I was at a surprise birthday party last night and the initial buzz at the table was our wives discussing the closing of the Sam's Stores and how it affected their shopping habits (of course they were pretty excited when some of them learned that Sam's was having a 25% off everything sale!).
Sams' says it's managing their real estate for their ever-transforming business. Of course part of their "transforming business" is the relationship between Walmart & Sam's. Walmart has successfully increased its online presence and is making great strides in E-Commerce. Could it be that their Sam's Clubs are more profitable now as "last-mile facilities" than they are as clubs??
Industrial is the new retail!
See attached CoStar article: Sams Club Abruptly Closes 63 Stores
CBIA held its Economic Summit yesterday morning. Great networking, good content. Not much surprising news. Same concerns about the CT economy. I am the first person to be critical of the State of CT (and thankful we spread our wings to do business outside the state a number of years ago) but I thought to myself while listening to the, at best, tempered view of 2018. We have been on tour the last three days for two 100,000,000 SF-125,000 SF requirements...In the last 2 weeks North Haven just signed a 130,000 SF chemical company lease and Bristol just signed a 200,000 SF manufacturing lease. It can't be all that bad!
Nice to listen to Chris Swift, the CEO of The Hartford, with a thoughtful, balanced view of our region!
2017 is going out in a deep freeze in Southern New England! Hope we don't say the same about our economy! I don't think we will. Our markets are still showing incredible resilience.
For those of you who want some light (and quick) reading on what to expect in 2018, see the link below. This is an overview of 2018 as published in the Hartford Business Journal this past Friday.
Realty inventory shortages, pickier tenants will drive 2018
Wishing you all a very happy and safe New Year. Thanks to all of you for your support throughout the years! It is a very much appreciated. We look forward to continuing to work with our clients, our colleagues and our community to create a successful 2018 for all.
Keeping it simple on this post. Everyone has heard about robotics and
how robots are affecting our warehouses. See link below for just what that
looks like. This is a clip of an Alibaba warehouse. Amazing! (and yes,
Alibaba Warehouse Robotics
There have been a number of questions in the commercial real estate circles asking if we will see cryptocurrencies (digital currency - what most of us call Bitcoin) used as a form of payment in the commercial real estate industry. Much of the opinions have been "yes, but not now". According to this article in today's Wall Street Journal, the answer is actually, "yes, in fact they are using it as we speak"! Limited...but being used nonetheless. Payment of rent, purchase of property. States beginning to use blockchain technology.
Interesting quick read! See attached WSJ article: Bitcoin is Creeping Into Real Estate Deals