Commercial Real Estate Notebook

Market parts

noreply@blogger.com (Frank Weiskopf, CCIM) — Tue, 21 Feb 2012 20:52:00 +0000

Our commercial real estate market is missing something – reasonable buy offers. Today buyers can research the market, look at every property offered for sale, then make an offer that is unrealistically below the seller’s price. Buyer have seen four years of declining prices in commercial real estate, so they are cautious. Buyers don’t want to buy and find they have immediately lost value in the declining market.

Sellers are divided into two camps. There are the sellers that are economically stable. Stable sellers have kept up their property, made the mortgage payments, and for whatever reason find it necessary to put the property on the market. Stable sellers want to maintain the value they have in their real estate. The second camp is the distressed sellers. Distressed sellers must sell, at whatever price the market will offer. The leader of the distressed seller camp is the banking community. Since bank owned real estate is a burden on the regulated bank balance sheet, there comes a time when a bank will take any offer then on the table. No matter how unrealistic the price may be when compared to the stable market. They just want to rid the bank of the property, and take whatever cash they can get. That makes banks the leader of distressed sellers camp, leading the way to lower and lower sales prices.

What the commercial real estate market needs are buyers that are willing to make reasonable buy offers to the stable sellers. Seems like a simple concept. A good solution to a complicated problem. So as a commercial broker I am now searching for buyers that are motivated by their need for commercial real estate. When the need for the real estate is stronger than the desire find the absolute lowest price, you can match a reasonable buyer to a stable seller. Just not many reasonable buyers out there right now.

10511 Hardin Valley Road

noreply@blogger.com (Frank Weiskopf, CCIM) — Sun, 12 Feb 2012 16:33:00 +0000

4600 square feet of professional office space.

10525 Hardin Valley Road Building B

noreply@blogger.com (Frank Weiskopf, CCIM) — Sun, 12 Feb 2012 12:07:00 +0000

5000 square feet available for lease at 10525 Hardin Valley Road

the chatter

noreply@blogger.com (Frank Weiskopf, CCIM) — Thu, 09 Feb 2012 00:12:00 +0000

the chatter

Commercial Real Estate

Marketing Event

Thursday March 1, 2012

You are invited to "the chatter" at the Orangery, a Commercial Real Estate Marketing Event. An opportunity to meet, mingle, and do business with commercial real estate professionals. You will hear about listed commercial properties, referrals, and co-list opportunities.

Get a grip on the Knoxville commercial market. Your customers depend on you to be informed.

RSVP today!

TIME - 9:30 am to 11:30 am

LOCATION - The Orangery

5412 Kingston Pike,

Knoxville, Tennessee

Sponsored by

REALTY EXECUTIVES Associates

Property Services Group

City of Knoxville on Commercial Zoning

noreply@blogger.com (Frank Weiskopf, CCIM) — Wed, 08 Feb 2012 11:35:00 +0000

Shingle Recycling - How it should be done.

noreply@blogger.com (Frank Weiskopf, CCIM) — Tue, 31 Jan 2012 12:54:00 +0000

Shingle Recycle Process - Video

A Knoxville News Sentinel Article on the problems associated with a site.

A Case Study – Leasing Space in Your Building

noreply@blogger.com (Frank Weiskopf, CCIM) — Mon, 30 Jan 2012 13:47:00 +0000

A Case Study – 10651 Coward Mill Road

In this case study, I examine an owner occupied building with lease space. Leasing office space in the building you own will be an excellent vehicle for building wealth. Your tenant’s rental is paying down your mortgage; the rental payments are building the equity in the real estate. And as long as the rental payments continue, you are building wealth.

The property, 10651 Coward Mill Road is a well designed office building with approximately 18,900 square feet of space. In the study, a tenant leases 9,000 square feet on a main level. The balance of the building is owner occupied.

To download read this case study click on the image.

10651 Coward Mill Road is offered For Lease or For Sale by Realty Executives Associates. To make an appointment for a viewing contact Frank Weiskopf, CCIM at 865 983-0011.

