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Real Estate Executive Insight Speaker Series Bob Lux – Inside the Mind of A Developer

 

Real Estate Executive Insight Series

Bob Lux – Inside the Mind of A Developer 

Event Details Tuesday, March 28th 2017 5:30 p.m. University of St. Thomas, Minneapolis Campus Schulze Hall, Room 127

A candid conversation with industry leader Bob Lux, Founder Alatus LLC

Quality real estate development requires innovative thinking. Bob Lux, founder of Alatus LLC, has been in the real estate development and investment business for over 30 years. His company’s mission is to provide innovative solutions and high quality projects by wisely using his team’s talents and strengths to achieve the client’s vision and form a better community.   Lux will discuss the challenges, opportunities and trends in developing residential and commercial real estate in the Twin Cities. Lux will also share his views on the condo market and as the largest private owner of parking facilities in Minnesota Bob will outline his expectations for future parking and infrastructure needs in the downtown area.

Agenda 5:30-6 p.m. Networking 6-7 p.m. Presentation by Bob Lux

Register Today
 
Best of Real Estate Matters, Commercial Real Estate, Development, Green Building, Historic Tax Credits, Housing Trends, Investment Real Estate, Minneapolis / St. Paul Housing, Minnesota Real Estate Hall of Fame, Minnesota Real Estate Journal, Real Estate Programs, Real Estate Trends, Think Outside The Box, Twin Cities Real Estate, Urban Planning, UST Real Estate in the News

New Members of Minnesota Real Estate Hall of Fame Announced

The Minnesota Real Estate Hall of Fame, established in 2010 by the Shenehon Center for Real Estate at the University of St. Thomas Opus College of Business, will add three new members in a morning ceremony Thursday, Nov. 5th, at the Golden Valley Golf and Country Club.

Members of the Minnesota Real Estate Hall of Fame are chosen for their outstanding business performance, high standards of ethics and community activities. The three new members

Dan DolanWells Fargo

For more than 50 years, Dan Dolan has pursued a career in real estate. He was a leader in improving the professional and ethical standards in real estate and was an early promoter and employer of women in real estate sales. His real estate developments include the Evergreen Community, an upscale residential development in Woodbury; and the Oakdale Crossing Business Park.

Throughout his career, Dolan has been actively involved in boards and fundraising, including the merger of Cretin and Durham high schools, fund raising for the University of St. Thomas, and serving as King Boreas XLII in the 1978 St. Paul Winter Carnival. He may be eligible for retirement, but Dolan is just as passionate as ever about real estate development and continues to receive offers of employment in the industry.

Larry Laukka  

Since 1962, Larry Laukka has actively served in all  aspects of the real estate industry, but primarily in the building and development business. Laukka’s experience has included the design, development, financing, construction and marketing of more than 6,000 dwelling units and home sites throughout the greater Twin Cities community, and the management of approximately 3,000 owner-occupied townhomes and condominiums. His leadership roles include president and director of the Minneapolis Builders Association (MBA), senior life director of the National Association of Home Builders (NAHB) and founder of the Minnesota Housing Institute (MHI), which served the real estate industry’s state-wide needs to commercially promote home ownership and legislative action.

In the 1960s, Laukka worked with The Near Northside Re-Development Agency, a community based organization established to guide the redevelopment of the near north side of Minneapolis. The agency focused on the growing need for market rate housing and led to the development of single-family housing, hailed as “The Suburb in the City.”  After being approached by Governer Wendell Anderson, Laukka helped develop the State Housing Finance Agency and chaired the Minnesota State Housing Code Advisory Board until a state-wide building code was in place. Most recently, he served on the Fairview Southdale Hospital board of trustees and chaired the development of its new Carl N. Platou Emergency Center opened August 2015.

James Solem

For more than 40 years, James Solem provided outstanding leadership and tireless work in real estate finance and public policy, supporting the development of rental and ownership housing for low and moderate income households. He was the executive director of the Minnesota State Planning Agency from 1970 to 1978, and served as commissioner of the Minnesota Housing Finance Agency from 1978 to 1994 – a position he was appointed to five times by three Minnesota governors. From 1994 to 2000, Solem was the regional administrator for the Metropolitan Council, leading the long-range planning for transit, wastewater, parks and community development in the seven-county metropolitan area.  From 2000 – 2006, at the University of Minnesota’s Center for Urban and Regional Affairs (CURA), he led a project to bring new ideas to the issues of affordable housing and regional growth.

