MANSARD Commercial Real Estate Blog


Explore MANSARD Commercial Real Estate Sales’s latest blog posts, expert advice, news, and commentary.

Commercial Real Estate Trends Boston

[vc_row][vc_column width="3/4"][vc_single_image image="10522" img_size="full" add_caption="yes" alignment="center"][vc_column_text] How do you know when commercial real estate trends in Boston will hit peak value? The truth is, you can’t. At least not until you look back and see what your commercial property in Boston was worth. According to Dr. Chris Lee, historical real estate cycles, including commercial real estate trends in Boston, over the past 45 years have lasted 10 years and started around the third year and usually end at the eighth year of each decade. That means the market declines began in 1978, 1988, 1998 and 2008.[/vc_column_text][vc_single_image image="15879" img_size="full" alignment="center"][vc_column_text]But, did...

What Will Next Year Bring for Cap Rates in Massachusetts?

cap rates in massachusetts
Many commercial loans originated in 2017 offered a 4.5% rate that amortized over 25 years.  As the Federal Reserve bank has increased interest rates, many commercial real estate owners are asking , what will next year bring for cap rates in Massachusetts? Based on an assumed borrowing rate of 5.5% today for 25 year amortization, in order to achieve a 10% equity dividend rate, equivalent to a 4.5% borrowing rate, cap rates in the greater Boston area would have to increase by .53 points.  Thus, a 7.0% cap rate would rise to 7.53% to maintain the same 10% cash on...

Commercial Real Estate Outlook 2019 Released by Deloitte US

MANSARD Commercial Real Estate Sales's Insight
In Deloitte's new commercial real estate outlook for 2019, you'll find their perspective on how the competitive landscape is changing as well as how new business models are emerging to disrupt the CRE landscape. Of course, they focus on technology as this slow to change commercial real estate industry adopts the latest in financial and real estate technology to enhance its management of data, market decision making, and meeting investor and tenant demands.


Article Excerpt:

New business models and competition, extensive use of technology, and changing tenant and investor expectations are redefining the commercial real estate (CRE) industry. As investors increasingly favor newer business models and the tech-enabled ecosystem, companies in the commercial real estate industry will have to realign business priorities and adapt to new demands. The most agile will win away customers and top talent—along with investment dollars. See it on Scoop.it, via Commercial Real Estate in Boston

Here are the MA and NH Mattress Firm Locations Closing | Retail Real Estate Trends

MANSARD Commercial Real Estate Sales's Insight
Mattress Firm's latest bankruptcy filing will affect retail real estate trends in Massachusetts and New Hampshire as they move to reduce their retail footprint in the area. These 6,000 SF store blocks will be challenging to fill because few retail tenants in the market demand these size spaces as well as have little impact on parking ratios. Expect to see retail real estate investors demising these spaces to create 2-3 new units to accommodate retail tenant demand and to better align with changes in the retail real estate trends market.


Article Excerpt:

Here is a list of Mattress Firm locations throughout Massachusetts and New Hampshire set to close in response to the company's Chapter 11 bankruptcy protection filed in Delaware. See it on Scoop.it, via Commercial Real Estate in Boston

What Tenants Want In Warehouses Of The Future – Industrial Real Estate Trends

MANSARD Commercial Real Estate Sales's Insight
As warehouse tenants increase their demand for industrial space, expect to see industrial real estate trends continue to favor volume over square footage. Ceiling heights offer tenants greater interior flexibility in their warehouses, allowing them to introduce stacking, automation, robotics, and fork lifts that can reach as high as 44'.


Article Excerpt:

Automation, supply chain efficiencies and soaring ceiling heights will dictate the warehouses of tomorrow.

5.5 Tips for How to Sell Commercial Real Estate Fast

How to sell commercial real estate fast
Want to find out how to sell commercial real estate fast? Here are 5.5 tips that make sure you cover what’s critical to your sale. Tip #1 Call your real estate attorney and order your title immediately. Your title report may take anywhere from 7-10 days to arrive, so it’s critical to get this done today. Tip #2 Update your environmental survey if older than 6 months. Any well-paying buyer’s going to want to make sure they’re helping you to sell your commercial real estate fast will want to ensure they’re not buying an environmental nightmare. These reports can take...

Fed Raises Interest Rates, CRE Sector Shrugs It Off – Boston Commercial Real Estate Market Trends

MANSARD Commercial Real Estate Sales's Insight
As the Federal Reserve Bank moves to increase its key short-term rate, most commercial real estate investors expected the increase and have priced the change into their market valuations. This means that Greater Boston Commercial Real Estate Market Trends are accounting for the increased cost of capital today in adjustments to acquisition and disposition capitalization rates as well as optimism around inflation in the economy driven by positive GDP, which may ultimately result in rent growth and help to buoy investment valuations against a rising cost of capital marketplace. MANSARD's boston commercial real estate market trends tip: watch the debt rate and its corresponding relationship to acquisition cap rates in the next 12 months. Buyer pricing will be increasingly sensitive to the cost of borrowed funds as will their estimates for exit cap rate valuation in their discounted cash flow models.


Article Excerpt:

As expected, the Fed ups rates. Commercial real estate doesn't think it's a big deal.  

Steward Health Care Property Sold for $23.5M – Norwood MA Commercial Real Estate Trends

MANSARD Commercial Real Estate Sales's Insight
The sale of this Steward Healthcare tenanted medical office property illustrates the strength of the Norwood, MA commercial real estate market as well as investor demand for large, hospital-centric healthcare providers in Massachusetts. The property sold for $23.5M, which represented a price of $254/SF.


Article Excerpt:

A Norwood medical building anchored by Steward Health Care has been sold for $23.5 million. The building is located at at 825 Washington St. See it on Scoop.it, via Commercial Real Estate in Boston

New $30 million financing for 3-property Burlington MA commercial real estate portfolio

MANSARD Commercial Real Estate Sales's Insight

The recent Blanchard Woods financing shows the resilience of the expanding Burlington office space market as this new $30M package closed. Blanchard Woods will benefit from an 11-year fixed rate loan with Nationwide Life Insurance Company.


Article Excerpt:

BOSTON – Holliday Fenoglio Fowler, L.P. (HFF) announced $30 million in financing for Blanchard Woods, a three-property office portfolio totaling 194,421 square feet in the suburban Boston community…

1 2 3 26