Wednesday, August 27, 2008

Now You Can Have Existing Flex Space in 2T Park for Quick Occupancy

For the first time in a long time space is becoming available in Building 4474 Posterity Court. As currently configured there is 2,400 Sq Ft of Warehouse and 3,600 Sq Ft of Office.

Simple Alteration can split the existing configuration into a 3,000 Sq Ft Office Unit or an Office Warehouse Unit with 600 Sq Ft of Office and 2,400 Sq Ft. of Warehouse.

This opportunity is so new I do not even have pictures to post yet.

Friday, August 22, 2008

Financing Now Adds To Construction Issues

In the post of August 11th I warned of very aggressive material cost increases being announced for the Fall. This was not good for construction or development of new projects.

Now financing is continuing to tighten. Some Lenders are leaving the market. The Lenders that remain are asking for additional equity. Bottom line is new Development is being funded only for a rising price and under terms and conditions where they can greatly lower their risk.

What does it mean? The short term outlook for new construction and development is slow. Perhaps for 18 to 36 months. The outlook for Landlords is bullish. There will be little new space coming on the market for sale or lease. When supply lessens even if demand remains the same prices rise.

This makes properties like S Church St in Lowell and the Property in Kings Mountain attractive. The Kings Mountain Property is especially attractive because it has existing buildings for current income and undeveloped acreage for growth when the timing is right.

Monday, August 11, 2008

Sky Rocketing Material Cost Increases

Procrastnation is going to prove costly if you need to expand your business space. Last week we received a notice from CEMEX that concrete was going up $25.00 per CY. That is serious on a $100.00 item. The increase is not going to incorporate fuel surcharges, evironmental fees, etc... Today we received notice of a 10% price increase on insulation from Service Partners.

If you have a need for a new facility, to expand an existing facility or locate new space quick decisive action will pay dividends. These price increases make especially attractive the property in Kings Mountain and the 831 South Church St. Building in Lowell detailed in the posts below.