As confidence has returned in the real estate sector, at least ostensibly, experts in the field have highlighted emergent trends to expect in 2018.
Donald Trump’s proposed “Tax Cuts and Jobs Act,” has industry leaders such as Cindy Nasser with PCVMurcor concerned regarding its aftermath in the real estate sector. The specific hindrance as Cindy describes it is that the “Implementation of appraisal management company regulations in 2018 will… increase the cost to do business, which will ultimately increase the cost to consumer.”
What separates a food hall from a mall’s food court? Industry experts contend the latter is a massively discredited 20th-century dining concept, while the former is precisely positioned to expand in 2018. Deviating from the “fast-food” tenant mixture found in food courts, a food hall combines artisanal cuisine, a “farmers market” environment, and weatherproof sanitary arrangement under one roof. As for food halls in 2018, per the Cushman & Wakefield Research report “Food Halls of America,” analysts expect a 15% increase in annual food hall openings.
In recent years, multi-family developments have been fiercely competing for market share; particularly with increased demand due to a steady climb in house pricing. Benjamin Pleat with Doorbell, Inc. elaborates on the future for multifamily developers stating “Just as amenities have defined the last decade of commercial real estate development, the need for unique experiences and services will heighten competition.” This concept pairs symbiotically with the aforementioned food halls; as an increased amount of multifamily developers are utilizing the idea to fill colossal ground floor vacancies.
On-Demand Residential Leasing
A conventional residential leasing market is immensely relationship-driven and is often controlled by sales forces who live and work in that particular area. Historically, these axioms have consistently prevented nationwide market disruption in the sector. The growth in competition as mentioned above in residential leasing, as well as pioneer market disruptors such as Zillow and Trulia, has spawned an exciting concept experts are calling on-demand rental access. Similar to instantaneous restaurant reservations through OpenTable, this concept provides convenience to renters with near-immediate confirmation of an executed lease, as well as “On Demand” tour appointments. Paired with a nationwide database of availabilities, companies utilizing this concept such as Zumper are expected to grow in 2018.