Commercial Real Estate Is In High-Demand In South Florida
Every few weeks we update you on commercial real estate in South Florida and the regularity in which the market grows is anything but predictable. Commercial Real Estate is sizzling, especially for the food industry and this may very well create a shortage for other commercial space needs. It seems that the appetite for growth continues to permeate.
Expansion, Growth & The Shortage Of Land
Many restaurant chains and fast food companies are finding that they are facing a difficult time locating and acquiring commercial space that allows for their types of business models (drive-thrus) throughout Southern Florida. Because of the latter, they are increasingly competing within the commercial space industry in order to find alternative locations meant for more traditional commercial businesses and restaurants. This creates a shortage for those seeking commercial spaces.
Commercial Space Competition
With Florida’s growth virtually exploding and exceeding any possible model of speculation, there are entrepreneurs, corporations, and start-ups looking to put roots down throughout South Florida for their business. The competition is strong and the time is now.
If you were looking to launch your business or expand your business, you may be bidding against companies and corporations with wider pockets. It is absolutely vital to put an offer in on a space the moment that you decide that you have found the precise location needed that checks all of your boxes to facilitate the launch or expansion of your business. Last year, space better equipped for a medical office may now be a part of a bidding war for a big chain’s unorthodox rethinking of a less traditional version of their usual drive-thru fast-food locale.
Experienced, Aggressive Commercial Real Estate Legal Help
If you are ready to expand your portfolio with commercial properties in South Florida, you need an experienced South Florida Commercial Real Estate Attorney. Mark Schecter is your vital source for all of your commercial real estate needs. Whether you are local or out-of-state, you will need an attorney who can go head-to-head with high-powered backed firms, owners, and agents. South Florida Commercial Real Estate can be a complex market to navigate and it is important that you understand every aspect and element involved in locating a commercial property to fit your needs, engaging in an offer, and preparing to close. Call Mark Schecter today for immediate assistance.
Commercial Investors In South Florida
While the luxury real estate market is doing extraordinarily well, don’t count South Florida Commercial Real Estate Investors out. From commercial buildings to multi-family units, Commercial Real Investors are doing exceptionally well considering the state of sister markets nationwide.
The only way to go is up for commercial investors. From the recent news that big tech is swarming to South Florida to top names in entertainment relocating to the sunshine state, there is more yet to come. In a large acquisition, developers have retained 6+ million dollars along with plans for a 292 unit designated for multi-families on over 30 acres in Thonotosassa, a high-profile Palm Beach bankruptcy sale of notable properties worth upwards of 21 million that includes a post office building, and news that a Sheetz family member unloaded 26 million of commercial properties in the exclusive enclave of Palm Beach, commercial investors are shaking things up and growth appears to be on the horizon.
Boost In South Florida Continues
To recap on all of the reporting of major tech execs making big moves into South Florida and the looming question of jobs, if this activity is any indicator of what the future holds, we might also ask, what if anything new do these execs and tech giants plan on building here? We’ll have to wait for future disclosures but with no peak in sight, now is a good time for real estate investors interested in the South Florida local to get acquainted with properties of interest and prepare their offers. There is much competition in South Florida and while you may have found a commercial property to meet your needs, blink and you may find that that property has an offer or is pending.
Get Help From A Seasoned Commercial Real Estate Attorney
Speak to an experienced Commercial Real Estate Attorney in South Florida as early on in the process as possible so that you may have the proper counsel and guidance on how to move through the process effectively and efficiently. Get ahead of competing buyers, prepare solid contracts and preserve your rights; call or contact Mark Schecter for assistance today: tel:954-779-7009
Investing In South Florida Commercial Real Estate
If you are in the market for commercial real estate investments or are considering investing in South Florida, you are in good company.
The “Where” In South Florida Commercial Real Estate
Investors’ are primarily concerned with, you guessed it, location, location, location. With that said, the most unlikely locales may provide the biggest return, even amidst pandemic closures. While many establishments have closed their doors, now is the time to settle in comfortably as some locations may be positioned for post-pandemic growth.
In recent news, areas from Little Havana to Coconut Grove may be ripe for investment. There are various factors that investors look at in order to determine where to invest funds. One important element is rental revenue. Due to the latter, many investors have had to cut their losses based on lower returns on some of their assets. Regardless of whether you are dealing with a retail store or a restaurant, investors are now deciding on how and where they will lease, refinance, or sell. So where are they investing? Single-family homes and multi-family units among the top investment avenues with a special emphasis in South Florida areas with densely populated or metropolitan cities and towns in areas.
Investors must weigh their options on how to properly adjust investments and how and where to conserve or financially commit. So what are some of the check-points that identify investable properties or opportunities in commercial real estate:
- Properties with added value and income-producing potential
- Stable properties that have a long-term growth projection
- Is the property essential or not
- Can the property be re-purposed?
