16C —April 24 - May 14, 2020 — Spring Preview — M id A tlantic Real Estate Journal
www.marej.com
S pring P review
How iBuyers and technology are changing the real estate . . .
continued from page 2C The year started off on a high note in the . . .
front of vents are clear of ob- structions such as furniture, equipment, etc. 25% more en- ergy is required to distribute air if your vents are blocked. • Maintain a minimum 3-inch airgap between the back of refrigerators, water coolers, ice machines, etc. and the wall. Keep the condenser coils of these appliances clean. Considering the unique chal- lenges COVID-19 brings to our customers and the buildings in which they are operating, we hope these tips can reduce the financial strain in some small way. If you are interested in learning more additional cost- saving efficiency practices, contact the Evolution Energy Team. Robert Holdsworth is the vice president of Evolution Energy Partners. home. Interior design is not just about the furniture and paint color in a room. It’s about evoking an emotion, how you feel when you enter a room. This is the value of an interior designer. We may not be able to fix the uncertainty we are facing today but we can make your experience at home feel better. Being forced to work and live at home, there is never a better time to think about what HOME means. Richard Gacek is the principal des igner of Gacek Design Group. WCRE is a full-service commercial real estate brokerage and advisory firm specializing in office, retail, medical, industrial and investment proper- ties in Southern New Jer- sey and the Philadelphia region. the pandemic take hold. WCRE also reports on the Southern New Jersey retail market. Highlights from the retail section of the report include: ● Retail vacancy in Camden County rose very slightly to 6.2% from 6.0% in Q4. While average rents rose to the range of $17.27/sf NNN. ● Retail vacancy in Burling - ton County ticked up a second consecutive quarter to 8.0%, with average rents in the range of $12.23/sf NNN. ● Retail vacancy in Glouces - ter County jumped a full point to 12.7 from 11.7%, with av- erage rents in the range of $13.71/sf NNN.
in them,” he said. “There are a lot of projects that are in the works. Some will make sense. Some won’t make sense. We help clients understand the feasibility of those projects now and where there are opportuni- ties to tweak to make them fit the current conditions.” He also thinks the disruption could work to the region’s ad- vantage long-term as it relates to its profile as a center for business. “It is time to take a Once the pandemic eases up, we feel there will be a high volume of distressed trades that we will capitalize on via our iBuyer program. The best opportunities come in times of uncertainty and we are confident after speaking with our many partners and buyers that the next couple of years will be a great buying opportunity, just like the years We are compensated by assigning the rights of these contracts to our buyers for a consulting fee and/or we part- ner with them and receive non managing equity shares so we can retain upside and owner- ship in the deal, thus growing our portfolio in a diversified set of asset classes in an ex- ponential manner all while achieving a risk balanced portfolio. What Does The Future Hold?
hard look at what businesses need and what makes busi- ness thrive in the Philadelphia region. Now is a prime time to fix that and become even more of a growth market and incuba- tor. Business won’t be done the same anymore.” Roy Melton is a Cincinna- ti-based freelance journalist for The Regal Group, Inc. He covers the commercial real estate, cannabis and health care industries. 2009 to 2012 had amazing op- portunities. Currently, we have strategic partners who collectively man- age over 2B in AUM (averag - ing 50M in net assets each). Our iBuyer partners together own 20,000 multi family doors, operate more than 50M s/f in industrial space, own over 10M s/f in Net Lease retail space, own 20 hotel properties, and control over 1M s/f in entitled land for future development. Our information is in the ad on page 6C, please feel free to contact us to join our platform as a strategic partner, buyer, or seller. It is truly the wave of the real estate future. Jessee Shemesh is presi- dent at Point Acquisitions, a commercial i-buyer and real estate acquisition company, and Sell House LLC a residential tech based acquisitions firm.
practices. We recommend having your building janitors coordinate with the secu- rity crew to walk through the building and turn off all light- ing and plug load equipment that was inadvertently left on. If the building is virtually vacant, have the cleaning crew clean during the daytime so all lights are off during the evening. 3. Quick but Meaningful Measures • Use shades and blinds to control direct sun through win- dows to prevent or encourage heat gain. In cooler weather, open all shades and blinds to allow sunlight to enter. In warmer weather, reverse the process and close all shades and blinds. • Make sure that areas in continued from page 14C continued from page 8C can be done digitally, working from a computer. Client pre- sentations through pdf files or Powerpoint presentations, with Zoom, Skype and Go To Meetings. Fabric swatches and paint samples can be mailed. Measuring and as- sessing a space can initially be developed via CAD draw- ings of floor plans as well as photographs. Phone, email and texting. Virtual walking tour with FaceTime. One final comment to think about. Life is unfolding at of comparable major cities. ● The industrial sector in Philadelphia remains very strong. Q1 saw vacancy rates at 5.5%, only slightly higher than the previous quarter. Net absorption dropped about 20%, to 4.3 million s/f , which was still strong. Rent growth jumped again, to 5.3%. Rent growth for the past few quar- ters has far exceeded the long- term average of 1.7%. ● Retail may be most at risk from the crisis. Rising wages and low unemployment had been fueling retail spending, buoying the CRE market. But with unprecedented job loss and many businesses temporarily shuttered by stay-home orders, retail will bear the brunt. The vacancy rate inched up to 5.0%, while net absorption was negative 546,300 s/f over the last twelve months. These figures may well become more dire in Q2, as the true economic effects of
to see a lot of people think now is the time to dump assets that weren’t performing anyway just to get them off the books.” Batts expects his firm to spend a great deal of time using its research and expertise to help its clients be prepared for the opportunities that will exist coming out of the crisis. “We service property owners and in- vestors trying to maintain their assets and keep returns coming First, commercial real estate trades at much lower volumes than single family residential properties. We also hedge our balance sheet by using strategic partners in all asset classes. Once we understand our user’s buying criteria (aka “buy-box”), we match plausible leads that come through our platform which fits their buy- box, then we work to joint- venture with them to purchase the property. vate equity vehicles, and other strategic partners including, but not limited to, real estate funds and large owner/opera- tors. Thus, not everything that comes through the platform is something we hold on our balance sheet, unlike Zillow that bought all the residential properties on their own ac- count, sometimes averaging 5,000 properties a month. continued from page 6C
continued from page 13C Rittenhouse Appraisals sees resilience in Phila. region’s CRE market despite . . .
Adapting to the new norm
A true understanding of modular construction for . .
Moving Forward: Finding Opportunity in Today’s “New” Energy . . .
rienced general contractor or subcontractors forgot scopes of work or did not understand what their scope was. When you talk about the time savings of modular that becomes very important to student housing projects. If the developer or college can- not have dormitories ready by July prior to the start of the school year the developer would lose out on an entire year of revenue or worse, the college would have to put those students who were guaranteed space up in hotels and have them bused onto campus which becomes a major expense. By having the right team of modular manufacturer, modular knowledgeable ar- chitect, and modular general contractor up front from the start of any modular project, continued from page 10C
The Stack New York City, NY
assures that there will not be any learning curves, cost overruns, or schedule delays and the project will be a success.
Chuck Savage is Direc - tor of Modular Buildings Design & Construction for JC Elite Construction Services.
Made with FlippingBook Proposal Creator