Monthly Archives: June 2012
Source: Colliers International
Eighty-six percent of senior executives interviewed for a Center for Creative Leadership (CCL)® study believe it is extremely important for them to work effectively across boundaries, yet only seven percent believe they are currently successful at doing so.
Real estate is a key operational business area, instrumental in improving global and regional business performance. In the fall of 2011, Colliers International surveyed its global Corporate Solutions clients about the challenges CRE executives face in managing their real estate organizations, processes and portfolios, across the five types of boundary described by the CCL.
View a copy of the white paper here.
“Our Corporate Solutions Group here in Pittsburgh has all of the tools necessary to help our clients realize tremendous savings and efficiency in their multi-city portfolios,” said Gregg Broujos, Managing Director and Founding Principal at Colliers International | Pittsburgh.
“The White Paper prepared by Colliers International’s Corporate Solutions Group is one more example of the extreme high level of real estate knowledge and experience that Colliers International can bring to corporations throughout the world,” adds Patrick Sentner SIOR, Founding Principal at Colliers International | Pittsburgh.
Colliers International | Pittsburgh is pleased to announce Luke Hingson, Associate at Colliers International | Pittsburgh, has earned a Master of Real Estate Development (MRED) degree from Georgetown University, where he completed his thesis on Public and Private Partnerships and their impact on urban redevelopment.
“Luke’s sabbatical at Georgetown represents two important achievements for our firm; Luke accelerated his success in the industry, and our clients are in a better position to grow their investment portfolios through Luke’s new contacts and educational experience,” said Gregg Broujos, managing director and founding principal at Colliers International | Pittsburgh.
Green redevelopment in downtown Pittsburgh is growing. The Pittsburgh Business Times has reported that the former Civic Arena 28-acre site is poised to become a mixed-use “live-work-play community” that includes 1,200 units of housing, 600,000 square feet of office space and 250,000 square feet of retail space. As the developer, the Penguins plan to pursue LEED For Neighborhood Development certification. LEED stands for Leadership in Energy and Environmental Design, an internationally recognized green building certification system providing third party verification that a building or community was designed and built using strategies aimed at energy savings, water efficiency, atmospheric protection, indoor air quality and stewardship of materials and the environment in general.
Jones Lang LaSalle was selected by the Pittsburgh Penguins as its owner’s representative to help lead the redevelopment of the Civic Arena site. J.C. Pelusi, Jones Lang Lasalle’s market director for the Pittsburgh region, told Commercial Property Executive that there are few examples of such a sizable parcel in a major city setting and noted that the proposed mix of uses is tentative. The eventual configuration, over a buildout period of probably five to 10 years, he said, will be shaped by how the market evolves over that time.
Completed in 1961, the Civic Arena, later known as Mellon Arena, was the Penguins’ home from 1967 through 2010, when the team, and the arena’s other users, moved across the street to CONSOL Energy Center. Nicknamed “The Igloo,” the arena reportedly was the first of its size in the world to boast a retractable roof. Demolition began last September and was recently finished.
“While one may or may not agree with the decision to raze the Mellon Arena, redevelopment of the site represents a truly rare opportunity for Pittsburgh to show the world, on a grand scale, its commitment to sustainable design and development,” said Raymond Orowetz P.E., LEED Green Associate, Associate Broker at Colliers International Pittsburgh.
Sources: Q1 2012 Pittsburgh Industrial Market Report Highlights; CoStar
There is no corresponding amount of good or bad news for the Pittsburgh industrial market, which has remained strong and steady during an uncertain US economy. The biggest challenge our region faces is inventory. This can be favorable during harsh economic times, or frustrating in a healthy economy. In comparison to other nearby markets to the East and West, Pittsburgh’s aging warehouses often lack modern amenities, very few industrial options are new, and there is a shortage of pad ready sites as well as quality bulk space, in terms of 200,000 SF or greater. As Pittsburgh’s available industrial inventory continues to shrink, additional spec development and build-to-suit activity is necessary to satisfy the increasing demand for space, or we risk opportunity loss as projects move to other markets.
Pittsburgh is positioned between recovery and expansion in the industrial market cycle and typically focuses on space segments that range from 10,000 – 30,000 SF, 30,000 – 60,000 SF and 60,000 SF+. While Pittsburgh has weathered the economic storm and our vacancy rate is healthy, the real story is that there is a need for additional well-located Class A inventory. At a time of growing demand, a lack of new supply and little construction, there is a dwindling number of Class A industrial buildings of more than 100,000 square feet available.
“Colliers International | Pittsburgh is extremely bullish on the Pittsburgh industrial market,” said John Bilyak SIOR, CCIM, Principal at Colliers International | Pittsburgh. “The market drivers, which include the energy, technology, education and medical communities, are sustainable and are not going anywhere. Pittsburgh has completely transitioned from the heavy manufacturing of our roots and emerged as a modern value added manufacturing and technology leader.”