Like much of the US economy, the commercial real estate market has been down the last few years. Prior to RBC, Mr. Rothstein was an Executive Vice President and Chief Financial Officer of Related Capital Company, also serving as Chief Financial Officer for three publicly traded companies – Centerline Holding Company (formerly CharterMac), American Mortgage Acceptance Company and Aegis Realty Inc.
According to Real Capital Analytics, a New York real estate research firm, more than $160 billion of commercial properties in the United States are now in default , foreclosure , or bankruptcy In Europe, approximately half of the €960 billion of debt backed by European commercial real estate is expected to require refinancing in the next three years, according to PropertyMall, a UK‑based commercial property news provider PropertyMall Additionally, the economic conditions surrounding future interest rate hikes; which could put renewed pressure on valuations, complicate loan refinancing, and impede debt servicing could cause major dislocation in commercial real estate markets.
Today, the 15,000-square-foot Free Market can be accessed from three streets and features six retail brands including Australian skincare brand Aesop, New York-based outerwear company Westerlind, and a Denver outpost of the Partons’ own Alchemy Works store.
First, remember to keep in mind that the process is very slow and frustrating and can take approximately 3 to 12 months or sometimes years depending on how complicated the project is. Part of the reason is that each city planner has different interpretations of their local rules.
The emotion seen with owners in residential property is not a problem in commercial real estate however you do need to know what you are talking about given that commercial is a complex investment property type and the property owners are usually very aware of what is going on. For this reason, and to all the newcomers to the industry, you must know your product very well and be able to talk to it from many angles.