Understand that this is a study of a real estate investment. You should seek the advice from an attorney and an accountant before investing in commercial real estate. Even though the principal illustrated in this case study generally applies, the actual result of your real estate investment would likely be different. The variables include financing; lease negotiations, local codes, and other variable which would be affect the results of your investment.

noreply@blogger.com (Frank Weiskopf, CCIM) — Thu, 26 Jan 2012 21:47:00 +0000

Red Chair to stay downtown | Property Scope | knoxnews.com

Commercial Real Estate is BIG at Realty Executives

noreply@blogger.com (Frank Weiskopf, CCIM) — Sat, 21 Jan 2012 15:24:00 +0000

Click below and see why! Listings and Agents

Quality Office Space – Pellissippi Location

noreply@blogger.com (Frank Weiskopf, CCIM) — Thu, 19 Jan 2012 12:20:00 +0000

FOR LEASE - Three Spaces available in a Quality Office Building!

Go to 10651 Coward Mill Road just off Pellissippi Parkway or take your browser to http://www.kaarcie.com/listing/14947428

The main level has 9,885 sf and features lobby, conference rooms, work and office space, kitchen, and restrooms.

The top floor has 6,126 sf with conference room, work and office space, kitchen, and restrooms. Access provided by the building elevator that is adjacent to the lobby.
The lower level has 2891 sf with elevator access or separate outside access.

This property is ideally suited for engineering, technology, construction, design, legal, financial or any professional office use. Offers multiple energy saving systems, including geothermal heating and cooling.

Call or Email Today!

Frank Weiskopf, CCIM

noreply@blogger.com (Frank Weiskopf, CCIM) — Thu, 19 Jan 2012 10:54:00 +0000

Tips for Buying a Rental Property | Realty Executives International

There are plenty of reasons to purchase rental properties. They can provide steady, passive income when the housing market is slow, allowing you to sell only when conditions are right. They can allow first-time buyers to enter the market when they’re priced out at home, and are an excellent way to build equity in a retirement or vacation home.

Whatever your reason, if you’ve decided to buy a rental property, follow our five tips to make the process as smooth and economical as possible.

1. Do not expect a quick profit

If you have visions of flipping your rental property in just a few years, stop now. Historically, rental properties have been an excellent source of long-term income, but their resale prices are based more on income streams than spikes in home prices. This is particularly true of multi-unit dwellings, and is even more pronounced in a depressed market. There’s little debate that you will be able to sell your rental property at a tidy profit some day, but unless your primary focus is on building equity and earning passive income over time, you’re in the wrong part of the business.

2. Know your market

Generally speaking, you want to buy a rental property in the best neighborhood you can afford. An ideal neighborhood would have low crime, a population influx, and proximity to transportation, employment, and amenities. Of these, crime is the most important, as it has a direct impact on your tenants’ comfort level and potentially impacts the physical safety of your investment.

Even beyond statistics, the character of your neighborhood is important, as well. A 3-bedroom duplex will have faster turnover and receive more wear-and-tear in a college town than a sleepy family community. A high-end rental home in the suburbs might be a short-term fix while a couple searches for a purchase, but the same home in an urban area could be a long-term rental for a busy businessman.

3. Play the waiting game

If you price your property too high, you may lose money on an extended vacancy. If you price too low, you risk losing money over time. After you have a few years of ownership in your neighborhood under your belt, weighing the trade-offs will become easy, but when you’re starting out, you’ll want to seek the advice of an experienced professional. Start by asking your REALTOR©, who may be able to refer you to other rental property owners.

4. Know your tenants

Bad tenants will damage your property, run up maintenance bills, call you (or your management company) at odd hours, and leave you holding the bag for months of rent when they abandon your property. Good tenants provide a predictable revenue stream and respect your investment. Do not cut corners with due diligence when choosing a renter. Credit checks are important, but checking references is critical.

Once you find your perfect tenants, be open to working with them. Be flexible with improvements or changes they’d like to make to the property. If they’re going through hard times, a minor rent adjustment could be well worth the long-term payoff. In the end, you need the tenants as much as they need you.

5. Be prepared

Rental properties require a fairly substantial cash reserve, as well as other preparations. You’ll want to be able to cover several months of mortgage payments to address vacancies and payment processing time. Rental properties require a larger downpayment (often 25-30 percent) than evidential properties, so budget accordingly.

