Dayton Commercial Realty

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Dayton Commercial Realty has expertise in office space, industrial, commercial, warehouse, and retail properties. In addition, the firm has extensive in land sales for commercial development. Dayton Commercial Realty is one of the leading commercial real estate firms in Dayton Ohio. For over 30 years, Richard J. Moody of Dayton Commercial Realty, has guided and represented thousands of investors, developers, owners, tenants in lease and sale negotiations, acquisitions and dispositions.

We have reached the bottom of this recession and recovery has been sighted on the horizon. However, unemployment statistics are still a cause for concern for a sustainable recovery and for positive absorption in the commercial real estate sector. As the economy recovers, traditionally the industrial real estate market lags behind by approximately six to 12 months.

Our industry has a few hurdles to overcome as the economy begins its slow recovery. Obtaining financing remains a challenge for many borrower; in addition, there is another major issue facing the commercial real estate industry. Many of the loans that were originated by using commercial mortgage backed securities (CMBS) had high loan-to-value, plus they were often interest-only and had optimistic appraisals.

If a seller can wait it out, offering the commercial property on a three-to-five year lease with an extremely aggressive rates may provide a good solution. Those who need to sell have to face the reality that their property is not worth what it was in 2007. The good news for them is that they should be able to get an excellent deal on their new purchase. Plus, interest rates remain very attractive for borrowers who have the 20 percent to 35 percent down payment. This is a fabulous time as a buyer or a tenant to lock in long-term, low occupancy costs for office space, retail space, or industrial space for your business.

If you do decide to wait to sell, it could be a very, very long wait. It may be many years before prices ever get to pre-recession levels again. Also many potential buyers are inclined to continue waiting. The next 12 months should be a good time to buy, however, when the market turns, it turns fast. With no new construction, inventories will eventually subside. If the economy surges, it would take 12 to 24 months for developers to gear up for new construction. This means prices could quickly spike if demand picks up rapidly. Additionally, as soon as the Federal Reserve senses the economy is heating up, interest rates will climb, adding to the cost of ownership and lease rates.

The bottom line: if you find a building that fits your business or works as an investment that is being offered at a "good price," take advantage of the opportunity. These times won't last forever. Please call us for all your Commercial Real Estate needs. Dayton Commercial Realty are the experts in Commercial Real Estate.