How big is too big? That’s the question regarding the mega-merger deal of Brookdale Senior Living’s $2.8 billion purchase of Emeritus Corp.—a deal that will result in a firm spread out over 1,161 properties in 46 states.
The middle-income seniors population, which has grown during the recession and will continue to increase as the baby boomers age, may have a difficult time finding appropriate long-term-care facilities, as the seniors housing industry typically builds only affordable properties for the indigent or luxury housing for the affluent.
A lack of development since the start of the recession, along with exploding demand in both traditional primary markets and those led by energy and technology booms, have pushed demand for class-A space through the roof.
New logistics models are springing up to grab the same-day delivery market share, ranging from mega-distribution centers totaling 1.5 million sq. ft. to tiny delivery posts in urban areas that compete with the struggling local connections.
Eighteen U.S. firms were recently named to the Global 100, a stock index that ranks companies based on sustainable practices, a list that includes industrial powerhouse Prologis Inc. and other firms that use green concepts in their offices and manufacturing plants.
According to the Perspectives on Energy white paper put out this month by JLL, the industrial market’s adoption of natural gas, a cheaper alternative to gasoline fuel, should save enough capital to boost demand for manufacturing jobs and new distribution hubs throughout the country.
San Francisco-based DivcoWest, through its DivcoWest Fund IV, has purchased the 670,000-sq.-ft. One Kendall Square in Cambridge, Mass. for a reported $395 million to beef up its technology-based office holdings.