Location is aways the key – Roads, Highways & Traffic Flow – Proximity to Airport, Railway Stations, Ports and Markets – Building Availability, Rental Rates & Taxes – Workforce Skills and Availability – Parking usually equates to one parking space per 1,000 SF
With property values at all-time highs, unemployment at all-time lows and the stock market still holding strong, the question on everyone’s mind is where we go from here. Everyone has their own mindset of the current commercial real estate (CRE) market and where it is headed but nobody knows or can predict what’s next. The reason is that the world is extremely different today than it has ever been.
For the foreseeable future, it seems industrial will remain a hot market segment especially in areas that have high demand and limited land supply. As our society becomes more dependent on technology, so does the need for distribution centers and warehouses. It is important for big companies such as Amazon and Zappos, to have footprints in areas to service densely populated urban areas such as NYC.
While the marijuana laws vary state to state in the United States, there is a need for commercial real estate within the legal marijuana industry. From the need for warehousing the final products to the manufacturing of the edibles (which a growing number of users prefer).
In commercial real estate, we have all observed how changing demographics have forced companies to change their goals and aspirations.
The good earth has always been associated with wealth, and tales are legion of ancestral land left behind for generations. Of all assets humankind has known, land has proven the most enduring in value. Wars have been waged over land and its resources from time immemorial.
Historically speaking the summer months tend to slow down in the commercial real estate world as schools are closed, children are home and vacations become the priority.
We live in a connected world where customers are empowered more than ever with so many choices and so much information at their fingertips. In this rapidly evolving digital landscape, commercial real estate professionals need to be creative about how to engage and connect with their customers through a mix of technology and tried and true relationship building skills.
As we enter the first quarter of 2017, demand for commercial real estate continues its ascent to new heights, helping this cycle to be one of the best many have …
Owners are always asking us, “What is my property worth?” Sure most real estate brokers can spit out a number on the spot but wouldn’t you feel better if some real thought and actual research were used in coming up with the numbers? You deserve to have some basis for the value, so why not ask for it. Armed with this information you will be better equipped to formulate a game plan that serves your interests.
The office segment of commercial real estate is continuing to see growth. While there was a small increase in vacancy (less than 1%) at the end of the first quarter of 2016, the vacancy rate is at a promising 14% overall.
New Jersey’s Industrial vacancy rate in the fourth quarter dropped to 6.4 percent, which is significantly down from 8.2 percent a year earlier (CoStar). Nearly 4 million square feet of industrial space was leased during the fourth quarter, bringing the total for 2015 to 12.5 million square feet. The two largest leases during the fourth quarter were a new
571,000-square-foot lease by List Logistics at 75 Mills Road in Edison and a 500,000-square-foot renewal by LG Electronics USA at 380 Deans Rhode Hall Road in South Brunswick.
A quick glance at one of the many financial periodicals or web based financial media outlets from one day to the next and one might be left guessing as to the state of our economy. Will the Federal Reserve raise rates in June, or September, or ever? Is the economy strong enough to absorb an increase in interest rates?