This story was originally published on Facilities Dive. To receive daily news and insights, subscribe to our free daily Facilities Dive newsletter. Colliers spent big last year on artificial intelligence to boost its professionals’ productivity as part of a multiyear plan to increase its competitiveness in all three of its business segments, CEO Jay Hennick said on the company’s fourth-quarter 2025 earnings call last week.  “Our CapEx this year around IT is bigger than it's ever been before in terms of ou ...

Core Viewpoint - The Oceanwide Plaza development, known as the Graffiti Towers, is moving closer to a potential sale following a bankruptcy exit agreement approved by a federal bankruptcy judge, resolving disputes among creditors [1][2]. Group 1: Bankruptcy and Legal Proceedings - The bankruptcy exit agreement aims to end "value-destructive litigation" and allows Oceanwide to focus on selling the project, which is a priority for the city, especially with the upcoming 2028 Olympic Games [2]. - The settlement resolves various legal battles among creditors regarding repayment order, claim amounts, and establishes a framework for a consensual chapter 11 plan and sale [4]. - Under the agreement, L.A. Downtown Investment LP will receive a claim of $230 million, while mechanics liens held by Lendlease (US) Construction Inc. and DTLA Funding LLC total $168 million [4]. Group 2: Project Details and Future Prospects - Oceanwide Plaza was initially envisioned as a significant mixed-use development, including over 500 condos, 180 hotel rooms, and nearly 170,000 square feet of retail space [6]. - The location is considered highly attractive, situated in the heart of Los Angeles' entertainment and sports district, which enhances its draw power [6]. - A potential investor is currently in discussions to acquire the property, contingent upon the resolution of the bankruptcy [3].

Core Insights - Colliers has appointed Ludovic Delaisse as the new CEO of Colliers France, effective January 23, 2026, as part of a leadership transition aimed at strengthening the company's position in France and EMEA [1][2] Group 1: Leadership Transition - Ludovic Delaisse succeeds Antoine Derville, who will remain as Chairman of Colliers France [2] - Delaisse has over 30 years of industry experience, including senior roles at JLL and Cushman & Wakefield, and has served as Managing Director since 2021 [2] - Antoine Derville emphasized the importance of continuity for clients during this transition and aims to accelerate cross-border opportunities in EMEA [4] Group 2: Strategic Focus - Davoud Amel-Azizpour, CEO of Colliers EMEA, highlighted Delaisse's expertise in transactional and advisory services as key to his appointment [3] - Delaisse expressed his commitment to delivering exceptional client outcomes and fostering an innovative environment for talent [3] - Under Derville's leadership, Colliers France has transformed significantly, enhancing its transactional expertise and reputation [3] Group 3: Company Overview - Colliers operates through three platforms: Real Estate Services, Engineering, and Investment Management, with a proven business model and a unique partnership philosophy [4] - The company has delivered approximately 20% compound annual returns for shareholders over the past 30 years, with annual revenues of $5.5 billion and $108 billion in assets under management [4]

Market Outlook & Trends - Five of the biggest commercial real estate companies are raising their outlooks for 2025, the first time all five have increased guidance since 2020 [1] - The commercial real estate cycle seems to be at the beginning of an upside, something not seen in about 3 years [2] - Investors are getting used to higher interest rates, leading to increased activity after a significant decrease [3] - Capital deployment pressure on funds created in the early 2020s is driving activity [4] - Office utilization is up, with a return to a new cadence of more people in the office than not, increasing both leasing and investment sales activity in the last 3 to 4 months [8][9] Interest Rates & Economic Factors - The 10-year Treasury rate is more important than the Fed funds rate for commercial real estate activity; a rate over 4% is considered more manageable than rates heading towards 45% to 5% [6] - The Fed chair's comments at Jackson Hole will influence confidence and activity in the overall economy [5][7] Office Sector Dynamics - Office supply has decreased over the last 4 to 5 years as demand decreased, leading to equilibrium and conversions from office to residential [10] - Conversions from office to residential are happening, especially in areas like lower Manhattan [10][11] Data Centers & Power Constraints - Access to power is creating a ceiling on data center development [11] - Hyperscalers are moving to secondary cities to find new locations with more available power for data centers [12] - The power grid is struggling to keep up with the speed of AI demand [13] Global Strategy & Market Assessment - Diversification across many countries helps smooth out any particular political or other activities [14] - Industrial hubs, including traditional ones like Inland Empire in California and secondary cities, are popular globally [16]

