Although the peak of COVID has long passed, the impact of the pandemic lingers on in some economic sectors.
That was the focus of a panel discussion Wednesday at Tulsa Trends 2022 at Southern Hills Country Club. The conference was presented by NAIOP, the Oklahoma chapter of the Association for Commercial Real Estate Development.
“In ’18 and ’19, we were talking about that co-working space, and everybody would have those places to meet and gather,” said Cushman & Wakefield’s Jared Andresen, who provided a market update for the office segment. “Covid hit and everyone forgot how to say ‘collaborate.’ It doesn’t even come up anymore.
“It has had a great effect and we will continue to see it. (Office space) will be more efficient: smaller plates, less space and more comfort. Everyone is looking for that comfort that will attract and keep them.’
People are also reading…
NAIOP is the premier organization for office, industrial, retail and mixed-use real estate developers, owners and related professionals with more than 20,000 members in North America.
Andresen spoke on a conference call Wednesday with Legacy CP Advisers’ Ben Ganzkow (retail) and CBRE’s Kurt Giller (industrial) and Brian Donahue (multifamily).
“We went through that fire simulation in a way; We were forced with COVID,” Ganzkow said. “Now, short-term behaviors are becoming long-term behaviors where I can do a lot with this phone, with apps on my phone that make my life easier, more efficient, more convenient.
“Look at the way we buy food. I can do that from the comfort of my phone, throw everything in the online cart, pay, usually with a loyalty program, a rewards program, and go to a brick-and-mortar store, pull out in a pickup lane, and that’s it. unrelated That is a monumental change. It’s like when DVRs came out for TV. I don’t have to wait until 7 to catch my favorite show. I’ll just DVR it and watch it the next day.
Ganzkow said Tulsa’s retail market has recently been boosted by the announcement of Scheels, which plans to build a $132 million sporting goods store in the former Sears location at Woodland Hills Mall, as well as a new Costco under construction in northeast Tulsa. . USA 169
Retail trends are pointing to smaller store footprints and experiences that engage consumers’ five senses, he said.
The office sector, Andresen said, has been renewed with the recent openings of several office buildings in Tulsa, including the Vast Bank building, 222 North Detroit Avenue, 21 North Greenwood Avenue and Santa Fe Square (opening early next year).
“What we’re seeing is a real need for these larger companies to attract and retain employees,” Andresen said of the new Class A office space.
Tulasi Commerce Park, a pair of speculative Class A industrial buildings under construction west of Owasso, is among the highlights of the industrial market, Giller said. Built on 44 acres and scheduled for completion in the second quarter of 2023, the park will include a 231,130-square-foot rear-load building and a 453,486-square-foot outbuilding.
Nearby multifamily properties include The View (200 units) in downtown Tulsa and Redbud Ranch (309) in Broken Arrow.
“Investors still want multifamily; they are still multi-family fields,” Donahue said. “We need more stability in the debt markets to keep certain groups out.”