2024 Ones to Watch – Industry Leaders: Harrison Klein, Marcus & Millichap
Three skills that you use every day in your position: Empathy to understand client’s deeper goals, localized underwriting and negotiation skills. Best book, podcast, or app for aspiring leaders: The Go Giver by Bob Burg and John David Mann and everything by Zig Ziglar. Best advice for new leaders: “Train people well enough so they can leave. Treat […]
Sale-Leaseback vs. User Sale
Selling vacant to an owner-user was once the obvious choice for maximizing the sale price. However, the bullish pace of the industrial market shattered this paradigm. Investors identified the remarkable upward trajectory of property values and began adopting a forward-looking approach, being willing to pay today based on much higher future projected rents. Users historically […]
Industrial Investment Market Update
How are prices still so high despite these crazy interest rates? This statement is usually used in reference to housing; however, in my world of private-market industrial, it is just as true. Over the past 18 months, borrowing costs went from 3.5% to 7%. Despite this, we continue to witness record-high prices and cap rates […]
Leases: An Investment Broker’s Perspective
Higher rent is better than lower rent. This eternal truth is sometimes the first and last consideration owners make when reviewing leasing options. As investment sales brokers, we recognize the other lease terms that influence the value of the property. Before signing a new lease owners should always consider the impact of that lease not […]
Growing Wealth with Real Estate
My job allows me to speak daily with people who have achieved financial freedom through real estate investing. This is usually achieved over 10+ years with relatively minor individual investments. I’m a numbers guy and wanted to look at what it would take to reach financial freedom in ten years by consistently investing in real […]
Q2 – 2023: The Klein Report
The state of the industrial market remains relatively strong. Industrial valuations remain at or near their peak on a dollars per-square-foot basis. Over 30% rent increases remain common as legacy leases roll over. Vacant buildings are selling for record prices. Our clients tend to serve tenants in under 75,000 SF spaces. There is effectively no […]
Industrial: The mark to market investment strategy
Why are institutions buying industrial buildings at extremely aggressive cap rates? It’s all about the opportunity to move the low in-place rents up to market. This is known as a “mark to market” opportunity. While office and retail rents generally sit at or above market, industrial rents are commonly 10%-50% below market. Buy one of […]
Silicone Roof Coatings
Silicone roof coatings have gained popularity in the roof restoration industry due to their effectiveness in protecting and restoring various commercial roofing substrates. In this blog post, we will explore the pros and cons of silicone roof coatings, including their advantages and considerations. Advantages of Silicone Roof Coatings: Disadvantages of Silicone Roof Coatings:
Who You Need To Know To Self-Manage Industrial Property
What’s involved with managing an industrial building? We frequently sell buildings to investors who have never invested in industrial before. This is particularly true for buildings under the $3 million price point. Often these are investors experienced in owning small multifamilies, retail, or suburban offices. They have seen the astronomical returns achieved by industrial owners […]