Browse Tag: Commercial

May 2013 NAR Commercial Real Estate Market Survey Released

The REALTORS® Commercial Real Estate Market Survey measures quarterly activity in the commercial real estate markets. The survey collects data from REALTORS® who are commercial practitioners. The survey is designed to provide an overview of market performance, sales and rental transactions, along with current economic challenges and future expectations.

2013.Q1 Survey Highlights:

  • REALTOR® commercial markets recorded improved conditions for both sales and leasing.
  • Sixty-four percent of commercial REALTORS® closed a sales transaction during the quarter.
  • Sales volume rose 3.0 percent from a year ago.
  • Sales prices inched up 0.3 percent on a year-over-year basis.
  • Leasing activity advanced 5.0 percent from the previous quarter.
  • Rental rates increased 1.0 percent compared with the previous quarter.
  • Concession levels declined 5.0 percent on a quarterly basis.
  • Financing remains at the top of the current challenges list, followed by pricing gap between buyers and sellers.
  • The estimated average transaction slid from $1.2 million to $1.1 million from the prior quarter.

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Lender Language: Borrowers And Borrowing Entities

Let’s take a look at the language of lenders.

Jointly And Severally

Ever wonder what the lender in a commercial real estate transaction means when the term jointly and severally liable is used?  You hear it as a key part of loan terms when there are co-borrowers in a real estate transaction.

The term jointly and severally usually applies to situations when the borrower in a transaction is a) a real person and b) is actually more than one person.  In other words, it applies to co-borrowers.  It refers to the fact that each co-borrower is fully responsible for repayment of the loan.  Specifically, it means each co-borrower is 100% responsible for the full repayment of the loan regardless of borrower ownership fraction in the property. It does not matter if the co-ownership share in the property between, for example, two co-borrowers is 50% each — in the event one of the co-borrowers becomes incapacitated, the other co-borrower is on the hook for repayment of 100% of the loan.  Another way to put it is that jointly and severally means the debt is not shared.

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Coldwell Commercial’s College Bowl Property Finder

How can college football and listings data combine to help out commercial real estate professionals?

Once upon a time, access to listings was the largest missing piece of commercial property marketing.  Today, depending on the market, a decent supply of listings is almost a given on the web.  Nowhere moreso than at CommercialSource.com, naturally.

Solving one problem only gives rise to another.  We have more access to more data than ever before.  What we now need is to know what to do with all those listings.  How do we turn data and information into knowledge and wisdom?

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