The Weekly Take from CBRE

Retail’s recovery is real—and the best centers are winning through reinvention. Macerich CEO Jackson Hsieh and CBRE Retail Services Lead Todd Caruso discuss what it takes to create premier destinations today: complementary tenant mix, compelling anchors and using experience + technology to drive traffic and performance. · Retail underwriting now hinges on a small set of KPIs that illuminate performance. · Trade‑area analytics help focus capital on the right assets. · Anchor tenant strategies and discipline about occupier selection translate into pricing power. · Mobile data helps property owners maximize asset performance. · Leasing velocity drives NOI growth.

More debt capital is available for commercial real estate investment. CBRE Investment Management’s Ty Gerschick and CBRE’s Tom Burns break down what’s happening across today’s debt markets, how borrowers can navigate a more competitive lending landscape and what capital availability means for real estate investment across property types and investment strategies. · The return of banks—particularly regional banks—has expanded financing options and increased competition across the financing landscape. · Higher‑for‑longer interest rates are shifting investor focus toward operational performance and sustainable cash flow rather than exit‑driven returns. · Lenders are underwriting selectively, with scrutiny of debt coverage, leverage, and asset fundamentals. · Capital is flowing back into debt funds, CMBS and preferred equity, though competition remains intense.

Retail real estate has emerged as an increasingly attractive asset class. LBX Investment’s Phil Block and CBRE’s Chris DeCouflé discuss the strategies driving today's returns and where the smart money is headed. * Operational intensity is unlocking significant value. * Adding multifamily or event spaces to traditional retail can enhance investment returns. * Mispriced risk in retail presents opportunities for value-add and core strategies. * Incorporating grocers strategically can boost open-air center value. * Technology and data are crucial for underwriting retail real estate investments.

How did the largest office-to-residential conversion come about? Brian Steinwurtzel of GFP Real Estate offers an inside look at how lower Manhattan’s 25 Water Street, a struggling office tower that was transformed into more than 1,300 apartments. He discusses what this landmark project signals for urban resilience. · The right acquisition price and bold design and amenity choices can turn challenged office assets into world‑class residential properties. · Tax incentives can often be the deciding factor in whether a conversion is viable. · Fast execution is essential for controlling risks and costs in today’s market. · Office-to-residential conversions are highly bespoke, where building bones matter more than any rule-of-thumb formula. · Great residential conversions are redefining downtowns, but their future hinges on policy, pricing and how the next market cycle unfolds.

Two of the parking industry’s most influential leaders— LAZ Parking’s Alan Lazowski and Parkway Corporation’s Rob Zuritzky—explore parking’s role as critical infrastructure, a cash-flow-generating asset and a platform for EVs, autonomous vehicles and urban mobility innovation. * Parking is vital urban infrastructure, supporting economic growth. * Technology, like EV charging, revolutionizes parking operations. * Parking assets can deliver stable cash flow and attractive investment returns. * Parking structures of the future will become essential urban mobility hubs.

On this episode, we feature a wide-ranging discussion with Henry Chin, CBRE’s Global Head of Research—recorded at CBRE’s annual Capital Markets Symposium—where we explore global capital flows, the forces shaping investment strategies and why 2026 may be a compelling vintage for real estate investment. * 2026 offers prime investment opportunities in U.S. real estate. * Income growth, not cap rates, will drive future real estate returns. * Value-add industrial assets with access to power are positioned for strong returns. * Amenity-rich, well-located office space should continue to outperform. * Rekindled global capital inflows could boost U.S. real estate transaction volume.

Link Logistics’ Luke Petherbridge and CBRE’s John Morris dissect the powerful forces shaping industrial & logistics real estate. They explore continued e-commerce acceleration, the transformative impact of AI, driverless trucks, evolving supply chains, changing warehouse standards and much more. * Industrial real estate had its second-best leasing year ever in 2025. * New demand is being spurred by e-commerce and reindustrialization. * Prime industrial sites are being developed for data center use, contributing to a scarcity of modern warehouse facilities. * AI and automation transform operational efficiency and future warehouse design. * Driverless trucks will eventually alter supply chain networks and spatial economics.

Portugal has become an unexpected real estate powerhouse in Europe. Arrow Global’s John Calvao and CBRE's Francisco Horta e Costa discuss the revival of Portugal’s economy, surging investment in hospitality, logistics, data centers and student housing, the resilient Lisbon and Porto office markets and ways to address a chronic housing shortage. * Portugal's economic turnaround has fueled robust real estate opportunities. * Hospitality and logistics lead growth, attracting global capital. * Emerging sectors like data centers and student housing are seeing outsized growth. * Multifamily housing faces persistent supply challenges. * The Lisbon and Porto office markets are exhibiting strong performance.

AI’s massive investment surge is reshaping commercial real estate. Chemonics' Victoria Slivkoff and CBRE's Colin Yasukochi discuss AI's influence on tech talent and its role in revitalizing key office markets and driving physical infrastructure needs. * AI drives massive investment into data centers and physical infrastructure. * San Francisco's office market is experiencing an AI-driven turnaround. * The AI revolution is creating specialized talent hubs and increasing demand for sustainable energy. * AI will boost productivity and necessitate workforce adaptation.