Best Commercial Investment Types
The downturn on some commercial real estate properties has centered around some specific property types. For example, those that are central to housing have done better. The housing market has remained close to or exceeded retailers in the state of Florida. That is not to say that commercial real estate whose purpose is allocated to commercial retail or restaurants are a bad investment, it speaks more to how the housing market continues to make larger strides.
Commercial Property that fit the bill for friendly investments are:
- Single-family homes in South Florida are investment-friendly
- Industrial properties
- Multi-Family homes and properties
- Healthcare-related properties
Digging deeper, it is important to note that skilled and knowledgeable investors understand the need to repurpose properties. This means that those in possession of investments that seem to be losing value like entertainment or restaurants still have an upside ahead. It is critical that when necessary, an investor understands the opportunity ahead of them in terms of repurposing a property. The need for good commercial properties is high in South Florida so, if you find a venue or locale that is positioned in a good location for growth, don’t miss the opportunity to invest in that location and re-purpose if for your investment needs.
Now Is The Time To Invest
There are a vast number of opportunities in South Florida so, whether you plan on buying or selling, now is the time. Location and proximity to urban centers are on the rise and only expected to grow. Demand will continue to persists so it is a good idea to take advantage of the market and expect to grow post-pandemic. Locations positioned near rapidly growing areas like multifamily units and a hop, skip, and jump from affluent neighborhoods may be the best options ahead.
Need Help Navigating Commercial Real Estate In South Florida? Call Mark Schecter Today.
The recent boom in Commercial Real Estate in Florida has not gone unnoticed. Many interested parties have been holding their breath as a result of the ongoing pandemic that has all but destroyed many businesses throughout the United States. That fear may not be warranted in the long term as it pertains to the state of Florida. This week alone, a global investor, Nuveen Global, acquired a large Industrial Portfolio for well over 250 million dollars which included four locations in Florida. Yet another healthy deal follows Nuveen with reports indicating that Marcus & Millichap brokered a 2 million dollar sale of a commercial location, close to 4,000 square feet of property, that was net leased to Starbucks.
Market Adaptation During Coronavirus
The old saying goes “New York, the city that never sleeps”, the fact is that South Florida never sleeps. South Florida Commercial Real Estate is not sitting the market out. Even in what would appear to be a downward market that no doubt, did have and will continue to have both highs and lows, Florida Real Estate is still in demand.
The market has learned to adapt and everyone from Real Estate Attorneys to Brokers and all industry parties in between have adapted. Some of this adaptation includes an emphasis on virtual tours and private appointments but that’s not all, on the realtor end, it also includes online events like the recent Miami Association of Realtors conducting a virtual commercial real estate conference. In addition, events with high profile parties diving into and discussing South Florida Real Estate like the Wynwood event covering an overview of Wynwood’s commercial real estate market.
Moving Forward During The Pandemic
Both business and life are moving forward in South Florida and that includes new commercial and retail locations, purchase, sales, and builds. From a string of national retail business opening shop along the Miami River to a brand new Wing Stop retail location opening shop in Fort Lauderdale and any number of other new commercial locations rising up through the pandemic to start, re-start or renovate commercial locations, the time to acquire your commercial real estate is now.
Looking To Purchase Or Sell Commercial Real Estate In South Florida?
You need an experience and knowledgeable Commercial Real Estate attorney who has an indepth knowledge of Commercial Real Estate in South Florida. Mark Schecter specializes in the South Florida markets and can offer you superior commercial real estate counsel.
Are You In The Market For Commercial Or Office Space In South Florida?
If you have been contemplating South Florida for a commercial or office-related venue, not only are you in luck, you’re also in good company.
The Pandemic has had a variety of sectors leaving areas like New York City and Los Angeles with even more considering making a move to the Sunshine state. The benefits of moving business down to South Florida are numerous and more entrepreneurs and corporations are catching on, these benefits include but are not limited to the short list below:
- Less Taxes by way of no personal income state taxes
- No income tax on corporate limited partnerships
- No state-level property tax assessed
Good Company In South Florida’s Thriving Market
This next step in the Pandemic recovery means that many of these companies will be moving many of their operations to the thriving market of South Florida and they will be in good company. As reported by Commercial Cafe back in March, Spotify, one of the ever growing Media Tech companies chose to establish roots at Wynwood in Miami. Last year Live Nation, a giant among entertainment companies, signed a lease for the new wynwood building, both of the aforementioned joining popular Design and Architechure Firm Genslar.
Prices Will Go Up
South Florida is a beacon for renewal right now and there is no better time to pursue your new office space or re-locate current operations than at this very moment. Not only is there the ability to locate commercial space and office space in highly-sought after areas, but there is also the bonus of re-locating your start-up, operations, or expansion to one of the incredibly vibrant and stunning office parks and landscapes in Florida before the cost of investment increases. It is a sobering thought when you understand how valuable this opportunity is.