Core Insights - Newmark Group, Inc. has successfully arranged the sale of a prominent high-rise office tower, 601 South Figueroa Street, for $210 million, translating to approximately $202 per square foot [1][3][4] Company Overview - Newmark Group, Inc. is a leading commercial real estate advisor and service provider, catering to large institutional investors, global corporations, and other owners and occupiers [1][5] - For the twelve months ending March 31, 2025, Newmark generated revenues exceeding $2.8 billion and operates from 165 offices with around 8,100 professionals globally [5] Transaction Details - The sale involved a 1,041,315-square-foot office tower located in Downtown Los Angeles, which was 72% leased at the time of sale, with PricewaterhouseCoopers (PwC) as the anchor tenant [1][4] - The transaction was supported by a team of Newmark executives, including Co-Head of U.S. Capital Markets Kevin Shannon and Vice Chairmen Ken White, Rob Hannan, Laura Stumm, and Michael Moll [2] Property Features - 601 Fig is a 52-story office tower known for its distinctive octagonal design and glass crown, contributing to the Downtown Los Angeles skyline [3] - The property includes amenities such as dual lobbies with a 75-foot atrium, a modern fitness center, a WiFi-enabled open-air plaza, and onsite dining options [3]

Core Insights - A collective of 12 property owners in Rose Bay, eastern Sydney, is selling a 5,978 square meter land parcel with a price expectation of over AUD 165 million, driven by the New South Wales government's recent policies encouraging medium-density residential development [1][3] Group 1: Market Dynamics - The land located at 32-38 Wilberforce Ave and 41-55 Dover Road is expected to yield approximately 140 residential units if affordable rental housing is included for key industry workers, as per the latest policy [3] - The integration of residential property sales has become common in the Sydney market, with the recent "low-rise and medium-density housing policy" reform breaking local council restrictions on build density, thus unlocking new development opportunities [3] - The policy's broad coverage is expected to benefit areas previously not receiving such advantages, contrasting with earlier policies that focused on specific regions like St Leonards and Castle Hill [3] Group 2: Construction Trends - The Australian Bureau of Statistics reported a 1.6% quarter-on-quarter increase in residential construction for Q1 2024, with attached dwellings like apartments and townhouses rising by 2.5%, while detached houses grew by 1.1% [4] - Economic indicators suggest a continued rise in building approvals in the second half of 2024, supported by a rate-cutting cycle and additional federal government support for first-time homebuyers [4] - Despite improvements in the macro environment, state-level planning approval reforms are necessary to accelerate housing supply and reduce new construction costs [4] Group 3: New South Wales Housing Goals - New South Wales aims to deliver 112,000 new homes within five years through the medium-density housing policy, although current construction progress needs to accelerate [5] - The National Housing Supply and Affordability Council indicated that New South Wales can only meet 65% of its share of the national target of 1.2 million new homes by June 2029 [5] - The CEO of the Australian Industry Group emphasized that while residential construction is increasing, it is insufficient to meet housing agreement targets, necessitating a 40% increase in completion rates [5] Group 4: Future Development and Pricing - Post-development, the expected sale price for apartments in the Rose Bay area is projected to range from AUD 3.5 million to AUD 15 million, with around 30 units designated as affordable housing for key industry workers at 30% below market rent [5] - These affordable units can revert to market price properties after 15 years, allowing for potential appreciation in value [6]

Core Insights - Six ordinary parking spaces in Sydney's CBD sold for a record price of AUD 608,000 each, totaling AUD 3.65 million, setting a new benchmark for single parking space sales in Sydney [1][3][5] Group 1: Market Dynamics - The parking spaces are located near Circular Quay, close to the Sydney Opera House and Harbour Bridge, making them highly desirable [1] - The auction attracted five bidders, with a total of over 30 bids placed during the event, indicating intense competition [5] - Prior to this auction, the most expensive single parking space in Sydney was priced at approximately AUD 350,000 [7] Group 2: Buyer Profile and Interest - The parking spaces, measuring 85 square meters, are part of the luxury Quay residential building and received 92 inquiries and 16 inspections [3] - Most inquiries came from affluent local residents, including owners of nearby luxury apartments [3] - The sales agent from Colliers, James Cowan, noted that while competition was anticipated, the level of bidding exceeded expectations [5]