Over the last 6 months, though anecdotal, my fellow brokers, appraisers and other service providers have seen commercial real estate activity pick up in the Savannah area. While not booming by any means, there has been a recognizable improvement.
LEASING LEADS
The majority of actual deals being executed are leases, led by the industrial sector. Office and retail leasing has seen an uptick of smaller tenants and start ups, neither of which absorb much space. National retailers are starting to look again, but are only interested in prime locations like Abercorn or Pooler Parkway, not willing to take any risk.
The leading industrial real estate owner in our area, Duke Realty, recently signed a few distribution warehouse deals in the 100,000 square foot range. Other industrial developers also report an increase in tenant inquiries.
Buyers are beginning to look again. Sales however, continue to be soft in all product types. Some activity is driven by users who believe it’s time to begin planning for future expansion. Investors, believing the next 12 to 18 months are critical to capitalize on depressed values, are also kicking tires. With several years of industrial space to absorb, our firm has toured more national developers recently. Their target, properties that are underwater or have low occupancy with hopes of acquiring and repositioning them as the economy recovers.
Part 2. LAND LAGS... to follow...
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Rex Benton is Savannah Commercial Real Estate agent with NAI Savannah, the commercial division of Mopper-Stapen, Realtors and is a contributing columnist for "BiS-Business In Savannah" weekly business publication and is an active blogger: www.savannahcommercialrealestate.blogspot.com www.naisavannah.com 912-358-5600 Office Space, Retail Space, Industrial Space, Investment Real Estate
LEASING LEADS
The majority of actual deals being executed are leases, led by the industrial sector. Office and retail leasing has seen an uptick of smaller tenants and start ups, neither of which absorb much space. National retailers are starting to look again, but are only interested in prime locations like Abercorn or Pooler Parkway, not willing to take any risk.
The leading industrial real estate owner in our area, Duke Realty, recently signed a few distribution warehouse deals in the 100,000 square foot range. Other industrial developers also report an increase in tenant inquiries.
Buyers are beginning to look again. Sales however, continue to be soft in all product types. Some activity is driven by users who believe it’s time to begin planning for future expansion. Investors, believing the next 12 to 18 months are critical to capitalize on depressed values, are also kicking tires. With several years of industrial space to absorb, our firm has toured more national developers recently. Their target, properties that are underwater or have low occupancy with hopes of acquiring and repositioning them as the economy recovers.
Part 2. LAND LAGS... to follow...
-----------------------------
Rex Benton is Savannah Commercial Real Estate agent with NAI Savannah, the commercial division of Mopper-Stapen, Realtors and is a contributing columnist for "BiS-Business In Savannah" weekly business publication and is an active blogger: www.savannahcommercialrealestate.blogspot.com www.naisavannah.com 912-358-5600 Office Space, Retail Space, Industrial Space, Investment Real Estate
