The true sign of intelligence is not knowledge but imagination
Albert Einstein
April 13, 2015 by svn southland commercial team 2 comments
This post originally appeared on tBL member SVN Southland Commercial’s blog SVN Southland Commercial Blog and is republished with permission.
Continued momentum in the national economy and job market helped propel widespread pricing gains of commercial real estate in 2014. Unemployment levels are finally beginning to return to normal levels following the financial crisis of 2008. The following list explains the four forces in the economy that are helping commercial real estate properties:
- Decreased Vacancies
The decreasing unemployment levels and job growth has led to positive absorption and helped to decrease vacancy of office, retail, industrial, and hospitality properties. This net absorption is leading to rent growth and price appreciation across all sectors.
- Increased Investing in Commercial Real Estate Properties
Investors of all types, from high net-worth individuals to private equity to institutional investors, have taken notice of the decreasing vacancies. In addition, 2014 saw a large influx of foreign investors to the market place looking to place capital in commercial real estate assets. Turmoil across the globe including in the Middle East and Eastern Europe has once again shown that the United States is still seen as the most politically and economically stable in the world.
- Increased Prices
The increased demand to invest, coupled with near-historically low interest rates, has been felt in primary markets and Class A properties. It has also driven the prices up to a point where many investors have targeted Class B and Class C properties in secondary and even tertiary markets seeking higher yields.
- Increased Demand of new Commercial Real Estate Properties
Amid this increased demand very little new supply of office, retail, and hospitality properties have come out of the ground while there has been only a moderate new supply in industrial development. The only property sector seeing new supply of any significance would be multi-family, but most experts believe that even that new supply will not be enough to keep up with demand.
All of these market forces resulted in significant pricing gains across all types of commercial real estate properties, all classes of commercial real estate properties, and in all regions in 2014. Barring any unforeseen major events, most experts believe that this momentum will carry over into 2015 and beyond.
For more details on this topic, I would suggest reading For Commercial Real Estate Price Growth, It Was a Very Good Year, recently posted by CoStar.
I am actively looking to build relationships with Real Estate Investors and Owner / Users for Phoenix – Scottsdale – Tucson – Maricopa County – Pima County – Pinal County – Cochise County – Santa Cruz County –Yavapai County – Gila County – Arizona , USA
Walter Unger CCIM – walterunger@ccim.net – 1-520-975-5207 – http://walter-unger.com
1
Timeline of Phoenix, Arizona history
http://en.wikipedia.org/wiki/Timeline_of_Phoenix,_Arizona_history
2
http://en.wikipedia.org/wiki/Phoenix,_Arizona
3
Facts of Arizona – year 1848 to 2013
http://walter-unger.com/?p=9507
Feel free to contact Walter regarding any of these stories, the current market, distressed commercial real estate opportunities and needs, your property or your Investment Needs for Comercial Properties in Phoenix.
1-520-975-5207
View my listings and my profile at:
http://www.loopnet.com/profile/14101172900/Walter-Unger-CCIM/Listings/
Investors and owner/users need to really know the market before making a move in commercial investment properties as the market has a lot of moving parts today. What’s going on socio-economically, what’s going on demographically, what’s going on with location, with competing businesses, with public policy in general — all of these things affect the quality of your commercial properties/investment properties. Therefore, you need a broker who understands commercial properties. Please go to my web-site and get all the newsflashes and updates in Commercial Real Estate.
Check out my professional profile and connect with me on LinkedIn.
Follow me on Facebook:
http://www.facebook.com/ungerccim
Follow me on Twitter:
https://twitter.com/Walterunger
Follow Me on Google+
https://plus.google.com/u/0/b/114560883588623379451/
Walter Unger CCIM, CCSS, CCLS
I am a successful Commercial / Investment Real Estate Broker in Arizona now for 20 years. I am also a commercial land specialist in Phoenix and a Landspecialist in Arizona. If you have any questions about Commercial / Investment Properties in Phoenix or Commercial / Investment Properties in Arizona, I will gladly sit down with you and share my expertise and my professional opinion with you. I am also in this to make money therefore it will be a win-win situation for all of us.
Please reply by e-mail walterunger@ccim.net or call me on my cell 520-975-5207 or Office:480-948-5554
Thank You
Walter
Walter Unger CCIM
Associate Broker, West USA Commercial Real Estate Advisers
7077 E. Marilyn Road, Bldg 4, Suite 130
Scottsdale, AZ 85254
Cell: 520-975-5207
Office : 480-948-5554
Fax: (480-658-1172
View my listings and my profile at:
http://www.loopnet.com/Profile/14101172900/Walter-Unger-CCIM/
a little about me and my expertise – video
commercial-investment real estate adviser-land specialist
https://www.youtube.com/watch?v=PPs3kpKR4nY
Delivering the New Standard of Excellence in Commercial Real Estate
- Commercial Real Estate Scottsdale
- Commercial Real Estate Phoenix
- Commercial Real Estate Arizona
- Commercial Investment Properties Phoenix
- Commercial Investment Properties Scottsdale
- Commercial Investment Properties Arizona
- Land Specialist Arizona
- Arizona Land Specialist
- Land Specialist Phoenix
- Phoenix Land Specialist
- Land For Sale Phoenix
- Land for sale Arizona
- Commercial Properties For Sale Phoenix
- Commercial Real Estate Sales Phoenix
- Commercial Properties Phoenix
- Commercial Properties Arizona
- Commercial Land Specialist Phoenix
- Commercial Land Phoenix
- Multifamily land Phoenix
- Retail Land Phoenix
- Industrial Land Phoenix
- Land Commercial Phoenix
- Land Retail Phoenix
- Land Industrial Phoenix
- Land Multifamily Phoenix
- Industrial Land for sale Phoenix
- Land Industrial
- P
- Investment Real Estate
Disclaimer of Liability
The information in this blog-newsletter is for general guidance only, and does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation. Tax articles in this e-newsletter are not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding accuracy-related penalties that may be imposed on the taxpayer. The information is provided “as is,” with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose.