Posts tagged Roger Denny
The NAI Knoxville Multifamily Team of Steve Goldman, John Dempster and Roger Denny represented the seller in the listing and sale of the Evergreen Apartments, a thirty-unit, all-brick complex in Fountain City. The transaction closed on November 30, 2011, just 62 days from listing to closing. Several challenges were overcome in the process, including getting a new roof paid by the insurance company for the benefit of both buyer and seller. This took a true team effort by the buyer, seller and the agents involved. This brings to 357 the total number of units sold this year by the NAI Knoxville Multifamily Team.
By Roger Denny, NAI Knoxville
Recently in an interview, Robert White CEO of Real Capital Analytics stated investors are looking for higher yield on their investments. Presently money market funds and stock market returns are low, and since real estate offers a “hard asset” as a hedge against inflation investors are looking at core properties as a solution and low risk.
Core properties are defined as stabilized (high occupancy) Class A properties located in top tier markets with high intrinsic value. According to White investors see these assets as low risk and are paying top dollar for them with cap rates in the range of 5 1/2. Historic low interest rates on Treasuries allow investors to still have positive leverage says White. In 2010 75% of the deals tracked by Real Market Analytics were Core properties.
Here is the good news. White feels that investors have a threshold of pain for those prime assets and will look for the same type of assets in the smaller markets as prices push upward in the top tier markets. For right now those cap rates and investor demands are being seen mostly in the office sector but low cap rates are nudging investors toward high quality larger retail centers with a grocery or big box anchors trading in the mid 6 caps.
Mr. White also stated that “the loosening of the credit crunch and the revival of the CMBS market should also support investment in smaller cities.”
Ruby Tuesday has hired Maribel Koella CCIM, SIOR, Brian Tapp and Roger Denny and with the NAI Knoxville Corporate Services team to serve as the master broker and assist in the acquisitions in the continental United States east of the Mississippi River excluding the state of Florida. [press release]
NAI Knoxville brokers, Roger Denny and Chip Miller have brokered the sale of the former Texaco gas station and convenient store located at the corner of Kingston Pike and Watt Road to Pilot Corporation. The sale included the 3,300 sf c-store plus equipment. The sale closed 6/4/2010 for $710,000. Brad Butcher, Senior Real Estate Manager with Pilot, said,”It was a great opportunity for us to expand into a rapidly growing community which has the potential for long-term growth and continued stability.”