4C —April 23 - May 20, 2021 — Spring Preview — M id A tlantic Real Estate Journal
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E astern PA By Staci Saeger, NAI Summit Greater Lehigh Valley PA CRE Market Continues to Bloom in Spring 2021
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owners and real estate agents to entice new tenants to their buildings. Lease incentives, increased tenant improvement allowance, building improve- ment plans, and competitive deal terms are ways owners are attracting and winning tenants to their properties. We have noticed an increase of larger users in the market looking to consolidate their space and reduce their overall footprint. As for office sales, the available properties range from 1,500 s/f single-tenant up to 50,000+ multi-tenant buildings. Investor activity has
remained constant through- out the past year, increasing noticeably more this second quarter. Surprisingly, smaller end users are causing the majority of high activity in the retail sector along with quick service trail locations. Businesses that could maintain opera- tions throughout the obstacles of 2020 are in growth mode, which is not true for larger block tenants. What we can anticipate in the retail market is that it’s going to continue to change and transform from what we have all known it
to be. Although the extensive list of benefits the Greater Lehigh Valley provides to the indus- trial/flex segment, the trend continues with a lack of inven- tory for space in specific ranges of size. The positive is the activity continues to be very strong with lots of inquiries for both sale and lease options. We are seeing more companies deciding to look outside their target markets to achieve their location needs. Previously honored with the Site Selec- tion Magazine winner of the top regions for development in the Northeast, I think it’s safe to say the product need should be fulfilled in time. The available land for sale in the Greater Lehigh Val - ley is made up of majority commercial and residential, then industrial not far behind, then agricultural. About three- quarters of all available land to purchase is 10 acres and under. Most of the largest sized lots of 100+ acres are currently un- der agreement, leaving larger availabilities in the 10-88 acre range. Land lease options con - sist mainly of under 10-acre parcels with a variety of uses including parking lot, retail, commercial, and industrial. So as we creep over halfway through Quarter 2 of 2021, the commercial and industrial real estate market for the Greater Lehigh Valley continues to shine and bloom. I look forward to seeing how our industry continues to change and trans- form, knowing our foundation is resilient and strong. Staci Saeger is director of marketing at NAI Summit. MAREJ
lowers aren’t the only thing blooming this spring in the Greater
of unknown, started moving forward with their plans, and the various relief programs and all-time low-interest rates as- sisted in that shift. Across the board, we see a healthy amount of activity for all sectors in com- mercial real estate with a sense of optimism in the market. The office segment has al - ways remained steady with an influx of available options including various professional parks to standalone single- tenant locations, the competi- tion is high. With the increased vacancy rates it will cause the need for creativity among
Lehigh Val - ley as activ- ity remains high in the commercial and indus - trial real es- tate market. In my last a r t i c l e i n
Staci Saeger
January, we recapped 2020 and celebrated signs of eco- nomic improvement starting in late fall. Businesses that put things on hold during times
Spring Preview
a section of the MARE Journal
Phone: 781-740-2900 Fax: 781-740-2929 www.marej.com S ection P ublishers Linda Christman lchristman@marejournal.com Lea Christman lea@marejournal.com S ection E ditor Karen Vachon editor@marejournal.com
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