You should also line up contractors and maintenance staff as soon as you purchase a property. Again, your REALTOR© or network of other landlords can point you in the right directions. Check references, pre-negotiate rates, and ask for backup referrals for times when your primary contractors are not available. Be sure to ask your tenants for feedback on the contractors’ work and conduct, as well.

This entry was posted in Buyers, Buyers, Finance and tagged contractors, hiring, home maintenance,investment properties, investment property, property management companies, rental property, rentals,renting your home. Bookmark the permalink.

A Flexible Design – 10651 Coward Mill Road

noreply@blogger.com (Frank Weiskopf, CCIM) — Wed, 18 Jan 2012 13:30:00 +0000

The building has three floors that are separate, and easily accommodates three occupants.

The main level has 9,885 sf and features lobby, conference rooms, work and office space, kitchen, and restrooms.

The top floor has 6,126 sf with conference room, work and office space, kitchen, and restrooms. Access provided by the building elevator that is adjacent to the lobby.

The lower level has 2891 sf with elevator access and a garage type door.

With separate entrances, elevator, and common stairwells, the 10651 Coward Mill Road Property is FLEXIBLE!

10651 Coward Mill Road is Professional Office Space with features rarely found in the Knoxville Area. This property is uniquely suited for engineering, technology, construction, design, legal, financial or any professional office use. Offers multiple energy efficient systems, including geothermal heating and cooling. Located in the Knoxville-Oak Ridge Innovation Valley of East Tennessee, this is a prime business location off the Pellissippi Parkway at Coward Mill Road, and just minutes from Oak Ridge, Knoxville, and the McGhee Tyson Airport.

Completed in 2001 for Community Tectonics Architects, the interior spaces are well lighted, comfortably proportioned, easily accessible to executive board and presentation room, offices, meeting rooms, training and media area, work stations, kitchen space, elevators, and reception areas. The site is landscaped and the parking area accommodates 40 cars including two handicapped spaces. Additional land area of approximately 1.25 acres is also available for expansion of office facilities and or parking.

Let me know when I can show you the property.

Going It Alone

noreply@blogger.com (Frank Weiskopf, CCIM) — Tue, 17 Jan 2012 11:24:00 +0000

It’s 2012. You can find nearly anything and anyone on the Internet. Do you really still need a to put an agent in the middle of your real estate transaction? What’s to stop you from finding a property online, going straight to the source, and saving yourself a few percent on the commission?

Nothing at all. But before you decide to buy or sell without an agent, take this to heart: You’ll probably lose money on the deal. A lot of it. We’ll repeat that for emphasis. Even if you save on commission, you’ll probably lose money in the end. Why? For the same reason you don’t represent yourself in court, or fix your own transmission. You’re not an expert.

There’s nothing shameful about that. No one can be an expert in everything. You should certainly educate yourself as much as possible about your market (it’s your property, after all), but you don’t spend all day, every day working in the field. You may have researched comparable in your area, but you don’t know what other buyers and sellers are thinking. You don’t know what’s hot, what’s not, and what other opportunities might be steering prices up or down.

A real estate agent is a negotiator who knows the ins and outs of your market. He knows what buttons to push, how to remain objective, and when to move on. He’s also done this dozens of times before, and can guide you through the process that could cost you tens of thousands of dollars. If you’re dealing with a short sale, a foreclosure, a rental unit, or any other property with special guidelines attached, this guidance is critical.

You can certainly buy or sell your own home, but doing so will cost you time, money, and frustration you could save by handing the job to a pro–letting you focus on finding the right location.

Adapted from Realty Executive International article, Do You Need An Agent - January 2012.

noreply@blogger.com (Frank Weiskopf, CCIM) — Sun, 15 Jan 2012 13:37:00 +0000

Realty Executives Testimonial Compilation on Vimeo

noreply@blogger.com (Frank Weiskopf, CCIM) — Sun, 15 Jan 2012 13:34:00 +0000

Knoxville Videos on Vimeo

noreply@blogger.com (Frank Weiskopf, CCIM) — Sun, 15 Jan 2012 13:28:00 +0000

CITY OF ALCOA SERVICE CENTER on Vimeo

noreply@blogger.com (Frank Weiskopf, CCIM) — Sun, 15 Jan 2012 13:05:00 +0000

Realty Executives International: Advice for Real Estate Investors http://goo.gl/mag/z3JRh

noreply@blogger.com (Frank Weiskopf, CCIM) — Sun, 15 Jan 2012 13:04:00 +0000

Realty Executives International: Finding the Right Tenants http://goo.gl/mag/SZ1WO

Cautious - a good word to describe the business climate.

noreply@blogger.com (Frank Weiskopf, CCIM) — Tue, 03 Jan 2012 12:10:00 +0000

The Knoxville Area economy is slowly improving and in general, Knoxville has a better economy than most areas of our country. But “Cautious” is the only word I can think would describe the business climate moving forward at beginning of 2012.

As would be expected, the commercial and industrial real estate market lags behind the area economy. There is ample supply of good, usable, and vacant space to satisfy the current demand. The absorption of the vacant space has been and will continue to be “slow”.

Looking forward, I see opportunities in commercial and industrial real estate. Real estate brokers are active and there is a reported increase in pending contracts and leases. The new activity is from bargain hunting investors or local businesses that will move in 2012. This is a beginning of a slow and certain recovery.

But, prices and rental rates for commercial space will continue a slow decline. Buyers and Tenants continue to be cautious and take a considerably longer time to make a real estate decisions. They have no fear of missing an opportunity; there is always another property to consider. And there is no compelling reason to pay market rates. A cautious Buyers or Tenants may decide to stay where they are and not take on the risk of a real estate purchase or a costly move. I do not see anything in the near future that will stimulate the Buyers and Tenants or will increase the demand for commercial and industrial real estate. No one in commercial real estate is projecting an increase in prices or rents.

Frank Weiskopf

January 2012

ABC News makes a 2012 Economic Projection

noreply@blogger.com (Frank Weiskopf, CCIM) — Tue, 03 Jan 2012 10:26:00 +0000

Read here the business and economic forecast for 2012 as reported by ABC News.2012 Economic Outlook: What's in Store?

Pellissippi and Carmichael Road

noreply@blogger.com (Frank Weiskopf, CCIM) — Sat, 31 Dec 2011 15:31:00 +0000

Pellissippi and Carmichael Road This is the prominent location on the Pellissippi Parkway at Carmichael Road. Best suited for business park or multifamily development, with obvious economic potential! Three adjoining parcels surveyed at 25.5 acres *Near Pellissippi State *10 Miles south of Oak Ridge National Laboratories *14 Miles from the University of Tennessee *16 Miles north of McGhee Tyson Airport

Having trouble viewing, go to http://tinyurl.com/6sg4ltg

Keller Lane

noreply@blogger.com (Frank Weiskopf, CCIM) — Sat, 31 Dec 2011 11:20:00 +0000

An ideal location for dental, medical, or financial offices. In fact, any professional company serving Blount County will find Keller Lane an attractive place to do business. The property is surrounded by banks, shopping centers, fitness center, and restaurants.

Approximately .98 acres in size, we have a design package for a two story ten thousand square foot office building for this property.

To find this property take Highway 411 to Foothills Plaza Drive, turn right on Keller Lane, and look for the Realty Executives sign on the property.

Construction documents may be purchased with property. The site will require fill with permission from City of Maryville.

If you have trouble viewing go to http://tinyurl.com/6ufee8y

Pellissippi Parkway Development Land

noreply@blogger.com (Frank Weiskopf, CCIM) — Thu, 29 Dec 2011 13:15:00 +0000

Twenty Five Acres of Prime Development Land on the Pellissippi Parkway at Carmichael Road

10511 Hardin Valley

noreply@blogger.com (Frank Weiskopf, CCIM) — Wed, 28 Dec 2011 16:47:00 +0000

Office Space 4500 square feet

Offices, conference room, open office area, and break area, professional, private and quiet space.

10101 caneel Drive Knoxville on Brainshark

noreply@blogger.com (Frank Weiskopf, CCIM) — Thu, 22 Dec 2011 12:20:00 +0000

10101 Caneel Drive