IRVINE, CA—The older members of the Millennialgeneration are beginning to have families, which is shifting theirpriorities. This is a wakeup call for the commercial real estateindustry, David Senden, a principal with KTGYGroup Inc., tells GlobeSt.com exclusively.

“Millennials are having children,” says Senden.“The leading edge of this generation is in their mid-30s. Theircareers are in full swing, and babies are here. No longer is thelatest coffee shop or nightclub on their mind; rather, now it's allabout schools, parks and having the space to raise a family.”

For most, the inner city is not the place to be, Senden says.“It's not because they don't want to; it's because it's just toohard. Even though they may enjoy a short commute, have anestablished group of friends and really like their neighborhood,nobody is designing child-friendly places in the downtowncore—amenities are designed for the pre-child days. It's a loungeand a pool party, when what this group of Millennials really needis a crafts room and a splash park. It is a bar, when they reallywant yogurt. Developers say people with kids don'twant to live downtown—I think they are making it a self-fulfillingprophecy.”