Tag Archives: High Tech Industry

Ohio Markets Commercial Real Estate News Brief: September 2017

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In the latest edition of our monthly news brief, JLL’s regional team curates the top commercial real estate industry articles impacting Ohio markets to keep you in-the-know.

Keep up with Spaces’ monthly recaps—subscribe today.

Columbus Radiates Tech Talent with Planned Addition of Facebook Data Center

The city of Columbus is boasting its plethora of tech talent again with the announcement of Facebook’s new $750 million data center coming to one of its most successful neighborhoods—New Albany. The new data center will be one of the biggest development project that Central Ohio has seen with 900,000 square feet of space between two buildings.

The data center is expected to bring nearly 100 jobs to the Columbus region—an area already rich with valuable tech talent. Columbus ranked in the top five markets for tech employment with rivaling numbers of computer programmers when compared to Sacramento or Austin. And, the city was recently named the top U.S. city for tech talent by a SmartAsset study.… Read More

Pittsburgh Market Commercial Real Estate News Brief: May 2017

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In the latest edition of our monthly news brief, JLL’s regional team curates the top commercial real estate industry articles impacting the Pittsburgh market to keep you in-the-know.

Keep up with Spaces’ monthly recaps—subscribe today.

Tech Companies Keep an Eye on Pittsburgh Market

Pittsburgh is already home to a number of tech giants like Google, Facebook and Uber. Now, Apple, which currently employs 1,275 people in the state, is considering expansion in its Pittsburgh locations.

It remains unclear whether the expansion would include the retail or corporate side; however, the company made big increases in its corporate office over the last few years. Upon arrival in 2001, the company employed just 10 people in its Three Crossings office. Today, it employs nearly 50, which includes mostly software engineers.

All the movement in the tech industry has had a significant, but positive impact on the city of Pittsburgh. According to a 2014 study, Pittsburgh ranked second in intergenerational upward mobility among large metro areas. This is largely due to the high number of tech, energy and robotics companies moving into the metro area.… Read More

Tech-Enablement: The New Driver of Office Design

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By: Dave MacDonald, Executive Vice President at JLLjll_tech-enabled-workspace

With ever increasing cloud adoption and demand for office flexibility, it’s no wonder that tenants have set their sights on tech-enabled workplaces. In fact, research has shown that a tech-enabled, cloud-computing workforce has higher levels of productivity and employee satisfaction.

Now more than ever, businesses nationwide are recognizing the benefits—and the need—for digital connectivity that extends well beyond their office layouts.

Closing the Gap in Tech Adoption

When you picture traditional office arrangements, you likely think cubicles, desktop computers with limited-to-no mobility, and separation between information technology (IT), architecture and design. But today, IT and audio/visual needs take up nearly 25% of the total build-out costs for offices, compared to just 7% ten years ago.… Read More

4 Trends Driving the Data Center Industry (and What It Means for Commercial Real Estate)

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By: Christian Beaudoin, Midwest Markets Research Director and Andy Cvengros, Associate Director of JLL’s Technology Practice Group JLL_Data Centers Image

Data center stocks experienced rapid, upward momentum throughout the early months of 2016, with an average gain of 19% during the first quarter and 50% in the second quarter.

What’s more, the cloud managed services market is forecasted to grow to more than $76 billion by 2021 globally (it’s currently at more than $35 billion!).

It’s clear that the future is bright for wholesale data centers. That said, providers must stay on the cutting edge to keep up with shifting sovereignty laws, high demand for cloud technology, and more sophisticated IT resource planning.

JLL’s newly released Data Center Outlook dives into the industry changes you should have on your radar. Read on to learn about how companies are adapting to the biggest data center trends.

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Commercial Real Estate News Brief: April 2015

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In the latest edition of our monthly news brief, JLL’s regional team curates the top industry articles to keep you in-the-know. In this month’s edition, Detroit combines auto and tech industries for resurgence, and JLL leads by example in best practices for corporate office space and capital planning.

Keep up with Spaces’ monthly recaps—subscribe to JLL Spaces today.