Now retired from the Metropolitan Council, Solem is active with consulting and volunteer service. He is chairman of the board of the Community Reinvestment Fund and of the boards of Common Bond Housing Corporation and the Greater Minnesota Housing Fund. Throughout his career, Solem demonstrated an exceptional knowledge of operations and governmental polices, brought a high level of ethical standards to the real estate industry and championed those most in need.

The program is open to the public and the cost is $60. More information is available at http://www.stthomas.edu/centers/shenehon/minnesota-real-estate-hall-of-fame/

To register use the following link:    https://webapp.stthomas.edu/eventregistration/ust/register.jsp?eventcrn=B1973

The Minnesota Real Estate Hall of Fame now has 30 members. Previously named were:

  • 2010: Tony Bernardi, Lloyd Engelsma, Gerald Rauenhorst, William Reiling, Jim Ryan and Sam Thorpe Sr.
  • 2011: Robert Hoffman, Darrel Holt, Bernard Rice, Emma Rovick and five members of the Dayton family: Bruce and the late Douglas, Donald, Kenneth and Wallace.
  • 2012: David Bell, Robert Boblett Sr., Philip Smaby and Boyd Stofer.
  • 2013: Leonard Bisanz, Helen Brooks, Thomas Crowley, M.A. Mortenson Sr. and Kenneth Stensby.
  • 2014: George Karvel Ph.D., Cyril “Cy” Kuefler Sr., Jim Stanton

 

Architecture & Design, Commercial Real Estate, Development, Industry News, International Real Estate, Think Outside The Box, Urban Planning

Rising Towers Escalate Need for Faster Lifts

 The following article by  was reposted from the current issue of Urban Land Magazine

December 1, 2014

Shanghai-tower_800

When Shanghai Tower opens as China’s tallest building next year, the 2,073-foot (632 m) tower will feature elevators capable of traveling 40.3 miles (64.8 km) per hour, or 59 feet (18 m) per second, a new milestone. That bests the 55.1 feet (16.8 m) per second achieved by the elevators in the current record holder, Taipei 101 in Taiwan, which was completed in 2004.

But Shanghai Tower likely will not hold the title as world’s fastest for long. Builders of the Guangzhou CTF Finance Centre, which is scheduled to open in 2016 in Guangzhou, China, have promised elevators capable of traveling 66 feet (20 m) per second, or 45 miles (72 km) per hour. The elevators will take passengers from the first floor to the 95th floor in about 43 seconds.

The question facing the industry today: how fast can elevators go without sacrificing comfort?

“This is a new day,” says Steve Edgett, partner in Edgett Williams Consulting Groups, which works on elevator designs. “We’re in uncharted territory.” Some analysts believe mankind may be close to the limits of elevator speeds using modern technology. “I think there is a limit, not to building, but what we can do efficiently,” says Johannes de Jong, head of technology for Finland-based Kone Elevators.

Kingdom_Tower_360

Saudi Arabia’s Kingdom Tower will feature the longest single elevator ride in a building, about 2,165 feet (660 m). (Kone Corporation)

The biggest obstacle for faster speeds is the variance in air pressure from the bottom to the top of tall buildings. A superfast elevator leaves no time for the body to adjust to the changes in pressure, similar to the effect experienced by divers surfacing too quickly in the ocean.

For elevators to go faster, something will have to be done to accommodate the human ear, which is extremely sensitive to pressure changes. Commercial jets typically take 20 to 30 minutes to descend from their highest altitude and help passengers adjust, yet earaches and complaints are still common. “One thing we cannot do is change the laws of physics,” de Jong says.

For the Guangzhou tower, Japanese tech firm Hitachi, which is building the elevators, will use a sophisticated control panel that can respond to “changes in atmospheric pressure correctly” to smooth the acceleration and deceleration process and “relieve the feeling of fullness in the ear as a result,” a company spokesperson says. This adjustment technology will reduce the abrupt pressure changes inside the elevator car, while special “active guide rollers” will compensate for even tiny lateral vibrations, Hitachi says.

