In Florida, many business owners choose to separate the ownership of their operating business and their real estate into two LLCs — one for the business and one for the property. This structure is often used to manage liability, create flexibility for estate or exit planning, and improve financing options. However, it’s not without drawbacks, […]
Exploring Distress Investing in the Current Real Estate Market In a recent episode of America’s Commercial Real Estate Show, the show host and guest Joe Sarachek, a managing partner of the Sarachek Law Firm, author of Distress Investing Playbook, and Adjunct Professor at NYU, explored the world of distressed commercial real estate investing. The conversation […]
Investors often consider commercial property primarily on the cap rate (net operating income divided by price). In most cases there is the expectation of NOI (net operating income) growth and appreciation over time. These expectations are seemingly considered as benefits, with no consideration given to them as incremental return. In this post, we seek to […]
I was recently exposed to a survey for a buyer following a property tour wherein the buyer and buyer’s broker were asked a few questions, one addressing how they felt about the listing price. This immediately struck me as something that might work against the interests of the seller. I’ve long been a student of […]
In the financial markets, option theoretical values are most often calculated using the Black-Scholes model. Developed in 1973 by economists Myron Scholes and Robert C. Merton, this model was introduced to the world in their seminal academic paper, The Pricing of Options and Corporate Liabilities. In my time at Morgan Stanley, where I held the […]
We regularly work with buyers to make unsolicited offers for commercial real estate, usually in situations where a property is not optimally utilized, if utilized at all, i.e. where the current use is not the property’s highest and best use. Owners of these properties frequently would sell for a premium price, and my buyers frequently […]
One sunny south Florida day, a guy called me asking about a property. The caller, Marty Applebaum, owner of M.A. Construction Group. was wondering if I might know who would be the best person to talk to about potentially repaving the property’s parking lot. He was hustling for business. I love that. In the middle […]
I regularly am in situations where a buyer is interested in some commercial property that is already under contract. It is the exception where I don’t recommend submitting a backup offer. There are two principal advantages to a buyer of submitting a backup offer in an effort to put a backup contract in place. Both […]
Years ago I was the owner of multi-unit franchise territory for Aaron’s Sales & Lease Ownership stores. My territory was in New England, initially in the northern part of metro Boston, then later extending to cities in southern Maine. Upon executing an agreement for territory with the franchisor, I began driving my markets, getting to […]
In this video from America’s Commercial Real Estate Show, Jeremy Cohen of leading commercial real estate law firm Hartman Simons discusses commercial real estate legal trends in retail properties. Among the topics that are discussed are the ICSC RECon 2018, new trends in retail and mixed-use development, changes in leases and lease clauses, parking related challenges, and […]
The host of America’s Commercial Real Estate Show answers a commercial real estate related question from a viewer: What is a straight lease?
The host of America’s Commercial Real Estate Show answers a commercial real estate related question from a viewer: Why does a landlord want to control what type of business I operate?
The host of America’s Commercial Real Estate Show answers a commercial real estate related question from a viewer: What is a lease expense stop?
The host of America’s Commercial Real Estate Show answers a commercial real estate related question from a viewer: When buying a commercial property, what are tenant interviews?
The host of America’s Commercial Real Estate Show answers a questions asked by a viewer: Should I get an environmental audit when I buy a commercial property?
Michael Bull, commercial broker with Bull Realty and the host of America’s Commercial Real Estate Show, answers the question of whether a buyer of a commercial property should purchase title insurance (when buying commercial real estate).