Detroit: No Longer Just the Motor City

JLL CRE News Brief

Detroit has always been known as the Motor City. But, as more and more young tech professionals flock to Detroit, the city’s identity evolves. Crain’s Detroit Business suggests that, in addition to automotive resurgence, the city is also becoming a national hub for technological innovation.
JLL research would agree, ranking Detroit among the top 34 high-tech markets in its latest High-Technology Office Outlook.

Luckily for Detroit, automotive technology is more sophisticated than ever before. In fact, companies like Google and Apple are developing autonomous cars. According to the article, “the auto industry has morphed into something very new, very different and very high tech.”

As Detroit’s tech industry grows, alongside an evolving auto industry, “Detroit is ready to drive itself to new levels of excellence and entrepreneurship on the brand-new road ahead,” according to Crain’s.

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Why Investors Look to Ohio for Industrial Real Estate (REPORTS)

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By: Robert Kramp, Senior Vice President and Director of Research, JLL, Midwest and Great Lakes Region

Ohio is a hot spot for industrial investors across the nation. In May 2014, a Minneapolis-based real estate investment group bought a $43 million, 767,000-square-foot portfolio in Northeast Ohio. Another example: A Chicago-based company purchased a 465,000-square-foot Columbus warehouse for $8.5 million in September.

The list of similar, out-of-state investors goes on. It’s more than a trend; Ohio has become an industrial hub. JLL research released three reports, spotlighting related activity in three of the nation’s most active cities—Cincinnati, Cleveland and Columbus.

Why Ohio?

  • The Heart of It All: Ohio is America’s heartland. When it comes to location, it has set up shop right on the nation’s metaphorical Main Street. With major airports, highways and rail lines intersecting throughout the state, Ohio is nationally and internationally accessible. Ohio’s transportation infrastructure is ideal for convenient and cost effective delivery.
  • Affordability: The Midwest, overall, dominates when it comes to cost-friendly living. A whopping five cities in Ohio made Forbes’ America’s Most Affordable Cities list, including Cincinnati and Columbus, as well as Dayton, Akron and Toledo. Housing affordability, cost-of-living index, and the methodology the Bureau of Labor Statistics uses for rankings of the Consumer Price Index were used to determine which cities made the cut.
  • Nurtures Business Success: From Cardinal Health and Google, to Kroger and The Limited Brands, many of America’s top Fortune 500 companies are already doing business in Ohio’s major cities.

In terms of industrial focus, three Ohio cities stand out among the rest, offering cost effective and opportunistic landscapes.

Cincinnati: Industrial and Logistics Hot Spot 

When it comes to local Fortune 500 companies (per million residents), Cincinnati beats out New York, Boston, Chicago and Los Angeles. Thanks to the low cost of business and favorable tax structure, Cincinnati’s environment is highly competitive, and therefore, has attracted both local and foreign investors. Currently, more than 50,000 Cincinnatians are employed by foreign-owned businesses.

Cincinnati_Cover

Over the past year, Cincinnati experienced increased commercial real estate activity from the e-commerce and manufacturing sectors. eBay is a key example, which recently pre-leased a 631,000-square-foot warehouse. Additional big-name manufacturing companies doing business in Cincinnati include GE and Proctor and Gamble.

  • More than 3 million square feet of space under construction.
  • 70% of space under construction is speculative.
  • More than 4 million square feet absorbed in 2014.

Check out JLL’s full report for more insight and statistics on Cincinnati’s emerging industrial scene.

Columbus-industiral

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Commercial Real Estate News Brief: October 2014

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Commercial real estate is a dynamic industry. Keep up with Spaces’ monthly recaps of the most valuable industry articles we’ve recently come across, focused on news in Ohio, Michigan and Pennsylvania.  

The Link Between Wellbeing and Green Office Design (REPORT) 

JLL CRE News BriefGreen, energy-efficient office space is more than a trend. In fact, research has shown that certain office design features can have great impact on employee health, happiness and productivity. A few of these features include thermal comfort, noise and acoustics, lighting, look and feel, and location.

Are you updating your space, or going green? Below are common office features that limit productivity and workplace satisfaction, reported by Fast Company.

  • Extreme office temperatures (either too hot or too cold);
  • Using more electric lighting than natural lighting;
  • Lack of exposure to plants and nature; and
  • Closed, non-collaborative workspaces.

For more information about the benefits of environmentally friendly office spaces, download JLL’s full report, compiled in partnership with the World Green Building Council: Health, wellbeing and productivity in offices: The next chapter for green building. Read More

Commercial Real Estate News Brief: September 2014

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Commercial real estate is a dynamic industry. Keep up with Spaces’ monthly recaps of the most valuable industry articles we’ve recently come across, focused on news in Ohio, Michigan and Pennsylvania.  

Commercial Crowdsourcing: Hotels Respond & Renovate JLL CRE News Brief

Good or bad, short-term or long-term, travelers are talking about their hotel experiences on forums and review websites. And, according to a recent article in The New York Times, hotels are finally listening.

Hotel brands are reading what travelers say about them — and their competitors — and planning their investments accordingly.” 

A recent example: When prepping for renovations, Omni Hotels and Resorts trolled reviews, specifically TripAdvisor, to see what their guests had to say. Why? Review and booking websites have more clout then ever before, and executives are taking interest in direct feedback when it comes to property investments.

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Commercial Real Estate News Brief: August 2014

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Commercial real estate is a dynamic industry. Keep up with Spaces’ monthly recaps of the most valuable industry articles we’ve recently come across, focused on news in Ohio, Michigan and Pennsylvania.  

CRE Gets Techy with Hightower 

JLL CRE News BriefIt’s no secret that the commercial real estate (CRE) industry has generally taken a more traditional approach to day-to-day business operations. According to a recent Forbes article, that’s about to change: “It’s time for commercial real estate to get the tech startup treatment, ready or not.”

Enter, Hightower—a tool used by brokers and owners to “manage almost all of the aspects of leasing their buildings,” says TechCrunch.  The Hightower command center makes it easy to track all activity around current negotiations or deals. Plus, there’s an app for on-the-go brokers too.

JLL currently uses Hightower with its clients, among other tech tools.

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Detroit and Pittsburgh Selected Among JLL’s Top High-Tech Hubs [REPORT]

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By: Robert Kramp, Vice President and Director of Research, JLL 

In the latest High-Technology Office Outlook, JLL researchers ranked the top 34 high-tech markets in the U.S. Researchers selected cities based on traditional metrics, such as wage growth, intellectual capital, and venture funding—as well as nontraditional metrics, like amenities.

It’s no surprise to see cities like Boston, New York, and Silicon Valley on the list. But, this year, JLL was able to uncover several new emerging tech frontiers—including Detroit.

What’s Happening in High-Tech?

The high-tech industry has played a starring role in the office recovery. Nearly 22 percent of the 65.4 million square feet currently under construction in the United States is in tech-focused markets. And, the industry continues to drive job creation. At the end of July, there were an astounding 3.3 million high-tech positions.

At the center of market recovery, the high-tech industry has—in the process—revolutionized the design of the modern office space. From JLL’s report: 

“Never before has an industry single-handedly shaped the way we work together and how we configure space more than the high-tech industry. This has had broad implications on location choice, investment strategies, and market performance.”

Location, in particular, is key for high-tech success. As companies compete for talent, they look beyond traditional real estate in the hopes of creating a certain lifestyle for employees. Surprisingly, popular high-tech markets aren’t always urban. JLL research found that most high-tech hubs offer a mix of urban and suburban qualities. The suburbs are not dead. In fact, the high-tech industry is bringing more opportunity to markets outside of downtown areas. (See page 14 of the report for details.)

With ongoing innovation, JLL expects the upturn in high-tech to continue throughout 2014.

Detroit & Pittsburgh Make the Cut 

In our region, both Detroit and Pittsburgh made JLL’s list of high-tech hubs. Detroit was given a market score of 28.5, while Pittsburgh was graded at 35.7. According to the report, “This score is not a ranking per se, but it does quantify market position relative to the others based on employment growth, high-tech office employment concentration, market dynamism, innovation, and investment trends.”

High-tech-features-and-amenities

When you think high-tech, you might not think Detroit. But, you’d be wrong.

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