But there is no guarantee the measures will provide a comfortable ride. Every person’s physiology is different; people with colds or earaches may be more susceptible to ear problems. At 66 feet (20 m) per second, even the slightest vibration will create a shock for passengers.

In Taipei 101 and other existing tall buildings, the elevators are usually set to descend much slower than they ascend in order to ease the ride. Nevertheless, passenger complaints are common. “At nine meters [30 feet] a second, I felt my ears pop,” Edgett says.

In the one-kilometer-tall (0.6 mi) Kingdom Tower under construction in Saudi Arabia—which likely will become the next “tallest building in the world”—Kone expects elevator speeds to peak at 33 to 41 feet (10 to 12.5 m) per second. “It’s up to the client,” de Jong says. “We have to show him how it feels.”

However, Kingdom Tower will feature the longest single elevator ride in a building, about 2,165 feet (660 m), using a new carbon fiber cable designed by Kone called UltraRope, which is dramatically lighter and stronger than steel cables.

Read the entire article at http://urbanland.uli.org/planning-design/rising-towers-escalate-need-faster-lifts/?utm_source=uli&utm_medium=eblast&utm_campaign=120114

 

 

Architecture & Design, Commercial Real Estate, Green Building, Office Real Estate, Real Estate Trends, Think Outside The Box, Twin Cities Real Estate

Shipping Container Building Proposed for Minneapolis North Loop

A unique office building to be constructed of shipping containers has been proposed for a small site in Minneapolis’ North Loop neighborhood. The project is being developed by Akquracy, a Minneapolis-based marketing firm that will be the primary tenant for the office space. Its located just blocks from Target Field, near two other recent creative office developments in the Ford Center and the new Be The Match headquarters building.

Steelcase

The building will be about 18,000 square feet, consisting of office space and a small café/restaurant space with outdoor seating. The design involves fifty shipping containers, each 75 feet in length. The containers will be stacked three levels high, with a portion of the building elevated over a public plaza. To minimize foundation piling due soil conditions on site, one triangular half of the building will sit on top of an existing underground parking structure, while the other half is shifted one level upwards. The lifting of half the building allows for the creation of covered plaza space and opens up the street corner.

The developer for this project commissioned New York-based architectural firm LOT-EK to design the building. The firm is known for its use of “up-cycling,” or repurposing unique materials in order to create unique designs and build sustainably. Shipping containers have become an increasing popular building material in recent years, having been used for everything from small homes to multifamily and office buildings.

Retail Real Estate, Think Outside The Box, Twin Cities Real Estate

Eagan Outlet Center to Feature Snow Melter

The new Twin Cities Premium Outlets center opening in Eagan next month will feature a unique piece of equipment to help manage snow in the winter. Rather than store snow on site or pay to have it hauled away, the property will use a stationary snow melter made by Trecan, a Canadian company which specializes in the design and manufacture of the machines. With capacity to melt 40 tons of snow an hour, the snow melter will help the property management keep the center’s sidewalks and 1,400 parking spaces accessible to customers during the winter months.

The snow melter at the new Twin Cities Premium Outlets in Eagan (source: MSP Business Journal)

The Trecan snow melter at the new Twin Cities Premium Outlets in Eagan (source: MSP Business Journal)

The Trecan machine melts snow that is dumped in by plows by mixing it with hot water heated by a natural gas burner. The snow melt then drains directly to the municipal storm sewer. A filter collects trash and other debris before it enters the sewer.

The Twin Cities Premium Outlet will be (surprisingly) the first shopping center in Minnesota to feature an on-site snow melter. It will also be the first in Simon Property Group’s portfolio of 300 shopping centers worldwide, although the company also plans to install one in a Montreal mall opening later this year.

By using the snow melter, Simon hopes to keep operating costs lower for tenants. The machine can melt 200 cubic yards of snow per hour at a cost of about $110, substantially less than the cost for haul away and off-site disposal of a comparable amount of snow. Additionally, because the property won’t need space for snow mounds the developer was able to build fewer parking spaces and keep more of them available for customers during the winter months.

