commercial real estate ma

Commercial Real Estate Market in MAAugust 10, 2013

Commercial Real Estate Market in MA

REGIONAL ECONOMIC HIGHLIGHTS

August 10, 2013


UNEMPLOYMENT

JOB GROWTH

FINANCIAL MARKETS

August 10, 2013

Labor Force830,000 person private labor force

13,000 military personnel transitioning into workforce annually

12 traditional colleges and universities and 10 for-profit institutions

Over 14,000 degrees conferred annually

Wage rate 8% below national average

August 10, 2013

Massachusetts Roads Economic Indicators


Massachusetts Roads Economic Indicators

Military & Government•$19 billion – Direct DOD spending

•45% of regional economy

•Key issues in 2010:–Loss of another carrier group–Need to develop new OLF–Transportation system.

August 10, 2013



OFFICE OVERVIEW

August 10, 2013


FORECAST

THE STATE OF THE OFFICE MARKET

TENANT LEVERAGE

FINANCING

ABSORPTION

August 10, 2013

INDUSTRIAL OVERVIEW


August 10, 2013


“HIGH CUBE” SPACECHALLENGED

INDUSTRIAL CORE STILLHEALTHY

FINANCING

USER LEVERAGE

FORECAST

August 10, 2013


RETAIL OVERVIEW

August 10, 2013


ANCHORS IN TROUBLE

SMALL SHOPS

FINANCING

TENANT LEVERAGE

FORECAST

August 10, 2013


FINANCINGOWNER OCCUPIED/BUSINESS BASED

SPECULATIVE CONSTRUCTION

REFINANCING MARKET

CMBS MARKETS

August 10, 2013

Vacancy and Rents

August 10, 2013

National Trends 4Q 2008 4Q 2009 Rates Apartments 6.50% 8.40% -6.00% Industrial 9.80% 13.00% -9.00% Office 16.00% 19.4% -9.00% Retail 12.9% 18.6% -8.00%

Mortgage Banker’s Association

Vacancy and Rents

Regional Trends

4Q 2008 4Q 2009Quoted Rates

Effective Rates

Apartments 6.90% 6.90% Flat -7% Industrial 9.90% 10.90% Flat -20% Office 9.80% 11.10% -10% -15%

Retail 6.20% 6.70% -5% -25%

Source: Real Data/CoStar

Questions?

Eric BuliungReMax Executive Realty445 Franklin Village Drive Franklin, MA 02038, Franklin, VI 02038

Tel: (508) 545-3199http://www.sellingfranklinma.com

http://www.sellingfranklinma.com/

commercial real estate ma

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