Recap | Talking Shop: Office & Industrial Edition
November 16, 2018
Utilizing the theatre atmosphere at The Walker Art Center, the November 14 program delivered insights and debate on the Twin Cities’ office & industrial markets.
Tom Bennett, CBRE; Tim Elam, Scannell Properties; Nate Erickson, CCIM, Transwestern; Jonathan Juris, Frauenshuh Commercial
Headlines from the industrial market included where speculative development is headed, whether land banking remains possible for developers, and how to address challenges with infill sites and automation. The panel also discussed the impacts from rising construction costs and where outcomes will be on rental rates.
A national rise in development using opportunity zones was debated, including whether there are possibilities within the Minnesota industrial market.
The panelists also discussed that longer lease terms are becoming more common, as a method to spread out the cost of high-priced tenant improvements.
Anna Coskran, NTH; Bill Katter, United Properties; John Lorence, CBRE; Jim Montez, Transwestern
The office panel headlines included the 7,400,000 SF of proposed new office development occurring in the Twin Cities market as well as the resulting perceptions of the urban vs. suburban submarkets.
The panel debated views on the evolution of Class A office properties and how the bar is moving ever higher for tenant expectations. They also discussed what portion of the demand for Minneapolis office space is from new users versus coming from other submarkets or shifts just within the Minneapolis market itself.
Read a full recap of the event from Finance & Commerce.