The 409,000-square-foot outlet mall is set to open Aug. 14th and will have more than 100 stores. It was developed by Simon Property Group and Paragon Outlet Partners.

Affordable Housing, Architecture & Design, International Real Estate, Real Estate Trends, Think Outside The Box

Could 3D Printing Revolutionize Building Construction?

3D printing has been around since the 1980’s, but in the last few years the technology has become much more affordable and accessible. Many are now speculating on the ways 3D printing could revolutionize the global manufacturing landscape. But could the technology have a similar disruptive impact on how buildings are constructed? Innovators and entrepreneurs across the globe are already trying to find out.

Last week, a Chinese company demonstrated the capabilities of a giant house-building 3D printer it has been researching for 10 years. The machine has the capacity to construct 10 houses in less than 24 hours, using predominantly recycled materials. The homes cost less than $5,000 to build, which means the technology could have a huge impact on improving housing conditions in the country. Despite rampant skyscraper construction in major cities across China, the country still has a massive need for quick, cheap housing, particularly outside of the major urban areas.

Workers in China assemble a house built by Winsun with a 3D Printer

Rather than printing the homes in one go, Winsun’s 3D printer creates building blocks by layering up a cement/glass mix in structural patterns (watch the process here). The diagonally reinforced print pattern leaves air gaps to act as insulation. The blocks are printed in a central factory and then assembled on site, with comparatively little labor required.

Back in the U.S., a University of Southern California professor is testing its own giant 3D printer. Unlike the Chinese technology, this printer would complete the entire construction process on-site. Professor Behrokh Khoshnevis’s design replaces construction workers with a nozzle on a gantry that squirts out concrete and can quickly build a home according to a computer pattern. It is “basically scaling up 3D printing to the scale of building,” says Khoshnevis, who labels the technology “Contour Crafting.”

Rendering of Contour Crafting technology being used to build a home

The Contour Crafting system is essentially a robot that automates age-old building tools normally used by hand. Once a site is prepared, the contour crafter system would be laid down on two parallel rails just beyond the eventual width of the building. From there, the computer-controlled system would take over, laying down concrete in layers with a gantry-type crane and a hanging nozzle. Once the frame is built, construction workers would hang doors and insert windows.

Contour Crafting could potentially slash the cost of home construction. It could also be a major help in responding to housing crises related to emergencies like natural disasters, where thousands can be left without shelter. Khoshnevis is particularly hopeful that the technology could be used to improve housing for the nearly one billion people across the globe currently living in slum conditions.

3D printing could reduce the labor required for building construction

It seems that it will only be a matter of time as to when 3D printing will begin to make a major impact in building construction. As Khoshnevis points out, “if you look around you pretty much everything is made automatically these days – your shoes, your clothes, home appliances, your car. The only thing that is still built by hand are these buildings.”

 

Green Building, Housing, Real Estate Programs, Residential Real Estate, Think Outside The Box, UST Program News

House Benefitting UST Real Estate Programs Featured in Spring 2014 Parade of Homes

The house constructed to benefit UST Real Estate Programs will be one stop on the 2014 Spring Parade of Homes tour.  The two-story home, located at 6443 McCauley Terrace in Edina, includes MN Green Path Energy Efficient features.  Other showcases include a sports court, third-floor loft, media room, owners’ suite, junior suite, five bedrooms and six baths. The home is nestled on a quiet, wooded cul-de-sac on Arrowhead Lake.

6443 McCauley Terrace, Edina

6443 McCauley Terrace, Edina

The general contractor on the project is JMS Custom Homes who is also a major sponsor, donating its services to complete the home on time and on budget. Many other donors and sponsors have donated to the project both with in-kind gifts and building materials, including members of UST’s Real Estate Advisory Board. Sponsors to date include Crown Bank, Edina Realty, JMS Custom Homes, Marvin Windows and Doors, Shenehon Company, Alexander Design Group, Metropolitan Pipe and Supply, Outdoor Designs, Builders Association of the Twin Cities, Kraus Anderson, Barton Sand and Gravel, Cemstone, Muska Lighting, Regalwood Cabinets, Veit, Warners Stellian, and Ziegler.

