We maximize the value in your industrial real estate transactions
After falling nearly 40% by the end of 2009, we were dubious of the prospects that industrial property values in Orange County could exceed the previous market peak.
But, after years of recovery spurred in part by a massive monetary stimulation by our central bank, here we are. Pricing levels have blown through the peak of 2007 and they are still on the rise.
Why is this so and when will it stop? Good questions.
The old saying: “it’s miserable, but it’s home” has taken on a new meaning in these times of short supply.
In other words, many are facing a commercial lease renewal in the near future.
For the past five years, interest rates for industrial property loans have been the lowest since Eisenhower was President.
For the past two years, commercial real estate experts have been predicting the end to cheap money and a rise in mortgage interest rates, but here we are, still waiting for even the slightest increase.
Commercial real estate professionals are optimists by nature, but we’ve been around long enough not to ignore what’s happening in the world just to stay upbeat.
With that in mind, please forgive us for sounding a bit dark as we channel the bear in us to explain how the psychology of a market – the way its participants feel and think about what’s going on – is an important component of making informed real estate decisions. Consider the following and ask yourself if your outlook for the future has changed in the last year.
The regulations regarding the tax impact of real property ownership, sales and exchanges are complex and confusing.
What business owner or investor would dare prepare his own tax returns in this day and age? The consequences of just a single error can be catastrophic.