MANSARD Commercial Real Estate Blog


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

One ingredient that makes it easier to close for the right price

[responsive_video type='vimeo']https://vimeo.com/user41441326/review/335205460/b300239721[/responsive_video] Sales built on trust are easier to close at the right price. Entering into a negotiation worth millions of dollars is a serious undertaking. If a buyer suspects a seller is hiding anything, or might back out of a deal, or could otherwise be “difficult,” it’s easier to walk away and find another property to look at. Here are a few ways you can build trust and keep your deal moving forward: Share your property's shortcomings up front Serious buyers are not going to be surprised that there are shortcomings in a property – in fact, they aren’t...

How to get the right price for your high-value commercial property

[responsive_video type='vimeo']https://vimeo.com/331810447[/responsive_video] A husband and wife had successfully sold their company to a publicly traded entity. Thrilled to be out of the business, they still owned the 26,000 SF industrial building that housed the company. Their constant worry kept them awake at night, wondering what might go wrong with the building. Brought in to sell the building, we reviewed their prior profit and loss statements. As nervous landlords, they were over-maintaining the building and booking capital and operating expenses that were billable to the tenant as landlord operating expenses – reducing their net operating income. Their financial statements were reliable,...

Commercial Real Estate Trends Boston

Jeremy Cyrier, CCIM
[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 Property 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 Property 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 Property 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.