| In This Issue: Monday, April 11, 2005 | |||||
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INDUSTRY NEWS AND EVENTS |
Commercial Real Estate Improving, Vacancy Rates to Decline Says NAR |
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The commercial real estate market is improving and vacancy rates are expected to decline in all four commercial market sectors this year, according to NAR's “Commercial Real Estate Spotlight.” The “Commercial Real Estate Spotlight” is the new name of NAR's quarterly commercial research publication, formerly “Commercial Real Estate Quarterly.” David Lereah, NAR’s chief economist, said commercial markets have gained momentum. “With vacancy rates in all sectors going down, the fundamentals for commercial real estate are improving and investors have been moving more dollars into this asset class,” he said. “In fact, we expect vacancy rates to trend downward over the next two years.” * Office View: Office vacancy rates in the 57 markets tracked are forecast to decline to 14.2 percent this year from 15.4 percent in 2004. Office rents should rise by 2.8 percent in 2005. * Multifamily View: Multifamily net absorption is projected at 238,600 units in the 57 markets tracked in 2005, down from 264,300 last year, but much stronger than the 159,400 units absorbed in 2003. * Retail View: In the retail sector, merger activity could lead to some store closings. Even so, the average vacancy rate is projected to drop to 6.5 percent this year from 7.5 percent in 2004. * Industrial View: In the industrial market, demand for warehouse and distribution space has fueled demand across the country. The national vacancy rate is expected to decline to 10.4 percent this year from 10.9 percent in 2004. To access the Spotlight PDF: Click Here. |
It’s Not Too Late to Sign up for Commercial Hill Visit Day |
| Join the REALTORS® Commercial Alliance, the Institute of Real Estate Management, and the CCIM Institute on April 20 to bring the federal legislative and regulatory issues that affect commercial real estate to Capitol Hill. Last year, nearly 300 commercial practitioners attended lobbying meetings with more than 175 members of Congress. The hill visit program begins on Tuesday, April 19, at the Capitol Hilton in Washington, D.C., with federal issue briefings from NAR lobbyists and issue experts and strategies for conducting effective meetings with elected officials. Hill visits will be scheduled for Wednesday, April 20, followed by a reception at the new NAR headquarters building near the U.S. Capitol building from 4 p.m to 6 p.m. For more info, Click Here or contact Mike Mini, 888/648-8321. |
Fundamentals of Commercial Real Estate Course Now Available |
| The REALTORS® Commercial Alliance had introduced a course for residential practitioner members who want to know more about commercial real estate. Contact your local REALTOR® association if you're interested in taking the course or to ask them to host the course. The 3.5 hour course was designed for CE credit. Among topics covered are commercial transaction types, contract terminology, and components to create a commercial marketing plan. At the end of the course, attendees will have the skills needed to begin and succeed in commercial real estate. Newly licensed agents, managers of commercial agents, or those seeking to enter the field are encouraged to sign up. To learn more, Click Here or contact your local REALTOR® Association to find a course in your area. |
Attend the Commercial Board Summit at RealComm in Anaheim, June 27-28 |
| RealComm is a two-day commercial real estate event focused on the latest technological innovations that impact the commercial real estate industry. The event brings together all levels, the technical with the nontechnical, to discuss the impact of technology on all aspects of the commercial real estate industry. The REALTORS® Commercial Alliance is a Gold Sponsor. To receive discounted registration you must attend the Commercial Board Summit, “Cutting Edge Technology & Marketing Tools Every Practitioner Needs to Increase Productivity – Your Association at Work,” on June 27 from 1 p.m. - 5 p.m. Register before April 15 and the cost is $400 with promotion code: RC05CBS4; before June 15, $600 with promotion code: RC05CBS6. Register, Click Here. |
PUBLIC POLICY UPDATES |
Bankruptcy Bill Clears First House Hurdle |
| The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 was favorably reported by the House Judiciary Committee last month. The bill, which has already passed the Senate, would better position real estate assets when tenants or owners file for bankruptcy. The bill is scheduled for debate on the House floor. President Bush has said he would sign the bill. For more info, Click Here or CONTACT: Megan Booth, 202/383-1222. |
RESEARCH, RESOURCES |
Commercial News Briefs |
| Visit the commercial news section of REALTOR® Magazine Online every week for the latest commercial news. Here's a sample of recent headlines: * Report Calls for U.S. Help to Insure Against Terror * Investors Prepare for Rental Market Rebound * Blog Connects Property Managers, Tenants * U.S. House: Asbestos Trust Fund Proposed * Business Leaders Warn of Crisis if TRIA Expires * Building Owners Lure Tenants With Clean Air * 3 Groups Buy GM's Commercial Mortgage Operation * Commercial Federal Sells Mortgage Servicing Portfolio To access more commercial news, Click Here. |
Access the Latest RCA Report Online |
| Read the REALTORS® Commercial Alliance Report for legislative and industry updates. To access the PDF, Click Here. |
Wanted: Good Neighbors |
| REALTOR® Magazine is seeking nominees for the sixth annual Good Neighbor Awards, which recognize REALTORS® who impact their communities through volunteer work. Five winners will be recognized at the 2005 REALTORS® Conference & Expo in San Francisco and will receive travel expenses to attend the show and a $7,500 grant for their community cause. Volunteer work might include affordable housing initiatives, youth mentoring, homelessness prevention, or anything else that makes a community a better place to live. Entries must be received by May 27. For more information and an entry form, Click Here or CONTACT: Sara Geimer. |
Sale on Professional Quality Laser Printers from Lexmark |
| In April, REALTOR VIP® partner Lexmark is offering members up to $300 off the C510 and C510N color laser printers. Create professional-quality color brochures and flyers. To order, visit the Lexmark store for NAR members, Click Here and select "Color Lasers," or call 800/453-9835 and enter code NAR (627). NAR members can also save on a broad line of Lexmark inkjet and laser printers, including supplies, such as ink and toner. |
AFFILIATE NEWS |
Plan to Attend Commercial Events at NAR Midyear Meetings |
| Key issues affecting commercial real estate practitioners will be discussed at several sessions held during NAR's Midyear Legislative Meetings and Trade Expo May 9-14 at the Marriott Wardman Park Hotel in Washington, D.C. Hear about NAR's effort to create commercial data standards, define its role in developing a national CIE platform, and ensure that real estate licensees are able to participate in tenant-in-common transactions. Register for the meetings, Click Here. |
Make New Connections at the IREM Executive Exchange |
| IREM is sponsoring a unique event in Chicago May 18-20 featuring two professional development seminars: "Leadership for Today's Real Estate Manager" and "Maximizing Profit: Growth Strategies for Real Estate Management." Discover new leadership techniques, exchange business development strategies, and network with fellow industry leaders. Register for both seminars and receive 10 percent off. For more info, Click Here. |
New IREM Financial Analysis Tool |
| Turn to the IREM Financial Analysis Spreadsheet for an indispensable tool that will help you evaluate the financial performance of your properties. With its intuitive design, the spreadsheet enables you to easily analyze property performance based on owners' goals and objectives. Once you enter performance data, this tool will automatically amortize and analyze property loans, calculate returns, establish market rental rates using a comparison grid, and more. To obtain the spreadsheet, free to members, Click Here. |
Report compiled by Carolyn Schwaar, cschwaar@realtors.org, 312/329-8874. |
| QUESTIONS on this report? Visit the INS FAQ and online feedback area on REALTOR.org. CLICK HERE. |
