Coldwell Banker Commercial at the Boca Beach Club

Last month I was honored to be invited to Boca Raton for an event for the Top 2% of Coldwell Banker Commercial agents internationally.  In addition to getting a jump start on warm weather in sunny Florida, I was able to connect with top agents and gain insight into new strategies other agents are using to help their clients in other markets.  We were joined by the corporate management team, including the Coldwell Banker CEO, Charlie Young and Dan Spiegel, the managing director of Coldwell Banker Commercial.  We learned about recent trends in commercial real estate, new tools to help clients sell properties, and many other ‘best practices’ in commercial real estate.

Dan Spiegel started at Coldwell Banker Commercial just a few months ago.  Not only is his name just two letters different from mine, but he is a very interesting person to talk to and he brings a wealth of knowledge to the job from his days working for both Colliers and Grubb & Ellis.  He shared five trends in commercial real estate which are important for buyers, landlords, investors, agents, and developers to consider when developing new projects or redeveloping existing spaces.

Some of these trends have been developing for a while, such as the shift that online companies have created with traditional Business to Business (B2B) models shifting to Business to Consumer (B2C) models.  With wholesalers selling directly to consumers, we see fewer retail outlets and higher demand for industrial space, as well as an increased importance of logistics and transportation for last-mile delivery.  Other trends were more novel, such as the ‘fracking of real estate’.  This phrase refers to how value in real estate is being extracted by a tenant leasing a space and not necessarily benefiting the landlord.  For example, when a co-working company such as WeWork leases an entire floor of a building and then leases memberships to individuals for office and desk space in order to receive a higher rent.  Or when a residence is leased on an annual basis, but the tenant rents it nightly on Airbnb.  This is a trend that property owners will need to address and decide what model fits their business and income goals.

The other trends Dan discussed were experiential, data analytics, and technology.  The idea of a cashier-less store where RFID stickers on merchandise track a consumer through a store and automatically charges their phone when they put items in their cart encompasses all three of these trends, but they are also important to examine on their own.  Both consumers and office workers are becoming more focused on the ‘experience’ of their environment. Shopping becomes combined with entertainment; eating may be in a food hall with games and a brewery.  Even the office experience includes a mix of private space, video conference rooms, shared space for collaborating, espresso bars, game areas, and work out facilities.  New office spaces need to account for these desired amenities.  The technological advances and data tracking are worthy of a whole separate blog.  They encompass anything from glass walls that go dark for privacy to driverless cars and car-sharing services reshaping traditional parking needs.

Our hosts made sure they left time for agents to relax which included events such as a catamaran sail in the ocean and dinner on a yacht in the Intercoastal Waterways.  As the meeting wound up, attendees put together a list of words to describe the core values of a Coldwell Banker Commercial agent.  I’m proud to be part of a great real estate company where the agents exemplify expertise, integrity, collaboration, professionalism, entrepreneurship, community, and knowledge.

– Dan Stiebel, CCIM