Commercial Real Estate & Business News – July 26, 2013

Multifamily is the Solution for Investors, Gen Y

No matter how you slice it; people will always need a place to live. As the nation pulls through the tail end of a huge housing dislocation, many are faced with the tough realization that it’s fundamentally better to rent than buy a home. With such a tight inventory and limited supply of residential housing units, when compared to post-crisis levels, multifamily is the best way to go as it attracts higher prices so rental rates can go up, which will make it more likely that people will build additional products over the next couple of years… Read more

Loan Assumed on Apartment Buy

The buyers of the 98-unit Silver Tree Apartments agreed to assume the property’s $1.6 million loan for one reason: its low interest rate. Investors Ambrosie & Susana Halmagean of Litchfield Park AZ found that the interest rate on the 1980s complex was lower than the available debt on the market… Read more

Market Trend: Phoenix’s Retail Vacancy Decreases to 10.8%

The vacancy rate went from 11.1% in the previous quarter to 10.8% in the current quarter. Net absorption was positive 1,032,400 square feet, and vacant sublease space decreased by 54,243 square feet. In first quarter 2013, net absorption was positive 471,757 square feet… Read more

Metro Phoenix Retail Continues A Slow, Steady Rebound

Currently, as of 2Q 2013, our research shows that the retail vacancy has dropped to 11.3%. This is nearly a full percentage point improvement from just 6 months ago, (at the end of 2012 the vacancy was 12.2%), and more than 2 percentage points below the highest level, which was two years ago in 3Q 2011 when the vacancy reached 13.7%… Read more

Institutional Investors a Growing Presence in Phoenix Housing Market

Institutional investors have scooped up hundreds of thousands of homes in the past year or so, and my article takes a look at their motivations, the growing pains of building an untested business model, why experts say only time will tell whether the strategy is successful, what will happen if it’s not, and how the housing market will be impacted in the long term… Read more