The commercial property landscape in New York and elsewhere last year started slowly, as a feeling of uncertainty pervaded the market. On the flip side, in 2018, people are much more confident about taking part in commercial real estate transactions. Still, they are approaching these transactions with caution.
According to experts, the expectations of buyers and sellers are aligning more now than ever before. In the past couple of years, transaction volumes declined because sellers were marketing their properties at prices that were too high in the minds of buyers. At the same time, buyers attempted to bring sellers down to lower pricing, which sellers did not want to accept given the country's low-interest-rate environment.
Today, more property owners are selling at prices that are more palatable to buyers. As a result, players in the commercial real estate world may start to see properties that experienced resistance last year quickly move into contract this year. The commercial market has also been strengthened by the sales of development sites and multifamily properties, with rentals remaining strong.
The future of the commercial real estate market in New York and other parts of the United States certainly appears to be promising in 2018. However, no two commercial real estate transactions are alike. Therefore, any transaction can quickly become complicated, whether it is a person's first one or his or her 21st one. Fortunately, a real estate attorney can provide both property owners and sellers with the guidance they need to see their deals through confidently and in the most personally beneficial manner possible.
Source: commercialobserver.com, "The Cautiously Confident Real Estate Market of 2018", Michael A. Tortorici, April 30, 2018