Charlotte September 2023 – Key Take Aways
Generative AI is a subset which focuses on generating new content, designs, and solutions to create outputs such as data, images, text, music videos and more. (Warren Tingen – Tingen Creative)
Nearly 40% of all global AI is in the United States. The industry is projected to garner $42 billion at the end of this year and will double that in 2026. AI infrastructure will drive the need for industrial real estate in locations that provide lower energy prices and land costs, such as the Carolinas. (Warren Tingen – Tingen Creative)
AI is simply a tool. It is not if, but when, we are going to manage and incorporate it to optimize our work. It will not take your job but someone who knows how to use it well will. (Warren Tingen – Tingen Creative)
When you generate content, you have to vet and refine it yourself using your own expertise, otherwise you run the risk of incorrect information, plagiarism and/or copyright infringement. (Warren Tingen – Tingen Creative)
AI, such as Youtube Summary with ChatGPT or Midjourney, can be customized to summarize and identify the target audience as well as provide suggestions as to who the individuals are that are best suited for receiving the material, making it easier and faster in understanding the messaging behind it. (Warren Tingen – Tingen Creative)
It has been a good week for industrial owners and developers. They’re making moves and getting deals done. (Joe Kinsey – CoStar Group)
Job growth continues to grow and outpace metrics like Atlanta with the addition of professional service jobs. (Chuck McShane – CoStar Group)
Charlotte and Raleigh both have the 3rd and 4th largest multifamily inventory expansions underway right now. Rents are already about 1% down year after year. Q2 outperformed in terms of demand, yet the 14% expansion of inventory coming online over the next two years will prevent any substantial rent growth, if not keep it negative for the next year or two. (Chuck McShane – CoStar Group)
Two large industrial projects are coming just north of Columbia and in Chester County. Housing people working on these projects will be quite a challenge. There simply isn’t enough, if any, places to. This is a potential opportunity for multifamily development or extended stay hotels. (Chuck McShane – CoStar Group)
Industrial supply chain third party logistics operators are leasing less because need is currently down. Industrial rents have held steady in Charlotte although industrial leasing is low. (Chuck McShane – CoStar Group)
The terms that the financial press was banning around were a hawkish pause and higher for longer. (Matthew Martin – Federal Reserve Bank of Richmond)
No real change in the inflation outlook, but the growth outlook will strengthen considerably, especially for this year, based on what’s happened and the projection from next year. The response to that on the policy rate is no change in what’s expected to happen this year. Markets are pricing in one more rate hike at least. (Matthew Martin – Federal Reserve Bank of Richmond)
A rolling recession has hit the commercial real estate sector. Single family and manufacturing are already going through it. (Matthew Martin – Federal Reserve Bank of Richmond)
All banks are being conservative because net interest margins are smaller, and lending is down and not as profitable. (Matthew Martin – Federal Reserve Bank of Richmond)
Due to slowdown, a client in Charleston handling multifamily and senior living development has funds available to anyone interested in collaborating in successful deals. Please reach out directly for more information. (Gates Grainger – Investors Title)
Contract cancellations are more common than ever and the reason for it has been difficult to pinpoint. However, buyer interest remains, and business continues as usual. (Gates Grainger – Investors Title)
Our coastal mindset isn’t necessarily the only mindset anymore. The plan is to buy everything and grow everything while there is opportunity. The real focus will be on the gaps between the Charlotte Metro and urban areas up to Durham/Raleigh. (Jill Ecuyer – Crossman & Company)
Nine years ago, Patagonia sought Charlotte real estate with the character that they felt represented the brand. They toured older buildings in the South End and the Third Ward with zero luck. They have returned to Charlotte with perfect timing. Their soon-to-be opened location is a 95-year-old brick building in South End’s historic Nebel Knitting Mill. (Jill Ecuyer – Crossman & Company)
Recent Comments