Raleigh has long been one of the best-performing secondary markets. Its arena district is poised to be the next engine in its growth. Carolina Hurricanes CEO Brian Fork and Greater Raleigh Chamber CEO Adrienne Cole discuss how the Lenovo Center anchors a mixed-use redevelopment on state-owned land—structured through a complex public-private partnership. Public-Private Partnerships: The Lenovo Center anchors an 80-acre, 15-year, $1 billion arena-district redevelopment via a public-private/ground-lease structure. Talent, Talent, Talent: Raleigh’s three tier-one research universities and multi-node job base keep attracting talent, companies and capital. By the Numbers: Strong population growth (2.2 million to 2.6 million by 2027) plus low cost-of-living (around 3% below national average) signal opportunity for investors. Local Color: Lenovo Center preserves a tailgating culture while adding retail, restaurants, structured parking and year-round activation.

Food halls are no longer just a trend—they are a high-impact amenity for improving a property’s dwell time, leasing velocity and NOI. Recorded at Central Perk in Times Square, a quartet of experts from Colicchio Consulting and CBRE explain how the best food halls prioritize operations and programming, new beverage and evening strategies, the lowdown on operator selection and deal structures that offer better risk-sharing and returns. - Food halls aren’t food courts: Independent concepts + community + beverage drive performance. - Hybrid work has changed the operating model: Fewer office days demand longer-hour, programming-led models. - Conversions can happen everywhere: Converting buildings to their highest and best use can work for both offices and food halls, especially in suburban markets. - Alignment between operators and landlords: Vendor stall flexibility and percentage-rent leases can benefit operators and investors. - Market snapshot: Colicchio Consulting believes the sweet spot of sizing is around 10,000–15,000 sq. ft. with average buildout costs around $400/sq. ft., depending on the market.

AI is reshaping the business landscape, including commercial real estate. Data scientist and author Sandy Pentland and CBRE’s Sandeep Davé discuss how the intersection of emerging technologies and human insight is driving better decision-making for investors, occupiers and building operators. Commercial Real Estate & AI:People and Technology:Data Quality:Productivity:Long-term Outlook:

Recorded at the CBRE Women’s Network Power of WE conference, this episode offers a rapid-fire, insights-rich tour of major U.S. commercial real estate markets. Our subject-matter experts provide inside views of how different regions are navigating supply, demand and economic forces—from industrial and logistics to multifamily, office and retail—and insights on where investors and occupiers may find value in 2026. National CRE outlookIndustrial dynamics in Southern CaliforniaSector trendsMultifamily performance across gateways, the Sun Belt and the MidwestEmerging and opportunity markets

PwC’s Karl Russo and CBRE’s Henry Chin share their outlook for the U.S. economy and commercial real estate in 2026, exploring opportunities and risks to growth. Key Takeaways:

Alex Mehran Jr., CEO of a third-generation family developer, walks us through the transformation of Bishop Ranch—a master-planned community in San Ramon, CA. Mehran shares valuable lessons on reinventing a suburban office park into a vibrant, mixed-use destination.

Alison Fragale, author of the provactively titled “Likeable Bad Ass," breaks down the science of status—offering practical advice on how leaders can use warmth and competence to drive respect and gain greater influence. Key Takeaways: 1. Status—being respected and regarded—leads to influence, access to resources, and career advancement. 2. People judge quickly, and have high regard for those who are well-intentioned and competent. 3. Hard work needs to be seen to ensure effort is valued. 4. You can leverage “swing thoughts” to improve your career. [SI1] [SI1]Do not really understand this. Remind me what “swing thoughts” are

Wharton organizational psychologist and New York Times-bestselling author Adam Grant shares insights on making better business decisions, fostering innovation and how your personal "challenge network” can lead to superior products and delight your customers. 1. Encourage[SI1] Humor and Humility: They help maintain a flexible and open-minded approach, making it easier to rethink and adapt. 2. Have Pre-Mortems: Discuss as many potential failures as possible before launching. That way you can prevent or know how to handle problems when they occur. 3. Eschew Best Practices for Better Practices: “Best Practices” implies there’s only one right way, while seeking “Better Practices” encourages people to innovate and try new things. 4. Build a Challenge Network: Maintain a group of trusted critics who provide truly honest feedback to improve your decision-making. 5. Reward Speaking Truth to Power: Encourage employees to ask questions, suggest improvements and challenge outdated ideas. [SI1]Please run these by Adam

Jamie Hodari, CBRE's CEO of Building Operations & Experience, spotlights where he sees the biggest opportunity across commercial real estate: workplace experience. He discusses how a company’s space can attract tenants and enhance the employee experience, enriching people’s lives and increasing business effectiveness. Everything is operational real estate:AI and data utilization are no longer nice-to-haves:Markets are adapting to accommodate hybrid work models with flexible office usage:Finance institutions are catching up:Flight-to-quality is expanding:

J.P. Morgan Asset Management’s Josh Myerberg breaks down the 2026 real estate outlook, why quality assets and operational excellence matter, and where savvy investors are finding opportunity now. Don’t miss these timely insights from one of the industry’s top portfolio strategists.

Shorenstein CEO Brandon Shorenstein and CBRE’s Patrick Gildea discuss why the office market is poised for a comeback. Hear what they have to say about risk-adjusted returns, property conversions, the importance of workplace amenities and more. Key takeaways on office investing: Office market is recovering: Investment activity in the office sector is rebounding with more bidders and increased debt availability. Investment strategies have shifted: Investors are focused on cash flow and downside protection, with cash-on-cash yields reaching 8%–15%. Micro-market dynamics are key amid a flight to quality: Prime assets in live-work-play submarkets are outperforming, while obsolete buildings face demolition or conversion, reducing overall supply. Conversions are limited: Selective repositioning is critical, as only a small percentage of office buildings are structurally viable for residential or hotel conversions. Occupier priorities have changed: Tenants now prioritize wellness, sustainability and experiential amenities, driving demand for high-quality spaces.