Retail News Blog

Now that the reality of the credit market crisis, which really began in July 2007, has fully taken effect, 2009 has been a period of repositioning within the market.  Ironically, the repositioning will be a “return-to-the-old”.  Commercial real estate values are returning to the core fundamentals that always drove the market prior to the rise [...]

Do you think the collapse of the real estate market place is determinism (by design) or randomness (everything means nothing)? We can not deny that we have experienced a “bubble”. A bubble merely transfers a share of the future demand into the present. It’s linked with dramatic valuations and always debt funded. It is this [...]

The dislocation in the commercial real estate capital markets that exists today in the second quarter of 2009 has frustrated users of capital and left them feeling hopeless. The small universe of debt and equity providers that are willing and able to provide capital today want to advance less loan dollars on your deal while also taking on less risk. Most of the time that means that it’s a deal you cannot make. Thankfully, after successive quarters of bad news, most of us are past the denial stage and are making attempts to exist in a broken market. The leverage being offered by capital providers today would make sense if cap rates were closer to double digits, but unless and until that market correction happens, there will be further frustrations as both borrowers and lenders are fighting to preserve their equity and maintain returns seen earlier in the decade. The following are some survival tips that could help your deal:

According to the most recent Real Capital Analytics® Quarterly Retail Report the national retail asset sales volume at $1.9 billion (1st Quarter 2009) is down more than 74% from the same quarter one year ago. The only regional mall sale transaction in 2009 year-to-date (YTD) on a national level was the Cincinnati Mall which traded [...]

Ask yourself this simple question:  What will the world look like for my children’s grandchildren?  This is not a question about politics or global warming. This is a question about the legacy we leave.
The real estate industry is responding quickly.  “Sustainability”, “LEED”, “carbon credits”, “cap and trade” are terms that are rapidly infiltrating our day [...]

How have the Capital markets affected lending for the manufactured home community industry?
The significant turmoil in the real estate capital markets has resulted in a considerable vacuum in financing opportunities for Manufactured Home Communities. Once a favorite of the now inactive CMBS/Conduit loan industry, the MHC asset class has become increasingly reliant on Fannie Mae, [...]

The tension was high at the special meeting called by the Colorado Banker’s Association in early December. The bankers were gathering to listen to Dr. Tom Hoenig, President of the Federal Reserve Bank in Kansas City, discuss the current recession and to get his predictions on how long it will last. With the reputation of [...]

“VALUATION TECHNIQUES FOR COMMERCIAL REAL ESTATE AMIDST A WORLD OF CHANGE”
Introduction

There is broad sweeping change in the mindset of the World economy caused by the credit crisis, economic downturn and long-term uncertainty, which is having a profound impact on the real estate market. Our job as appraisers is to interpret what is occurring in the [...]

Capitalization Rate Analysis
In this article, a capitalization rate for a strip center is analyzed based on (1) market extraction; (2) national survey; and (3) debt coverage/equity dividend analysis. This is an in-depth analysis that shows how a capitalization rate can be derived when little data is available in a market area. This presentation is an [...]

Many auto dealerships are going dark; over 21 in 2008 according to The Oregonian. In 2009 in the Portland Metro area alone we have seen some big names fall to darkness, most notably the Kuni Cadillac dealership that was located in Beaverton. For an auto dealership, the trade area expands beyond the immediate market area. [...]

PGP Valuation Inc is proud to bring you a Retail Newsletter for the first quarter of 2009. This four page newsletter talks about the economic market and its effects on the retail industry in the northwest and nationally.

On September 16, 2008, GVA Williams and FirstService Corporation (NASDAQ:FSRV; TSX:FSV) entered into a definitive agreement for FirstService to acquire an interest in the New York-based, full-service commercial real estate firm. The firm announced today that it will be renamed FirstService Williams.
The partnership with the FirstService Corporation not only lends global reach, but significantly enhances [...]