Veteran Luxury Real Estate Attorney Mark Schecter
A South Florida Luxury Real Estate Attorney can act as your liaison by facilitating all of the necessary legal documents ahead of your visit to explore your options. It is vital that you have experienced counsel who understands the South Florida Luxury market at your disposal. Contact my office today to learn how I can assist you.
Breaking Into Commercial Real Estate In South Florida
Commercial real estate can be an intimidating world for many, but the benefits are well worth the risk and the learning curve. With a solid team behind you, you can break into the commercial real estate world and start building your portfolio. But why invest in CRE in the first place? Here are a few of our top reasons why we think you might want to invest in commercial real estate.
Even if you already have a good portfolio, adding some commercial real estate into the mix can be beneficial. You’ll find much different behavior than what you’re used to with stocks and bonds, since commercial real estate doesn’t typically correlate with the stock market. Essentially, your investment won’t be at the mercy of the market. There are tons of different projects you can invest in, from office space to apartment buildings and everything in between.
If you’re purchasing an apartment complex, for example, you’re likely to experience little volatility within your cash flow. Tenants in CRE long-term rentals typically sign 3- to 5-year lease agreements, giving you a solid window for reliable cash flow. In general, you can expect less volatility than you would with publicly traded REITs and stocks.
Hedge Against Inflation
While many markets suffer with inflation, real estate tends to stay steady. As profits and wages increase, tenants can afford to pay more, which means you can charge more for your space, whether you own apartments or offices. You can watch the effects of inflation on goods and services, while your own investments stay reliable.
If you negotiate your contract properly, you might be able to take advantage of tax deductions related to interest expenses, depreciation, and more. As of 2018, tax laws allow for CRE owners to claim a 20% deduction of income received through pass-through entities, like LLCs. Additionally, you might be able to deduct some of your property’s depreciated value to cover the cost of your upkeep and maintenance.
Work With An Experienced Commercial Real Estate Attorney In South Florida
If you’ve decided to take the leap to invest in commercial real estate, you’ll definitely want a lawyer on our side to help you negotiate contracts and secure your spot at a fair price. Mark Schecter is an experienced Florida commercial real estate lawyer who has seen countless cases, so he’s ready for anything you need. Contact Schecter Law today to learn more!
Adopting A New Normal In Florida Commercial Real Estate
With everything that 2020 has thrown at us, almost every industry has been negatively impacted. Unfortunately, the commercial real estate sector is no exception. As multiple sectors have had to adapt to a “new normal,” there’s no question that we’ve found some solutions that may continue to work well past this year. It’s likely that we’ll see some big changes in the commercial real estate industry in the near future, including these trends.
- Faster Communication
Communication is vital in the commercial real estate industry, and by using the latest technologies, tenants and management can talk much more quickly and efficiently. The use of AI leasing assistants can help answer questions instantly, and two-way text features allow for quicker conversations and greater transparency with tenant requests.
- Greater Lender Flexibility
Now that lenders are working to get back on their feet, we’re likely to see innovative and flexible structures as they try to find solutions for themselves and their borrowers. We may see practices like originating subordinate debt, providing convertible equity, or splitting loans into multiple risk tranches.
- Efficient Spaces
Particularly when it comes to office spaces, efficiency is becoming more of an emphasis. The new generation is dedicated to time management and sustainability, so it would follow that office spaces would need to adapt to meet these needs. While we may see more technology being used, it’s also important to maintain a human element.
- Lower Rental Costs
Working From Home
We’re starting to realize that more people can work from home, so it’s probable that the cost of office spaces will decrease. Offices in downtown spaces will need to be especially adaptable and innovative in order to keep tenants coming in, and the need to focus on the local economy will become more and more apparent.
Contact Us For Help Today
As the whole world works to return to some semblance of normal, it might be time to pursue your dream of owning commercial real estate. If you do decide to take the big leap, be sure to enlist a commercial real estate lawyer on your side. Mark Schecter is a trusted South Florida commercial real estate lawyer who has worked in the industry for decades. He can help you find the right space and secure it with terms that work for you. Contact Schecter Law to speak with Mark and to get started!
Finding Commercial Real Estate In South Florida
Let’s say you’re a business owner whose entire operation to date has been online, but you’re now looking to expand into a brick-and-mortar location. Or, maybe you’re jumping in from the start with a physical location. Finding the ideal spot for your business can seem like a daunting task, but it doesn’t have to be. There are several different resources at your disposal to help you find the perfect commercial property.
Do I Need Commercial Property?
