Cushman & Wakefield Research Report Cites Drivers and Obstacles to Urban Growth
TORONTO, ONTARIO and NEW YORK, NEW YORK--(Marketwired - Oct. 6, 2014) - Cushman & Wakefield's industry-leading, Americas Research group today announced the release of a new report entitled "Urban Development: Faster Greener Commutes Key to Sustained City Growth." The report explores the consequences of rapid population growth in ten major North American cities, such as intensified gridlock and slow commutes that impact work productivity and quality of life, along with the transit-oriented developments helping to relieve congestion and support growth.
The cities covered in the report are Mexico City, New York, Los Angeles, Chicago, Toronto, Washington D.C., Miami, Atlanta, Boston and San Francisco.
According to Paula Munger, Americas Research Director for Cushman & Wakefield, "the report seeks to shed light on the issues shared by all cities undergoing explosive urban growth and how commercial real estate developers are stepping up to the plate to ensure their properties are accessible to workforces of tenants who want to locate in these exciting markets."
For investors and developers, who are contributing to urban growth by building properties close to tenant talent pools, the business case for improving accessibility is clear. With publicly funded transit and transportation improvements often stalled by red tape, impact studies and lack of funding, transit oriented development has emerged as "the most substantial development trend of the early 21st century," according to Christopher B. Leinberger, Chair of the Center for Real Estate and Urban Analysis at The George Washington University School of Business.
As Cushman & Wakefield points out in its research report, the majority of new commercial development, as well as residential development, in metro areas today is transit oriented.
For occupiers, the value lies in their ability to attract talent, efficiently reach their client base, and achieve their sustainable objectives as good corporate citizens. However, the challenges of aging or insufficient infrastructure, NIMBYism, ("Not In My Back Yard"), and lack of funding and cooperation between the public and private sectors are common themes.
"Developers and governments must find ways to work together to overcome challenges and support continued growth," said Michael Caplice, Senior Managing Director Toronto Office Leasing. "We've seen a migration of new workers, tenants and residents into the downtown core. Now we need the infrastructure to support that added population."
"As C&W's research shows, walkable urban development is occurring in both our central cities and urbanizing suburbs. Following the research findings will lead to rental and cap rate premiums that will not be ignored by investors and developers," said Leinberger.
Key report findings across the ten cities explored include:
For more information on this report, please contact Paula Munger at (703) 847 2785 or paula.munger@cushwake.com.
The full report is available for download here.
Methodology
Cushman & Wakefield performs rigorous, global, primary research and data-driven analysis. Researchers collect data from an array of publicly available sources, owners, agents and most importantly, from the firm's brokers, appraisers and property managers. Cushman & Wakefield's 228 research professionals track more than 26 billion square feet in 170 office and industrial markets worldwide. Senior Research personnel use proprietary as well as secondary data to produce reports on topics effecting the real estate industry. Multiple resources from local organizations were leveraged for the Fall 2014 Transit Report, including: the Tom Tom Traffic Index, TD Economics, Texas A& M Transportation Institute, census data, Moody's Analytics and a range of information from municipal governments and transit authorities.
About Cushman & Wakefield
Cushman & Wakefield advises and represents clients on all aspects of property occupancy and investment. Founded in 1917, it has 250 offices in 60 countries, employing more than 16,000 professionals. It offers a complete range of services to its occupier and investor clients for all property types, including leasing, sales and acquisitions, equity, debt and structured finance, corporate finance and investment banking, appraisal, consulting, corporate services, and property, facilities, project and risk management. A recognized leader in local and global real estate research, the firm publishes its market information and studies online at www.cushmanwakefield.com/knowledge.
Contact Information: