Bank of America confirms Dublin as location for EU hub

Even if the UK reverses and doesn’t Brexit, the genie is out of the bottle. While London may survive as Europe’s premier financial center in a no-Brexit scenario, it will be by a smaller margin and with more competition.
Frankfurt and Dublin will be more important as financial centers with or without Brexit. Paris will gain – especially as high-speed transportation links advance. Just as Wall Street now stretches coast-to-coast, the European financial industry will spread across Europe. And don’t forget, non-financial institutions are also important and also relocating. For a country with strict gun control, the Tories-led UK has amazingly managed to shoot itself in one foot with no-Brexit and both feet with Brexit.

Wall Street giant Bank of America Merrill Lynch has picked Dublin as the preferred location of its EU hub, joining a growing number of international financial groups to outline initial plans for how they plan to deal with the fallout from Brexit.

Speaking to The Irish Times in Dublin on Friday, group chief executive Brian Moynihan said this will result in the bank’s existing Irish subsidiary merging with its current most important EU banking unit, based in London.

It will also involve the group setting up an EU trading operation, or broker-dealer, in the Republic, which will require separate Central Bank approval, he said.

 

Source: Bank of America confirms Dublin as location for EU hub

WAN:: Timber tower by Team V Architecture

Timber tower by Team V Architecture

 

With construction due to start in the second half of 2017 HAUT is on track to become the world’s tallest timber tower The municipality of Amsterdam in the Netherlands has selected Team V Architecture with Lingotto, Nicole Maarsen, ARUP and brand partner NLE to develop a building that is a serious contender to become the tallest timber tower in the world.HAUT, will be a 21-storey wooden residential building by the Dutch River Amstel with construction work expected to start in the second half of 2017. HAUT promises to be a prototype of building in an innovative, sustainable and environmentally-friendly manner.

Source: WAN:: Timber tower by Team V Architecture

Manhattan Retail Market | Retail Vacancies NYC

These days, hardly a week goes by without a new report about struggling retailers and rising vacancies in Manhattan.

Average retail asking rents fell year over year in seven of the borough’s 12 main retail submarkets in the first quarter of 2016, according to Cushman & Wakefield. And several prime shopping districts now have availability rates well over 20 percent, while stretches on Bleecker Street and Broadway have become notorious for their empty storefronts.

These signs of trouble are coinciding with record spending by retail investors and the rise of the retail condo.

Investors have shelled out $25 billion on Manhattan retail properties since the beginning of 2011, according to data from Real Capital Analytics. And in recent years, buyers have been more willing to dig deeper into their wallets and accept higher per-square-foot prices — forcing them to find tenants willing to pay high rents to justify their purchases.

Since 2000, RCA’s database counts 24 Manhattan retail condo sales that were priced at $10,000 per square foot or more. All of them closed after July 2011 and 17 closed in 2014 and 2015.

“I don’t want to say it’s a bubble but it’s been constantly bid up for six years,” Lee & Associates Managing Principal Peter Braus told The Real Deal.

Consolo added that retail condo sales prices have gone into the “stratosphere” in recent years.

“It is clear that there were numbers that were far too aggressive and the market just couldn’t keep up,” she said.

While real estate insiders are reluctant to call it a retail bubble, many acknowledge that a correction is imminent.

Michael Weiser, president of commercial brokerage GFI Realty Services, said the best indicator of whether Manhattan’s retail market is weakening is vacancy.

Availability rates — which measure the amount of retail space that is vacant or will become available — rose in all but one of Manhattan’s main retail submarkets between the first quarters of 2015 and 2016, according to Cushman.

Among those neighborhoods, several stand out: On Fifth Avenue between 42nd and 49th streets, a staggering 31 percent of retail space was available for lease. Meanwhile, Soho clocked in with a 25 percent availability rate followed by Herald Square and the Meatpacking District (both at 22 percent), Times Square (20 percent) and Madison Avenue (17 percent).

Braus said that owners who paid a steep price for retail space are more reluctant to accept lower rents. “That’s one reason why you’re seeing a lot of vacancies in those neighborhoods,” he noted.As it happens, those six districts were also home to the bulk of the priciest Manhattan retail purchases in the last two and half years, accounting for 57 of the 73 sales priced at $100 million or more recorded by RCA since January 2014. (That excludes office properties with retail components.) They are also among the neighborhoods where asking rents saw the steepest rise over the past two years, the numbers from Cushman & Wakefield show.

Worth the time to read the entire article here:

Source: Manhattan Retail Market | Retail Vacancies NYC | Thor

Why Commercial Real Estate Is Next: ‘Challenging Technicals’ Are About To Become ‘Weak Fundamentals’ | Zero Hedge

There is a growing sense of tighter financial conditions, particularly to the commercial real estate sector. Late last year the regulators issued a joint statement on Prudent Risk Management for Commercial Real Estate Lending and the latest Senior Loan Officer Opinion Survey (SLOOS) shows that banks tightened their lending standards to commercial real estate meaningfully in 4Q15…. The growing sense of gathering clouds in terms of tightening financial conditions to commercial real estate translates into a more challenging road ahead for US commercial real estate.

Source: Why Commercial Real Estate Is Next: ‘Challenging Technicals’ Are About To Become ‘Weak Fundamentals’ | Zero Hedge

Sprawl costs US more than a trillion dollars a year | Better! Cities & Towns Online

Sprawl costs the American economy more than $1 trillion annually, according to a new study by the New Climate Economy. That’s more than $3,000 for every man, woman, and child.

These costs include greater spending on infrastructure, public service delivery and transportation. The study finds that Americans living in sprawled communities directly bear $625 billion in extra costs. In addition, all residents and businesses, regardless of where they are located, bear an extra $400 billion in external costs.

via Sprawl costs US more than a trillion dollars a year | Better! Cities & Towns Online.

NYC Recaptures Top Global Investment Market in Foreign Investor Survey – CoStar Group

The U.S. overwhelmingly remains the most popular place in the world among foreign commercial real estate investors to place capital, according to the 23rd annual survey among members of the Association of Foreign Investors in Real Estate (AFIRE).

New York City returned to its accustomed spot as the top global market for foreign investment in real estate after being briefly displaced in 2014 by London. With the exception of last year, New York has held the top rank both globally and among U.S. cities since 2010.

NYC Recaptures Top Global Investment Market in Foreign Investor Survey – CoStar Group.

Urban Life and a Microscopic Attention | Sustainable Cities Collective

Small-scale urban spaces can be rich in biodiversity, contribute important ecological benefits for human mental and physical health (McPhearson et al., 2013), and overall help to create more livable cities. Micro_urban spaces are the sandwich spaces between buildings, rooftops, walls, curbs, sidewalk cracks, and other small-scale urban spaces that exist in the fissures between linear infrastructure (e.g. roads, bridges, tunnels, rail lines) and our three dimensional gridded cities.

via Urban Life and a Microscopic Attention | Sustainable Cities Collective.