Additionally, two UST undergraduate real estate students are working as interns with JMS Custom Homes during the construction and sale of a single-family home. These students
are receiving valuable experience overseeing the homebuilding process from start to finish.

The list price of the home is $1,695,000. The difference between the sale price of the home and the cost to build the home will be donated to support scholarships for St. Thomas students enrolled in the university’s real estate degree programs.

Custom Kitchen

Custom Kitchen

The Spring 2014 Parade of Homes is open March 1-30, Thursdays through Sundays noon to 6pm and The Remodelers Showcase is open March 28 from 1 to 7pm and March 29-30 from noon to 6pm. For more information, visit the Parade of Homes site.

Affordable Housing, Architecture & Design, Development, Economics, Home Prices, Housing, Housing Trends, Industry News, Multifamily, Real Estate Trends, Residential Real Estate, Think Outside The Box

Micro Apartments Yield A Big Boom in the Small Space Sector

microapt2

The following commentary by Ori Klein was reposted from DSNews. Micro Apartments are becoming more popular in cities where land prices are very high near the most desirable locations.  How long until this trend arrives in Minneapolis / St. Paul? Don’t be supprised to see a development like this before long in the Uptown or downtown Minneapolis submarkets.       -Editor

Ever since the economy took a hit in 2008, downsizing has been a top priority for many homeowners and renters. The McMansion is out; low-maintenance living is in.

You can see it in traditional listings as well as on the real estate auction block—for the past several years, capacious luxury mansions have been sold via auction due to previously languishing on standard real estate listings; this continues to be a popular method of sale for owners looking to liquidate these mammoth estates (just ask Michael Jordan). With finances still in flux for most Americans, cutting back on monthly costs of maintaining a home or apartment is essential. Enter the micro apartment—the latest trend in economical living space.

Being scooped up by young urban singles, service workers, recent grads, and retirees on a fixed income, the micro apartment is the epitome of the downsize. Typically weighing in between 200 and 350 square feet (at most), these units often include private bathrooms and modern building amenities, yet require sharing a kitchen and patio with other micro dwellers. Many consider this a small sacrifice due to the clever space-saving floor plan that offers such furnishings as a dining room table which transforms into a bed, as well as a host of built-in shelves for storage. Bundle that with Internet access and an optimal location near city hot spots and transportation, and micros can be the ideal home for some. Micro apartments have become favored dwellings in leading metropolitan areas such as New York, Boston, San Francisco, and Seattle.

microapt1USA Today recently covered this real estate sector uptick, reporting, “Though tiny has long been typical in Manhattan, mini-apartments are popping up in more U.S. cities where land is finite, downtowns have regained cachet, and rents have risen. In a digital age when library-sized book collections can be kept on a hand-held device, more Americans see downsizing as not only feasible but also economical and eco-friendly. . . . Developers say they can’t build micro-housing fast enough.”

Seattle, in particular, is leading the way with micros, where this style of living is exceptionally popular for young singles who want to reside within city limits. Jim Potter, founder of Footprint Investments and chairperson of Kauri Investments, a real estate investment and development company, has already completed six buildings with 40 to 60 micro apartments each in Seattle and is in the process of developing similar buildings this year in Portland, Oregon, and Jersey City.microapt3

“We don’t do any advertising, and we’re 100 percent occupied all the time,” Potter said. “It is a national phenomenon and Seattle is ahead of the pack. . . . Nobody else is producing something at this moderately priced range. You get a brand new building with a new bathroom. You get Internet access and it’s fully furnished. In general, our buildings are on major bus lines and/or light rail.”

Seattle may be ahead in the micro-space now, but it may not be for long. Despite a blanket 400 square-foot requirement on all apartments in New York City, the Big Apple is also entering the micro arena.

“Last year [Mayor Michael] Bloomberg, along with the Department of Housing Preservation and Development Commissioner, Mathew M. Wambua, launched the adAPT NYC Competition, a pilot program to develop a rental building composed of micro-units,” AOL Real Estate reports. “The winner of the competition proposed 55 units ranging from 250 to 370 square feet (23 to 34 square meters), made of prefab modules. The building is scheduled for completion in Manhattan by September 2015, and will include a rooftop garden, lounges, a deck, laundry, bike storage, a cafe, and fitness room.”

