Challenges in commercial real estate
Posted on May 2nd, 2010 by admin
Online with Caryn McBride
Were already three-quarters into January but its still too early to assess the financial damages of 2008. While theres no shortage of speculations, a clearer economic picture is coming into focus as companies release their year-end financial reports.
The commercial real estate market is another good barometer of the economic climate. Whos moving in, whos moving out? Whos buying, selling, leasing, expanding, consolidating? And whos paying what per square foot these days?
Is it a tenants market? Are there deals to be had?
The Business Journal checked in with Barbara Venturi, managing partner of Ambar Realty Group L.L.C. in White Plains. In an Online interview, Venturi talked about trends in the market and offered some tips for renegotiating leases. Following are excerpts.
Caryn McBride:
Moneys tight. Banks arent lending as freely. How is this affecting the market?
Barbara Venturi:
Weve seen some assets being disposed of from some of the major REITs (real estate investment trusts). Our clients are, obviously, not looking to expand right now. But lending really comes into play when a company is looking to purchase an asset and needs credit to do that. Weve seen the slowdown of the investment market over the last year. I would say its just starting to affect the leasing market in that if owners of real estate have loans coming due, theyre going to want to ensure that their buildings are optimally leased to afford them the best terms in renegotiating a loan against the building.
Duration : 0:1:32
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