Like much of the US economy, the commercial real estate market has been down the last few years. The shorter term leases create financing issues for property owners as lenders and investors prefer longer term leases to secure their investment. From tenant and landlord services to business growth strategies, Retail West can fulfill all of our respective clients’ needs.
Regular advice and revaluations are important for internal management and can help clients foresee opportunities or threats which could impact performance of office properties. Rarely is the property transaction a simple matter of the property rental, the property price, or the physical elements of the property.
Being able to distinctly define local market awareness is a major advantage in any commercial real estate presentation or sales pitch. Depending on the current use allowed for the property, you might need to have the site rezoned which is a complicated process and sometimes cannot be done.
Investors can encounter problems finding tenants, and property outside of prime locations can still be risky. The higher the cap the higher rental income the property produces and thus the less money you need for down payment. You could very well experience the same time on market unless you adopt a new and different promotional strategy.
In 2017, Heath ventured out to open his own commercial real estate firm. Additionally tenants who remain may not be willing or able to renew their leases at the same price per square foot. If a landlord is holding a property for a number of years, it doesn’t really matter what the lease start rent is (within reason), but it does matter where the rent will be in two years time.