private sector and government, according to a leading advocate for aging issues. But affordable senior housing can become a platform for integrating services for low-income seniors and be an economic driver in communities by more efficiently delivering health care and other long-term support.
With California’s net-zero-energy mandate on the horizon—requiring new homes to generate as much power as they consume—a team made up of KB Home, KTGY Architecture + Planning, and publisher Hanley Wood late last year provided a glimpse of what they thought a home of the future might look like.
California may be easing into a soft landing with signs of “ebbing optimism” among developers on the three-year outlook for the state’s commercial and multifamily real estate markets. The latest Allen Matkins/UCLA Anderson Forecast California Commercial Real Estate Survey indicates slower growth ahead in the office, retail, and industrial sectors, but developers are more positive about opportunities in Orange County, Los Angeles, and San Diego.
Sales per square foot at all but a few public retailers have declined to an average of $325 ($3,498 per sq m), down from nearly $375 ($4,036 per sq m) in the early 2000s, according to research by CoStar. But while e-commerce has been disruptive to traditional retailers, several companies, including Apple, Tiffany, and lululemon, have managed to increase sales.
The LifeHub@Kunshan complex, just a brief train ride from Shanghai, integrates workforce housing, shopping, entertainment, e-commerce—and local culture.
Respondents to RCLCO’s latest Market Sentiment Survey are feeling less optimistic than they were six months ago, but most still see continued stability in market conditions for the near to medium term. Nearly two-thirds (65 percent) of respondents believe the next U.S. real estate market downturn will not begin until at least 2019.
The Minneapolis/Saint Paul metropolitan area is a prime example of how strong employment growth is putting a strain on the housing supply available in many U.S. cities. Since 2000, the number of Twin Cities households that face a housing cost burden—defined as spending more than 30 percent of their income on housing—has increased by 25 percent to a total of 199,000 households as of 2015, according to the Metropolitan Council.
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