San Francisco and Boston are getting in on the micro action as well, where these “aPodments,” “micro lofts,” or “metro suites,” as they are often called, are being sought after by service workers who want close proximity to their jobs, as well as techies who consider utilizing a micro as a second home for late nights in the city. The economical rent is the greatest draw.

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Architecture & Design, Commercial Real Estate, Development, Economics, Investment Real Estate, Office Real Estate, Property Management, Real Estate Trends, Think Outside The Box

Changing Office Trends Hold Major Implications for Future Office Demand

Office TrendPioneered by Tech Firms in California, Communal Workspace Model Becoming More Mainstream Among Big Office Firms

 The article below is reposted from CoStar. It was written earlier this year but I believe that it is still very relevant. There is a major change underway in how office space users are looking at their future office space needs and the utilization of their esisting office space.  This is a long term trend that is going to have a significant impact on office space owners, users, and investors.      – Herb Tousley, Director of Real Estate Programs, University of St. Thomas

 

By Mark Heschmeyer

 
Perhaps just as the inevitable disappearance of music, video and books stores should have been foreseen at the onset of a digitized connected world, so too should the commercial real estate industry start taking a hard look at changes occurring in the office market.Tenants are downsizing their offices, particularly larger public firms, as they increasingly adopt policies for sharing non-dedicated offices and implement technology to support their employees’ ability to work anywhere and anytime, according to Norm G. Miller, PhD, a professor at the University of San Diego, Burnham-Moores, Center for Real Estate, in a webinar he presented to CoStar subscribers last week.Miller said he put together the webinar to examine what would happen if office tenants used 20% less of the nation’s current office space, which has a total valuation of $1.25 trillion. That decrease in demand would represent $250 billion in excess office capacity. Although the current situation is not that dire, Miller said the trend is real, and he presented how it is currently playing out and the long-term implications for office building owners and investors.Following the webinar, CoStar News interviewed Dr. Miller for a more in-depth discussion of the topic and surveyed a wide sample of webinar participants to share their firsthand account of the ongoing trend and its implications.
 
According to Miller, four major trends are impacting the office market:
* Move to more standardized work space.
* Non-dedicated office space (sharing), along with more on-site amenities.
* Growing acceptance, even encouragement of telecommuting and working in third places, and
* More collaborative work spaces and functional project teams.
 
