Welcome back to the work week, investors. In today’s commercial real estate news, flipping houses is popular again, diverse experiences in malls must become popular, and Airbnb is set to become less popular in New York after short-term rental laws are enforced.
According to Trulia, more 6 percent of house sales last year were considered “flips.” The act of buying a house for cheap, renovating it, then selling it for a higher price is becoming popular again after the recession. While there’s money to be made in the market, experts warn investors there’s logistical concerns and due diligence risks that need to be closely examined before money is laid down.
Longstanding traditions in mall management must be ignored if the properties are to stay afloat, this editorial argues. Owners can no longer rely on anchor tenants and big box stores to deliver the foot traffic. They must provide unique experiences for visitors and turn the malls into mixed use development projects. Diversity seems to be the way to success in this new retail world.
New York has implemented laws meant to curb AirBnb listings. The law, signed in October, designated up to $7,500 in fines against those who list illegal short-term rentals. The first lawbreaking landlords were hit with fines this week.