You know…the one that doesn’t secure financing before they have their agent shop?

Commercial transactions can easily work their way into the millions of dollars, and sellers need to know that they are talking to a person that can afford what they have to sell. Otherwise, it is a waste of time.
“I know you want $2.5Million for it, but would you take $500 and my access the the Canadian Squirrel Militia??”

Before you approach someone about buying what they own, make sure you have talked to a financial specialist so you know what you can afford. And, yes, there are commercial real estate specialists (not all are alike). That way, you will keep from being “That Guy”.

Contact Howard Freedland for all your commercial real estate needs!
📱 561.889.2735
✉️ Howard@EchoCommercialProperties.com

You get by with a little help from your friends!

Get excited…but don’t show it…this week on the Echo Commercial Tip of the Week with Echo Commercial Properties Agent Howard Freedland.

Don’t be that guy!  You know, the one that wears their emotion on their sleeve. It is great to be excited to buy something new. I wish that everyone had enthusiasm for what they did in real estate. However, releasing those feelings at the wrong time and place can put you at a disadvantage in negotiations. Popping a champagne bottle should be reserved for private celebrations. The same goes for negativity.  Keep your emotions in check, and you won’t be that guy.  Call me for your commercial needs. I am Howard Freedland, and this has been your Echo Commercial Tip of the Week.

Contact Howard Freedland for all your commercial real estate needs!
Phone:   561.889.2735
Email:  Howard@EchoCommercialProperties.com

#CommercialRealEstate #InvestmentTips #RealEstateAdvice #RealEstateInvesting #RealEstateStrategy #PropertyInvesting #CommercialProperty #DontBeThatGuy

Don’t be that guy!  You know, the one who doesn’t can’t help themselves and talks about religion and politics in their showings. I once was verbally attacked during a showing. It was Covid and there was a mask-mandate in the building I was working in. Now, I don’t care whether you agreed with masks; I just cared that there were rules – that I did not write and the client thought it was in his best interest to express his thoughts…intensely at me since I was the listing agent. Do you think that his bargaining position improved with his bravado? The answer is NO! Don’t be your own worst enemy…Don’t be that guy! 

You know – the one that buys something that does not take care of it!

All too often, we get enamored with a new toy, otherwise known as a new potential investment. When we buy with our hearts instead of our heads, we can forget to make sure that we have adequate reserves to take care of our new acquisition. Our new toy can become junk in a quick minute if we don’t budget the money to manage the upkeep.

Make sure to talk to a mortgage specialist that is a good communicator, and understand the ins and outs of buying an asset. That will keep you from being “that guy! I am Howard Freedland and that is your Echo Tip of the Week!

Set Phasers to “Green”

On the off chance that you are a Star Trek fan, you can appreciate the title of today’s piece. If not, allow me to briefly explain.  Whenever Captain Kirk sensed trouble, he would tell the crew he was with to “set phasers to stun.”  Or, if the alien was bad enough…kill. Today, though, we are not talking about phasers, but phases, and those phases refer to environmental examinations.

So, you are touring an investment property that is in the warehouse district. The building looks good from the outside, there is adequate parking, and the roof was even replaced the prior year. Oh, did I mention that the price was right in your wheelhouse? What could possibly derail the transaction? Inspector Gadget could…

Environmental site assessment phases help classify probable or existing environmental contamination liabilities. These assessments fall under due diligence and help give an accurate picture as to the amount of work needed to be put in to bring the property to a proper, healthy level.  Let’s look at the differences between the two phases of inspection.

Phase I helps build the scope and framework for the property in question. It includes interviewing the current owners for work that has been done. There are a lot of records to review, looking into whether there were hazardous materials used on site. Phase 1 also allows for research with the local government for history with the property, reviewing adjoining properties and comparing the current condition to the original site plan. The goal is to decide if the property was contaminated in the past. If warranted by the report, a Phase II assessment can be ordered. Cue up the intense music…

Phase II ESA will confirm the presence of hazardous materials on the property, helping protect a potential buyer, lender, investor, or another interested party on the transaction from environmental liability.

Another difference is Phase II assessments are unquestionably more intrusive than Phase I. In Phase I ESA (environmental site assessment), evaluators record things like deeds, aerial photographs, surveys, maps, and other essential documents and even examine records of other nearby properties. While Phase II assessment will assess more things like subsurface soil borings, groundwater monitoring well installation, minerality tests, drum sampling, sampling of dry wells, floor drains and catch basins, transformer/capacitor sampling for Polychlorinated Biphenyls (PCBs), testing of underground storage tanks and much more.

