Commercial Real Estate
Commercial Real Estate Investment
It’s common to use a capitalization rate, or cap rate, as a measure of the returns expected on an investment. This rate, however, is simply a one-time measure – a ratio between the Net Operating Income (NOI) and the purchase price. A more sophisticated measure of investment performance is the Internal Rate of Return (IRR). The IRR measures the true benefit of a real estate investment, taking into account factors such as depreciation of assets, amortization of loan costs, and expected market appreciation. Further, the IRR allows an investor to compare the return to that of other investment alternatives, such as stocks, bonds, gold, or CDs.
That’s where the benefit of using a Realtor with a CCIM certification comes in. CCIMs receive hundreds of hours of training on sophisticated forms of commercial real estate analysis, including the IRR. The goal of a CCIM is not to have a designation – it’s to go the extra mile to help clients make wide decisions. To take what could be a speculative decision to buy real estate, in other words, and make it into a wise business decision.
- Extensive industry networks
- Deep-rooted relationships throughout NW Montana and beyond
- Carefully crafted marketing strategies and creative solutions
- Regional and national listing sources
- Proprietary databases
- Distinctive signage
- Full-time marketing and client-communication support staff
Whether your real estate needs involve purchasing a 20,000-square-foot industrial building, a 1,500-square-foot retail space, a 50-unit apartment complex, or a 100-acre residential development property, our superb market knowledge and extensive experience help our clients find exactly the right commercial property. The competent practice of commercial real estate involves many “moving parts” that are not involved in residential property sales. Some of the elements we bring to the table as buyer- or tenant-representatives include:
- Excellent knowledge of properties both on and off the market
- Expansive industry and in-house networks, both in NW Montana and throughout the West.
- An extensive network of local attorneys, accountants, appraisers, builders and developers
- Proven negotiation expertise
- High-level comparative and financial analysis skills
- Consulting and support during the due diligence and feasibility phase
- Unparalleled market knowledge
We will work hard to identify and capture the ideal tenant or tenants for your building. We offer property owners a competitive edge through:
- Careful evaluation of prospective tenants in consideration of your goals
- Emphasis on filling vacancies with solid credit tenants
- Extensive experience with aspects of leasing often needed to convert lease prospects, such as free rent, stepped-up rent, inflation adjustments, and cost allocation of tenant improvements.
- Targeted marketing to turn a carefully designed leasing strategy into leasing results.
- Superior market knowledge
- Extensive relationships and team communication. Dave knows which companies are in the market for new space, which leases are expiring soon and which buildings can offer comparable space for less money.
Whether you’re a retailer looking for high-traffic space, a manufacturer looking for low-cost industrial space, an entrepreneur relocating your tech firm or a national business searching for a prime location, we help clients of all sizes to secure long and short-term space to meet their needs. Evaluating each space with considerations such as:
- Current needs and potential future requirements
- Expansion (or downsizing) goals
- Leasing terms (rental rate, leasing period, tenant improvements, rent concessions)
- Location, parking, pedestrian and traffic flow
In short, we will simplify the process of securing the ideal space in which you and your business can thrive.