There’s some interesting news in this issue of CBN that bodes well for the economy and it’s about time. Whether you believe all the numbers or not, if the attitude is positive it’s much more likely to prove fruitful than the gloom and doom stance.
Even Mike Hollern of Brooks Resources admitted that he’s been a pessimist for the past four years, but he’s now turned around. He said although it’s hard to generalize in all sectors of the real estate market he now says that if we are not at the bottom we are close. “I think this is a good time to buy houses which I have not thought in the past four years. The upside is going to be tempered by a shadow inventory that has to be worked through and will be worked though in two three to years.”
On the commercial front several exponents report increased volume on several levels within the last year.
Brian Fratzke of Fratzke Commercial Real Estate says that for the first time since 2007 his firm is leasing more space to new businesses instead of just moving tenants around from space to space. He said his firm continues to increase the number of lease and sale transactions and recently closed a 5+ acre parcel of land sold to Goodwill Industries in Redmond, which plans a new building as well as development of retail/food use pad sites.
Darren Powderly of Compass Commercial Real Estate Services concurs there has been a relatively recent surge in business, with Compass experiencing an increase in business activity over the past 180 days. He says increased activity levels can be felt across all property sectors including office, retail and industrial spaces.
Alluding to an atmosphere of consolidation; Scott Gibbs of Lowes Property Management concludes that after four years of declining property values, commercial real estate valuations have stabilized which has contributed to an accelerated absorption of distressed assets over the last eighteen months. Commercial real estate represents an attractive opportunity for qualified buyers with cash and credit, with lower valuations and low interest rates for qualified buyers coupled with the lack of competing investment options.
Pat Huber of RE/MAX Key properties in Bend offers that the leading indicator of a healthy market is the level of new construction units that are closing. This segment in Bend is up by 45 percent in volume compared to last quarter.
On the Redmond front, Cat Zwicker-Grant of Desert Sky Real Estate notes that Redmond has an eye on being a balanced, functioning town with a positive growth outlook. Impressively she is pleased with the city’s expansion plans underway. She credits a unified community and government involvement as essential for competent and meaningful change.
Peter Storton of RE/MAX Revolution in Sisters says he sees every reason to be optimistic. He described Sisters as a special place with an abundance of arts and events but he could be talking about Bend and Redmond as well. He sums up the renewed optimism found in the region particularly considering the region’s assets, “we’re going to do well. Things are going to improve dramatically and those of us still here are going to benefit from that.” pha
