In this commercial real estate related video, Dave Bragg of Green Street Advisors discusses the transportation revolution and its expected impacts on real estate. He provides a touch of added color through some real world examples and a few highlights of other disruptors that are key areas of focus for Green Street.
- Biggest disruptor of real estate revolution is transportation, the combination of ride hailing and driverless cars
- Less car ownership
- Less parking
- Easier, faster, cheaper commutes
- Major safety implications
- Real estate beneficiaries
- Self storage will not fare well
- Summit NJ subsidized uber rides in lieu of building a garage, implying
- Less garage space
- Less car ownership
- Industrial a beneficiary with e-commerce growth
- Low quality retail negatively affected as tech solves last mile problem
- Opportunities in retail with infill opportunities
- Compares Aventura and Bal Harbor malls as an example of long term effects, noting that Aventura’s excess land in form of parking lots stands to benefit more as land needed for parkign is reduced, freeing it up for infill opportunities
- Self storage will not fare well
- Also
- Believe online education will begin to affect student housing needs negatively
- AirBnB has not yet had a material effect on lodging