Bob Rein

Commercial Real Estate may be weak in AZ but retail, office and industrial leasing is still moving in Surprise and the northwest valley. As a tenant rep, I have been watching rates fluctuate from what is actually being agreed to Vs. asking prices. Creative deal structuring is important as you can strike a great balance that is a win-win for both the landlord and the tenant. Tenants need reasonable rates in the first few years while the landlord is looking for strong leases to leverage with lenders or potential buyers. Surprise is over built in retail and office but not so much in industrial properties. I can help locate great deals. Let me know what your needs are and I can find it in Surprise or the surrounding communities in the northwest valley.

Hello everyone and I really want to thank you for the responses I received from my first Blog. I was really impressed and gathered some very useful suggestions. Today as I looked out upon the incredible resort community I live in, Sun City Grand, I can't help but think about folks around the country getting ready for winter. Even though I do not sell residential real estate, I thought I might comment about the retirement environment in sunny Arizona.

Typically, our commercial market is boosted each year by the return of the snowbirds. They start coming in mid October and leave around late May. Many have second homes here and some just rent. Rentals start at around $1700 per month and hit their peak in Jan, Feb and March where rates hit around $2500 per month. Besides the weather, what attracts people is the golf and other ammenities this place has to offer. Check out some on www.grandinfo.com/ddoc/toursuncitygrand0704.pdf and see for yourself. This place is equivalent to a resort with 4 great courses, 2 incredibly large fitness centers, bike and hiking trails, and jsut about anything else one would want.

With the downturn in the housing market, prices have come down to affordable. Just ask the Canadians that cleaned up this year. An example of a typical property (and one that I own) is shown here: http://www.flexmls.com/cgi-bin/mainmenu.cgi?cmd=url+other/run_public_link.html&public_link_tech_id=m6n5nu3jvrd&s=12&id=1&cid=1. The agent, Cindy Kingery, 623-910-3576 is one of the best.

Housing drives the commercial market. Surprise's population at around 107,000 swells to around 128,000 during snowbird season. Thus the Surprise economy stays robust even during a downturn in the market. This is great for either residential or commercial investors or folks just needing a break from winter.

If you have any referrals, please let me know. i am more than happy to pay a referral fee.

Hello,

This is my first attempt at Blogging so please bear with me. First and foremost I want to say that leasing in Surprise is better than most parts of the valley. Retail is alive and well and landlords are now beginning to recognize the impact of the economy on lease rates. The retail picture here is large and growing each day. Look for new exciting developments to come on line over the next year or so. The largest is Prasada. The auto mall there is going vertical with Sands Chevrolet nearing completion. Five or six other auto dealers are close to beginning construction but the auto industry is in a world of hurt so that might delay starts. The Catholic Hospital should be following shortly. The Westcor mall is said to be about 2 years after the Goodyear Mall. That would indicate going vertical around 2011. Another large development slated for the south Surprise 303 area is Sycamore Farms.

Investors take heart. Deals under $20 million are able to get financing but be aware, cash is king as LTV's are running between 25-50+% down. Please let ne know if this type of information is useful or if you'd like to add something.

I serve on the City of Surprise's P&Z and we are down to one monthly meeting throughout the holiday season.