Posts tagged NAI Global
If you were to look at the vacancy rates for CBD office space, retail space or even industrial, in any given market, you might be discouraged. You will find tenants working hard to maintain the space they currently occupy, extending and blending their leases in this tenants’ market. You will see property owners making hard choices about which properties are performing or underperforming, which to keep as investments and which to sell. The picture may look bleak. But if you look deeper, there is hope.
Transaction volume is on the rise. Sure, the largest properties aren’t moving yet, but brokers are working with clients across the U.S. who are taking additional space, moving headquarters, purchasing industrial production/distribution facilities. And the pace is increasing.
The recession rocked the industry to its core fundamentals, and it will take another few years before we see anything close to the transaction volume we witnessed in 2005-2007. But as investors come off the sideline, cap and interest rates stabilize, jobs come back, and consumer demand picks up, the commercial real estate market worldwide is starting to heal.
It won’t be an easy recovery, but we are on our way back!
I am often travelling to large Russian regional cities where we manage office properties and shopping centers, and I always feel how different these markets are in comparison to the Russian capital. Because they are much smaller than Moscow, they are often disregarded by foreign investors and developers. More >
After approximately two years of reluctance for logistic properties, Germany’s investment market has been recovering in that sector in 2010. More >
While it has been fun to talk about iPads and Nano chips, the next series of blogs will focus on technology implementation and support at the basic fulfillment level. I will try to keep it in plain English vs too much tech-speak, which is endemic to everyone in this technology world. More >
Retail analysts are watching the A&P bankruptcy very closely. A&P, which operates supermarkets under the A&P, Super Fresh, Pathmark, Waldbaum’s, Food Emporium and Food Basics, filed for Chapter 11 bankruptcy on Monday. The corporation currently operates nearly 400 supermarkets across the northeast U.S.
What happens to those hundreds of locations now? How many will go dark and close, be sold to competitors or redevelopers? What impact will all these changes have on the other grocery brands (i.e. Shop Rite, Albertsons, etc) as the available markets come into play?
A&P owners contend that they will reorganize and emerge from bankruptcy as an ongoing concern. But with millions in debt, an expensive workforce and declining profits, the next step is clearly unknown.