National market report

Chicago

The University of Chicago, one of four institutions to submit bids to build Barack Obama’s presidential library, has proposed two locations on Chicago’s South Side, the Chicago Sun-Times reported. In addition to being a fitting tribute to Obama’s political roots, the location, the university argues, would also spur $200 million of real estate investment. However, the proposal has generated controversy because it involves using parkland that the university does not own. The Barack Obama Foundation, which is overseeing the site selection, has reportedly expressed concerns about that. The foundation is also said to be concerned about leadership changes at the University of Illinois, another bidder. Nonetheless, Chicago Mayor Rahm Emanuel predicted that the Obamas would select the Windy City. Columbia University and the University of Hawaii have also submitted bids. The foundation will reportedly select the location next month.

Houston

Developers are planning more than 4,200 new apartments in Downtown Houston, which until now has been almost exclusively the domain of office towers. The area’s current population of about 3,600 is expected to more than triple, according to the Wall Street Journal, which reported that most of the new units are rentals. The new residential development is being spurred by a tax break passed in 2012 that offers relief of up to $15,000 per unit and which officials said is nearing its 5,000-unit cap. The development is part of nearly $4 billion in new construction and renovation that Houston is expecting in the coming years. The Houston Business Journal reported that five residential projects are already under construction, including a 40-story, 463-unit tower; a 361-unit complex called Catalyst; and a conversion project with 323 planned luxury apartments.

Boston

Kendall Square in Cambridge, Boston

Foreign investment in Boston’s office market skyrocketed between 2013 and 2014, jumping to $4.2 billion from $1.3 billion, according to the Boston Herald. Growth in biotech (which is centered in the Cambridge office market), health care, and financial services is making Boston more attractive to foreign capital. Still, the city does still does not crack the top five U.S. cities for foreign capital, according to the Association of Foreign Investors in Real Estate. Foreign investors accounted for about 30 percent of real estate transactions in Beantown that were greater than $2.5 million, the paper said, citing statistics from the research firm Real Capital Analytics.

Denver 

Rents increased last year in all 79 U.S. metro areas tracked by real estate research firm Reis Inc., but smaller cities on that list — like Denver, Charleston, S.C., and Raleigh, N.C. — led the way. While the national rental rate average jumped 3.6 percent to $1,124 a month over the prior year, those three cities logged rental rate jumps of 7.9 percent, 5.5 percent and 4.8 percent, respectively. That was despite the fact that the national jump was the highest increase since Reis began tracking the statistic in 1980. Rent increases are expected to continue at a slower pace in 2015 as a flood of new development comes online. Meanwhile, the national residential rental vacancy rate dropped to 4.2 percent, its lowest level since 2000.

San Diego

Pro golf champ Phil Mickelson and his wife have sold their five-acre Rancho Santa Fe compound for $5.7 million. The home, which has been listed in the past for as much as $12 million, returned to the market in November asking $6 million. The 9,200-square-foot main residence is filled with hand-carved stone fireplaces and the master suite features a coffee/juice bar. The property, of course, also includes a three-hole putting green.

Old Saybrook, Connecticut

Famed movie star Katharine Hepburn’s former 8,368-square-foot home on Long Island Sound has been listed for $14.8 million. The actress, who died in 2003, designed the house in 1939 and spent summers there, before moving there full-time in the 1990s. The home, which is now owned by New York developer Frank Sciame, was previously listed for $28 million.

Carpinteria, California

The comedian and political commentator Dennis Miller has listed his half-acre beach house for $22.5 million. The five-bedroom, five-and-a-half-bathroom, 6,320-square-foot oceanfront home includes a two-story entry with a pitched ceiling, six fireplaces and a guest apartment.

Hollywood Hills West

Actor Jared Leto, who won an Oscar for his performance in “Dallas Buyers Club,” plunked down $5 million for a compound that was once part of the Lookout Mountain Air Force Station, which after World War II housed a secret facility that produced classified films and photos of nuclear tests. In addition to an eight-bedroom house, the site includes studios, a sound stage, art galleries and a theater.