Midwest Real Estate News March April 2010 : Page 4

4 Midwest Real Estate News® March/April 2010 midwest ® WWW.REJOURNALS.COM Publisher | Mark Menzies menzies@rejournals.com Associate Publisher | Jay Kodytek jkodytek@rejournals.com Editor | Dan Rafter danrafter@sbcglobal.net Production | Phil Lonergan plonergan@rejournals.com Circulation | Penny Bernal bernal@lbpc.com Marketing Coordinator | Frank Biondo fbiondo@rejournals.com ConferenceManager | Stephanie Awe sawe@rejournals.com MidwestRealEstateNewsbrings realestateleaderstogetherto explorethechallengesand opportunitiesuniquetotheirmarkets. by Dan Rafter It’s easy to get glum these days when you cover commercial real estate. Everyone says the same thing: 2010 is going to be another tough year. And after that? 2011 might be challenging, too. It’s not what you want to hear when you’re the editor of a commercial real estate trade magazine. But then you get the chance to in- terview the commercial real estate pros in a market like Omaha. Or maybe you get to talk to the people who broker commercial deals in Indianapolis. Sud- denly, that cloud of despair begins to lift a bit. The brokers working in these two markets, both of which we feature in this issue, are doing pretty well. They’re not closing deals in bunches anymore. They’re working harder to get things done than they did during the commer- CHICAGO OFFICE 415 N. State Street Chicago, IL 60654 • 312-416-1860 MINNEAPOLIS OFFICE 5353 Wazata Blvd., Suite 307 Minneapolis, MN 55416 • 952-885-0815 MidwestReal EstateNews®(ISSN0893-2719) is published bimonthly by Real Estate Communications Group, a divi- sion of LawBulletin Publishing Company, 415 N. State St., Chicago, IL 60654 (rejournals.com). Current and back issues and additional resources, including subscription request forms and an editorial calendar, are available on the internet at rejournals.com. Subscriptions:WithinU.S.: 1 year, $29; 2 years, $49. Outside U.S. (surface mail): 1 year, $75. 2 years, $128; (air mail) 1 year, $115; 2 years, $208. Single copies, $10.00. Subscription information: PennyBernal,415N. State St.,Chicago, IL60654. 312-644- 2394.©2010LawBulletin Publishing Company.Member of American Business Media and BPA International. www.rejournals.com REAL ESTATE NEWS® TheMidwest’scommercial realestatepublication,providing useful,unbiasedandaccurate coverageoftheindustryand itsprofessionalssince1985. FROM THE EDITOR Strong markets and the gift of hope cial real estate boom. But they’re not dying in Omaha or Indianapolis, either. Things aren’t nearly as bad here as they are in other markets. The reasons are varied: Both mar- kets have a wide mix of industries. They don’t rely on any one type to keep them afloat. Both feature talented workforces and plenty of amenities to attract the at- tention of investors. And both have been pretty conservative when it comes to commercial construction. Neither Indi- anapolis nor Omaha saw much over- building when things were clipping along in the commercial real estatemar- ket. Because of this, their vacancy rates, while higher than during the best of times, are still manageable. At the same time, both cities have unemployment rates that are lower than the national average. This, too, has chased away some of the doom and gloom that other markets have faced. So, yes, it was nice chatting with the people who work from these markets. I wouldn’t say that any of the people I in- terviewed were jumping for joy at what 2010 might hold for them. But they weren’t fashioning nooses, either. That’s refreshing, at least for commercial real estate in the wake of the Great Reces- sion. I shouldn’t give all the love to Indi- anapolis and Omaha, either. We also have a story regarding the state of com- mercial real estate in Cleveland, too. This major Midwest city has long strug- gled with a negative image across the country. But things aren’t that bad here, either. Sure, business is down, but the brokers I interviewed said it isn’t down by as much as you’d think. There are even signs of hope here, something that is always welcomed. Maybe you’ll read these same sto- ries and feel a bit of hope, too. That feel- ing has been in preciously short supply these days. But there is reason for opti- mism. Creative developers are some- how getting financing. New commercial buildings are rising. Yes, none of this is happening at the rates we’d like to see. But in today’s economy, you have to take your hope however you can get it. Sincerely, Dan Rafter

Editor's Note

Dan Rafter

It’s easy to get glum these days when you cover commercial real estate.<br /> <br /> Everyone says the same thing: 2010 is going to be another tough year. And after that? 2011 might be challenging, too.<br /> <br /> It’s not what you want to hear when you’re the editor of a commercial real estate trade magazine.<br /> <br /> But then you get the chance to interview the commercial real estate pros in a market like Omaha. Or maybe you get to talk to the people who broker commercial deals in Indianapolis. Suddenly, that cloud of despair begins to lift a bit.<br /> <br /> The brokers working in these two markets, both of which we feature in this issue, are doing pretty well. They’re not closing deals in bunches anymore.<br /> <br /> They’re working harder to get things done than they did during the commercial real estate boom. But they’re not dying in Omaha or Indianapolis, either.<br /> <br /> Things aren’t nearly as bad here as they are in other markets.<br /> <br /> The reasons are varied: Both markets have a wide mix of industries. They don’t rely on any one type to keep them afloat. Both feature talented workforces and plenty of amenities to attract the attention of investors. And both have been pretty conservative when it comes to commercial construction. Neither Indianapolis nor Omaha saw much overbuilding when things were clipping along in the commercial real estate market.<br /> <br /> Because of this, their vacancy rates, while higher than during the best of times, are still manageable.<br /> <br /> At the same time, both cities have unemployment rates that are lower than the national average. This, too, has chased away some of the doom and gloom that other markets have faced.<br /> <br /> So, yes, it was nice chatting with the people who work from these markets. I wouldn’t say that any of the people I interviewed were jumping for joy at what 2010 might hold for them. But they weren’t fashioning nooses, either. That’s refreshing, at least for commercial real estate in the wake of the Great Recession.<br /> <br /> I shouldn’t give all the love to Indianapolis and Omaha, either. We also have a story regarding the state of commercial real estate in Cleveland, too.<br /> <br /> This major Midwest city has long struggled with a negative image across the country. But things aren’t that bad here, either. Sure, business is down, but the brokers I interviewed said it isn’t down by as much as you’d think. There are even signs of hope here, something that is always welcomed.<br /> <br /> Maybe you’ll read these same stories and feel a bit of hope, too. That feeling has been in preciously short supply these days. But there is reason for optimism.<br /> <br /> Creative developers are somehow getting financing. New commercial buildings are rising. Yes, none of this is happening at the rates we’d like to see.<br /> <br /> But in today’s economy, you have to take your hope however you can get it.<br /> <br /> Sincerely, Dan Rafter

The Weidt Group

 

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