“Historically, under the old corporate hierarchy, everyone had their own assigned office or work desk and we saw utilization rates of 50% or so,” Miller said. “Firms that have moved to sharing space are seeing much more efficient utilization rates of 80% to 95%, sometimes using conference space seats to handle unexpected overflow. Some also have arrangements with temporary office space vendors like Liquid Space, Regus, HQ, Instant Space, as well as supporting employees working from home or third places.”“The average amount of leased space (per employee) has been shrinking,” he said. “As of mid-2012 the average was 185 square feet per worker, well below the average space assumption in most office-demand models, and well below figures 10 years ago.”There have definitely been changes in office demand, agreed Tim Wang, director and head of investment research for investor Clarion Partners in New York. “Ten years ago, 250 square feet per office employee was the gold standard in office real estate. Today, that average has dropped to approximately 195 square feet. While some office tenants are hesitating to commit to large leases primarily due to economic uncertainties, the long-term trend is clearly shifting towards efficient space usage.” Brian J. Parthum, who tracks employment and economic trends for Southeast Michigan Council of Governments (SEMCOG) in Detroit, said his group is a case in point. “Our own organization recently moved into a smaller space,” Parthum said. “Efficient office design has allowed us to rent 7,000 square feet less space — down from 34,000 square feet — and at a lower rate. Additionally, we now have an office that is more attractive to the next generation of staff. The new space takes advantage of natural light, promotes face-to-face contact, and utilizes laptops, wireless technology, and mobile devices to allow for a more flexible work environment.”“Technology is allowing companies to be more paperless and work from a single laptop or device,” agreed Jason Lewis, president and managing broker of EcoSpace Inc. a brokerage firm in Denver that specializes in working with tenants to find sustainable workplaces. “Culturally the new generation of employees is requiring a more flexible and open environment. And in regards to the economics, there is the need for both startups and corporations to lower their burn rate and conserve cash, something that can easily be done by restructuring the way they view their office space,” Lewis said.For now, at least, the trend is more prevalent among large corporate office users with locations in multiple cities. John G. Osborne, executive director, leasing and marketing at Bergman Real Estate Group in Iselin, NJ, said also that the trend to shared office space is more prevalent among larger publically traded companies than smaller firms. “The majority of our smaller tenants, those that lease less than 5,000 square feet, still prefer private offices than an open plan,” Osborne said. “The majority of our smaller tenants, those that lease less than 5,000 square feet, still prefer private offices than an open plan,” noted John G. Osborne, executive director, leasing and marketing at Bergman Real Estate Group in Iselin, N.J.For many office-using firms, the Great Recession made downsizing a greater imperative. Occupancy rates dropped across the country as employers downsized staff and sought efficiencies through lower square foot per employee footprints. “Everything we’ve seen since 2006 and 2008 could be called the ‘Great Deleveraging,’” said Wilson Greenlaw, vice president of Thalhimer in Fredericksburg, VA. “Companies were removing fluff and eventually someone got around to looking at space utilization. Now that it is on the table, it will be maximized and implemented, resulting in a cultural shift for the office worker.”“Some of it is economic,” agreed Miller. “That is, companies realized they could save money by minimizing excess space. But I believe the single biggest factor driving this trend is technology. Now that we have moved to cloud-based file storage and can access our work from anywhere and it can be easily shared, workers no longer have to be tethered to an office to be productive. Technology is very much at the heart of this transformation.”Follow this link to read the rest of the article:  http://www.costar.com/News/Article/Changing-Office-Trends-Hold-Major-Implications-for-Future-Office-Demand/146580 

Housing, Residential Real Estate, Think Outside The Box, Twin Cities Real Estate, Uncategorized, UST Program News, UST Real Estate in the News

Construction Moves Forward on House to Benefit UST Real Estate Programs

Contractors are taking advantage of the good weather and are making good progress on the construction of the house that is being built to be sold with excess funds going to benefit the Real Estate Programs at the University of St. Thomas.

Workers were busy last week setting the trusses on the UST Real Estate House located at 6443 McCauly Terrace in Edina. Construction began in mid-October when crews excavated the basement and began pouring the foundation and the basement walls. Framing is expected to be completed next week. The house will be completed in mid-February just in time for the R E House 1house to be featured in the 2014 spring Parade of Homes. The general contractor on the project is JMS Custom Homes who is also a major sponsor, donating its services to make sure the house is completed on budget and on time. Building the house to benefit the Real Estate Programs at the University of St Thomas was a concept that was proposed and adopted by the UST Real Estate Advisory Board (REAB) as a major fundraising initiative. The idea behind the project was to solicit the donation of cash and/or building materials that will be used to build the house at a greatly reduced cost basis. The subcontractors are providing services and/or materials for the project at no cost, or at reduced cost, to help reduce the cost of construction. Many of the members of the Advisory Board have made donations towards the project or used their connections to locate other donors.   The difference between the sale price of the home and the cost to build the home will be donated to St. Thomas to support scholarships for St. Thomas students enrolled in the university’s real estate degree programs.

 

R E House 3a

The project will also provide hands-on experience for St. Thomas students. Two UST undergrad real estate majors are working as interns with JMS Custom Homes during the construction and sale of a single-family home. These students are getting valuable experience as they work throughout the permitting and construction process from start to finish.

 

UST House Rendering

Sponsors to date include; Crown Bank, Edina Realty, JMS Custom Homes, Marvin Windows and Doors, Shenehon Company, Alexander Design Group, Metropolitan Pipe and Supply, Outdoor Designs, Builders Association of the Twin Cities, Kraus Anderson, Barton Sand and Gravel, Cemstone, Muska Lighting, Regalwood Cabinets, Veit, Warners Stellian, and Ziegler.