Before you start your search, ask yourself if you even need commercial property. If you’re starting a brand-new business, consider whether you need an office space or if you can work from home or in a coworking space while you get things off the ground. If you decide you do need your own property, this should be one of the first investments you make, as prices can rise quickly.
If you already have a successful business, you might consider buying commercial property to expand your company. Purchasing property can help you reach a new audience in a different city, for instance. Buying commercial property could also be helpful if your at-home business is becoming too large in scale and you now need a dedicated space for your work.
How to Find Commercial Property
As with any property search, typically the best place to start is on the internet. You can easily do a web search for available spaces in your area and can tailor your search to your specifications. If you need a certain amount of space or want a property in a specific area, this is your fastest option.
You can also work with a real estate agent to find your ideal location. Experienced agents should know about the area and will be able to help you navigate the possibilities. Finally, don’t underestimate the importance of scouting for yourself. Drive around your area and look for “for sale” or “for lease” signs on commercial properties. You might be surprised at what you can find!
Contact Mark Schecter For Assistance
No matter where you are in your commercial property journey, having a lawyer at your disposal is a great asset. They can help you negotiate contracts and ensure that you understand exactly what you’re purchasing. Mark Schecter is a top South Florida commercial real estate attorney who has years of experience in the field. Contact Mark today to see how he can help you secure your dream office space.
Impact Of Covid-19
The impact of the COVID-19 pandemic cannot be overstated. We’ve seen changes to every aspect of our society, and the commercial real estate industry is no different. While the luxury housing market is doing surprisingly well, the office market has not been as lucky. There have been some interesting developments, but as a whole, the commercial real estate market has seen a steady decline since the start of the outbreak.
Distress in the Industry
So far in 2020, the commercial real estate industry for South Florida peaked in January and has seen a decline every month since. The total number of monthly sales has decreased considerably, with April taking a particularly hard blow. While stimulus aids are helping to keep some rents afloat, there aren’t many new properties being bought or leased at this time.
Many lease transactions are being paused, and those who were looking to buy are now starting to question valuations. One of the most impacted operations are co-working spaces. Thanks to social distancing requirements, many of these spaces have had to significantly decrease their capacity or shut down altogether.
A Surprising Increase
While the commercial real estate market is taking a hit right now, there may be a rising market for out-of-state buyers. Some property owners are seeing interest from those in cities like New York, Los Angeles, and Chicago. Business owners in these cities are looking to set up satellite offices in South Florida in an attempt to give their workers more flexibility and space.
A Bright Future?
Some are predicting that the South Florida commercial real estate market will see a boom after the COVID-19 pandemic begins to level out. If business owners are unable to pay their rents and have to vacate their spaces, future buyers may be able to grab these coveted offices at a fraction of the price. Many remain optimistic about the future of the industry, but it’s a matter of time before the market will prove itself.
Get Help Today
If you’re looking to purchase commercial real estate now or at some point after COVID-19, be sure to get a commercial real estate attorney. These professionals can help you navigate the complicated work of property purchasing. Mark Schecter is one of the top South Florida commercial real estate lawyers and can help you find and purchase your ideal business space. Contact Mark today to learn more.
The Right Team Behind You During Your Purchase
If you’re considering commercial property for your business, you’ll need a team behind you to help you make the right decisions. One of the most influential people in your life will be your commercial real estate lawyer. You’ll have a better insight into the industry and can protect yourself from future financial issues. Here are a few of the biggest benefits of hiring a commercial real estate attorney.
Protecting Your Interests
Especially if you’ve never purchased commercial real estate before, the lengthy process and the complex contracts can be overwhelming. By working with an experienced commercial real estate attorney, you’ll have a guide to help you understand what you’re signing and avoid potentially costly legal issues down the road. If any issues do arise, they can handle the situation before it turns into a court battle.
Getting a Fair Deal
Speaking of money, commercial real estate isn’t cheap. However, many people don’t realize that there is room for negotiation. Your commercial real estate attorney works for you, not on commission, meaning they will be able to help you get the best value for your money. They can help you see where negotiations may be possible in your contract and which points are more rigid.
Gaining Industry Knowledge
Commercial real estate attorneys will be familiar with the unique codes and zoning laws that will apply to you. They can go through different development options with you to make sure you’re picking the best location, and they will be particularly helpful when it comes time to sell your property. Your attorney can help you find a buyer and maximize your profit.
Our most valuable asset is time, and hiring a commercial real estate attorney will save you a lot of it. You can avoid countless hours of research, familiarizing yourself with a whole new industry, and help deal with legal disputes. At every step of the way, your attorney can step in to handle an issue, allowing you to focus solely on your business.
If you’re considering buying commercial real estate in South Florida, contact Mike Schecter. He has long been one of the most trusted Broward County commercial real estate attorneys and is dedicated to helping you find the ideal property for your business. Contact Schecter Law today for more information.