How Familiar Are You With The Top 5 Trillion Dollar Trends Transforming The CRE Landscape?
Our readers know that many careers in real estate require an audacious and entrepreneurial disposition, and are not for the faint of heart. Markets are prone to volatility, and the difference between success and failure hinges on one’s capacity for quickly recognizing and responding to trends. The advent of sophisticated real estate technologies has not only made many lives easier, but has also increased competition and the necessity of the ability to think on one’s feet. Now more than ever, real estate professionals have to anticipate and proactively manage change – and a sure foundation is a superior education like the one afforded students who pursue an MS in Real Estate and Infrastructure degree at the Johns Hopkins Carey Business School. How market proof is your career? Take this quiz to find out.
Which of the following asset classes, severely undersupplied globally, will require an infusion of $3.3T each year until 2030 to keep pace with projected growth?
YOU'RE CORRECT!
According to McKinsey, global infrastructure investment looks to be falling behind projected growth rates by 11%, or $350B. Surprisingly, just under half of the $3.3T global expenditure will be absorbed by developed countries. Eleven of the G20 economies have actually seen lower spending on infrastructure as a percentage of GDP since the ’08 recession, despite its urgent need. Lack of infrastructure checks growth and limits productivity. Are you up to speed on global infrastructure developments? If not, consider education through a program like the MS in Real Estate and Infrastructure at the Johns Hopkins Carey Business School.
YOU'RE WRONG!
According to McKinsey, global infrastructure investment looks to be falling behind projected growth rates by 11%, or $350B. Surprisingly, just under half of the $3.3T global expenditure will be absorbed by developed countries. Eleven of the G20 economies have actually seen lower spending on infrastructure as a percentage of GDP since the ’08 recession, despite its urgent need. Lack of infrastructure checks growth and limits productivity. Are you up to speed on global infrastructure developments? If not, consider education through a program like the MS in Real Estate and Infrastructure at the Johns Hopkins Carey Business School.
Which of the following inputs of property valuation will shift most dramatically over the next 10 years due to technological advances?
YOU'RE CORRECT!
There are as many as 2 billion parking spaces totaling 16,000 square miles in the U.S. alone, RCLCO reports. Innovations like driverless cars, which are seeing a tremendous influx of both public and private investment, along with the continued prominence of ridesharing services such as Uber, Lyft, and Zipcar, have the potential to reduce the need for parking. This imminent shift will upend the way that square footage is utilized and valued.
YOU'RE WRONG!
There are as many as 2 billion parking spaces totaling 16,000 square miles in the U.S. alone, reports RCLCO. Innovations like driverless cars, which are seeing a tremendous influx of both public and private investment, along with the continued prominence of ridesharing services such as Uber, Lyft, and Zipcar, have the potential to reduce the need for parking. This imminent shift will upend the way that square footage is utilized and valued.
By conservative measurements, roughly $1.3T in losses between 2004 and 2014 were produced by which phenomenon?
YOU'RE CORRECT!
Global climate change is responsible for these losses, specifically the “protection gap” in insurance coverage for climate change-related weather catastrophes. The Actuary picked up on two reports from ClimateWise, “Investing for Resilience” and the “ClimateWise Principles Independent Review 2016,” that show that this protection gap has quadrupled in the past three and a half decades, from $23B in the ‘80s to $100B today. The total economic impact of climate change has proven elusive to calculate, but one important component is underwriting. Research shows that only 30% of catastrophe losses are covered by insurance, leaving individuals, companies and governments to foot the remaining 70% of the bill for disaster recovery. Some speculate this widening gap will cause a sizable increase in property insurance costs in the near future.
YOU'RE WRONG!
Global climate change is responsible for these losses, specifically the “protection gap” in insurance coverage for climate change-related weather catastrophes. The Actuary picked up on two reports from ClimateWise, “Investing for Resilience” and the “ClimateWise Principles Independent Review 2016,” that show that this protection gap has quadrupled in the past three and a half decades, from $23B in the ‘80s to $100B today. The total economic impact of climate change has proven elusive to calculate, but one important component is underwriting. Research shows that only 30% of catastrophe losses are covered by insurance, leaving individuals, companies and governments to foot the remaining 70% of the bill for disaster recovery. Some speculate this widening gap will cause a sizable increase in property insurance costs in the near future.
Which of the following operating expenses is likely to be affected by “Internet of Things” connectivity in the coming years?
YOU'RE CORRECT!
IoT-connected HVAC and other devices have a profound impact on predictive equipment maintenance, utility efficiency and retrofitting requirements for capital improvements, The Air Conditioning, Heating and Refrigeration News reports. Still, the implications for creating economies of scale in property management are only beginning to be understood.
YOU'RE WRONG!
IoT-connected HVAC and other devices have a profound impact on predictive equipment maintenance, utility efficiency and retrofitting requirements for capital improvements, The Air Conditioning, Heating and Refrigeration News reports. Still, the implications for creating economies of scale in property management are only beginning to be understood.
Which of the following can doom a placemaking project?
YOU'RE CORRECT!
Placemaking, a multidisciplinary, forward-thinking approach to community development, seeks to maximize the utility of local assets and resources. It identifies residents’ needs, promotes the local culture and often emphasizes health and well-being. Because endeavors are typically large and complex, their success requires collaboration from a number of stakeholders and visionaries. Rather than waiting around to play catch-up with the rest of the market, consider market-proofing your career with an MS in Real Estate and Infrastructure from the Johns Hopkins Carey Business School.
YOU'RE WRONG!
Placemaking, a multidisciplinary, forward-thinking approach to community development, seeks to maximize the utility of local assets and resources. It identifies residents’ needs, promotes the local culture and often emphasizes health and well-being. Because endeavors are typically large and complex, their success requires collaboration from a number of stakeholders and visionaries. Rather than waiting around to play catch-up with the rest of the market, consider market-proofing your career with an MS in Real Estate and Infrastructure from the Johns Hopkins Carey Business School.
