10A — January 22 - February 18, 2021 — 2021 Forecast — M id A tlantic Real Estate Journal
www.marej.com
2021 F orecast
By Staci Saeger, NAI Summit 2021: Outlook Looks Good for the Greater Lehigh Valley, PA CRE Market
T
he past year (dare I say its name) was challenging to say the
despite the many challenges we faced. We continued to consistently close deals re- motely when mandated and grew our organization by obtaining over a million new square feet to our Property Management and Brokerage portfolios. So what does 2021 look like? Pretty good I’d say! Let’s dive in. A reason for ongoing suc- cess with NAI Summit and in the Lehigh Valley is we are situated in an extreme- ly desired area with many benefits, diversity, and re - sources. The Lehigh Valley
provides access to over a third of US consumers and over half of all Canadian consumers within a day’s drive. We continue to grow in the Lehigh Valley with very strategic plans to help retain our strong and grow- ing economy. According to the Lehigh Valley Economic Development Corporation, “In 2018 and 2019, Lehigh Valley was ranked one of the top regions for develop- ment in the Northeast, and the number one region of its size in the Northeast by Site Selection Magazine.
Over the past three years, only New York, Philadel- phia, Pittsburgh, and Boston have seen more economic development projects.” The Lehigh Valley’s infrastruc- ture is top-notch, offering three international airports and water ports 30 to 90 minutes away, rail service, solid public transportation, and carries a Foreign Trade Zone status. With all of these benefits, the want to be in this area will always be on our side. With the release of the vac- cine, businesses who decided
to pause all plans in the un- known of 2020, are beginning to press play again. With the combination of the vaccine release, additional stimulus checks, all-time low-interest rates, and relief programs being offered, there’s an in- creased opportunity to drive consumer spending in 2021. Our industrial market, specifical manufacturing, is a large part of our stability in the Lehigh Valley despite unprecedented times. 2020 couldn’t even put a dent in this sector for the Lehigh Valley. According to the Lehigh Valley Economic Development Corporation, “Manufacturing makes up $7.3 billion – or 17.7 percent – of the Lehigh Valley’s over- all economic output.” With shutdowns in place, organi- zations in 2020 had to change quickly to a higher focus on e-commerce, in return need- ing additional warehouse or distribution space. The Lehigh Valley has ample industrial parks and access to multiple main highway systems making it an ideal place to acquire such space. With a large industrial/flex portfolio, this contributed to the area’s overall continued success, growth, and steadi- ness which will not change in 2021 or for years to come. According to CoStar, “Given the market’s location and the growth of e-commerce, it is not too surprising that investment exploded in the Valley. Total industrial sales volume was over $730 mil- lion, one of the highest levels in market history and the third consecutive year of sales growth. Big buyers on the year included Pruden- tial, Uline, Prologis, and the BlackStone Group.” With all these factors at play, I think it’s safe to say if 2020 couldn’t stunt our growth, 2021 definitely won’t either. The Lehigh Valley is a strong, reliant place to be that we are so fortunate to call NAI Summit’s home. For over our 36+ years in the industry, NAI Summit is well equipped to continue to thrive even bigger than the year before, just like the region we are a part of. Staci Saeger is director of marketing at NAI Sum - mit. MAREJ
l ea s t . Re - s t r i c t i ons , new bus i - ness guide- lines, shut- downs , al l made con- ducting busi- ness difficult and forced
Staci Saeger
businesses to shift quickly into a new normal. For NAI Summit, we swiftly made the shift and fortunately had a tremendous year of growth
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