The Phase II goal is to assess actual presence of environmental contaminants. For example, if a Phase I determine if a vapor encroachment condition is likely to exist at the subject property, the Phase II will further highlight potential remedial actions that may be required to clean up the property. Determining actual costs to clean up potentially dirty land can help hold a transaction together or allow you a way out.

Just as in Poltergeist, the movie, having a more thorough inspection of the grounds may have helped “unearth” their eventual problem of the ancient Indian burial ground, your environmental tests can help save you from numerous future EPA clean up expenses. So, set your “phases” to Green, and best to you in closing that transaction!

Contact Howard Freedland for all of your commercial real estate needs!
📱 561.888.2735
✉️ Howard@EchoFineProperties.com
www.EchoCommercialProperties.com

Restaurants – Echo Commercial Tip of the week

My stomach is rumbling, but where should I go to eat? The changing landscape in commercial real estate – restaurants – today on the Echo Commercial Tip of the week.

This week, Burger Fi and Anthony Coal Fired Pizza & Wings announced that they may need to file for bankruptcy or even cease operations throughout the United States. This adds to a troublesome list of businesses that have announced concerning financials or are trying to restructure. Burger Fi has 102 locations and Anthony’s has 60, and when added to the distress of Rubio’s, Tijuana Flats, Red Lobster, Bucca di Beppo and World of Beer, we have several chains that could potentially lead to a ton of vacancies.

How does that affect us? There is always a demand for restaurant space in key areas. Delray, West Palm Beach and Jupiter vacancies could potentially be filled, but at what cost? The turn-around time for a remodel can be lengthy, and the lease rates, which were at a premium in recent times, may take a hit in the interim, causing additional financial stress to the landlords, and subsequently the banks.

Keep your eyes on additional chains announcing financial stress, as it is a good indicator of how the economy is shaping up. That will help you make good decisions if you choose to enter that sector with your latest and greatest restaurant innovation. Call me for restaurant availability. I am Howard Freedland and this has been your Echo Commercial Tip of the Week.

Contact Howard Freedland for more information on Commercial Properties!
Phone: 561.889.2735
Email: Howard@EchoFineProperties.com

ECHO Commercial Properties

Pens Down!

If the pen is mightier than the sword, then we are all out there fighting with butter knives. Commercial loans are tougher to come by, and bankers are being extra-cautious.
See why on my newest installment of the Echo Commercial Tip of the week!
Contact Howard Freedland for more information on Commercial Properties!
561.889.2735
Howard@EchoFineProperties.com

What We Don’t Know

Every day, I am asked what I know about the real estate market in South Florida. People want to know what types of properties are best for investors. They want to ask if I have a good idea what company to use for an inspection. Lately, people are asking my opinion of what is going on with the craziness surrounding the recent NAR settlement. Should we wait to buy until the settlement is enacted? Will this cause the prices to drop? Will it mandate what color I must paint my industrial complex? Well, I am Howard Freedland with Echo Commercial Properties, and today, I focus on what I don’t know.

One: Should I stay or should I go?
If you want to invest, the same rules apply. Find a property that is worthy of your investment…and negotiate for it! The settlement will not change things in the commercial world, as commissions have always been negotiated at the beginning of each transaction, and many of us have buyer representation agreements in place to protect our work. Clear, honest communication will always win out over speculation. I don’t know if this agreement will improve profitability of any deal…just that how you get to the final number may change a bit.
Two: Will you save money after the settlement is finalized?
You might, but at the end of it, someone will need to perform work on a buyer’s behalf, and that person will need to be paid properly for doing it. Nothing worth anything in life is free. If people are positioning themselves to benefit from this, remember, you get what you pay for. This settlement is not to say that the work done by some agents is superfluous, just that the numbers may be negotiated. Trust me when I say that there are several things good agents do for their compensation, and if you think you can shave that down, try. But you may, indeed, be hurting yourself in the long run.
Three: Will building colors be mandated? Yes…everyone will have to paint their warehouses yellow, multi-family is brown and offices will now need to be green. Remember when I titled this piece “what I don’t know”?
Bottom line is that the NAR settlement will make agents more accountable to all parties in a transaction, and that some of the aspects of compensation can be negotiated. It will increase buyer representation agreements being used, and it will not require you to paint your building. Remember, at this point, this case is still evolving, and it is smarter to say what we don’t know…yet. I am Howard Freedland, and this was the Echo Commercial tip of the week.

Contact Howard Freedland for more information on Commercial Properties!
561.889.2735
Howard@EchoCommercialProperties.com
https://www.echocommercialproperties.com/