Skip to main content
Home
Stan Johnson Company

Main navigation

  • Meet Our Team
    • Meet Our Leaders
    • Meet Our Brokers
    • Meet Our Staff
  • Our Locations
  • What We Do
    • Investment Sales
    • Corporate Solutions
    • Debt & Structured Finance
  • Find a Property
  • Trends & Insights
  • Join Our Team

Breadcrumb

  1. Home
  2. Trends & Insights
Daybreak
Press
Stan Johnson Company Brokers 1031 Exchange Acquisition of Single-Tenant Retail Property Near Jacksonville, Florida for $9.7 Million
Stan Johnson Company, one of commercial real estate’s leading investment sales brokerage firms, has completed the sale of a 4,800-square-foot single-tenant retail property located at 820 Canaveral Trace in Middleburg, Florida. The Jacksonville-area convenience store and fueling station is fully leased to Daybreak Market on a long-term absolute triple net lease. BJ Feller of Stan Johnson Company represented the buyer. The property traded for more than $9.7 million, although the cap rate was not disclosed.  “This was an excellent addition to our client’s portfolio as they looked to reposition their real estate via 1031 exchange and optimize it for their long-term, multi-generational holding strategy,” said Feller, Managing Director and Partner in Stan Johnson Company’s Chicago, Illinois office. “We successfully ensured a smooth upleg and downleg, including placing the Daybreak Market under contract during the completion of construction. We very much enjoyed the repeat collaboration with Plaza Street Partners and CIA Commercial Advisors.”  The large format store reflects the tenant’s latest prototype, and construction was completed in late 2021. The property is situated on 2.26 acres and features 16 fueling stations. The site benefits from strong demographics in the immediate area, along with high traffic counts, proximity to schools and national retailers in the vicinity including Publix and Dollar General, among others. 
May 19, 2022
Harf-Tremblay-5-19
Press
Long Beach Cannabis Dispensary Sells for $11 M
Originally published by Los Angeles Business Journal A cannabis dispensary in Long Beach known as The Bakerie has sold for $11 million.  The 8,288-square-foot retail property is located at 1836 Harbor Ave. It sits on .74 acres.  A foreign investor purchased the property from a Michigan-based private investor.  Stan Johnson Co.’s Christian Tremblay and Isaiah Harf represented the seller, while CBRE Group Inc.’s Edwin Mariscal represented the buyer.  “This is the largest recorded retail dispensary sale in the state of California, and we are honored to have assisted our client in getting this property sold,” Tremblay said in a statement. “We have seen an increase in demand for cannabis assets due to their attractive yields in the current net lease environment and their high sales on a per square foot basis. Additionally, with the potential of safe banking and lending options continuing to evolve, we anticipate this demand to continue.”  In a net lease, tenants can be responsible for everything from maintenance to property taxes. These assets are incredibly desirable to owners because they come with guaranteed monthly income without the burden of maintenance and other expenses, making them a bond-like investment, experts agree.  In 2021, net lease investment volume nationwide increased 48% over 2020 levels to $92.1 billion, according to data from CBRE Group Inc.  The retail sector, the group found, accounted for 14.5% of net lease properties.  Both suburban and downtown Long Beach saw retail vacancy rates of 3.3% during the fourth quarter, compared with the 6% vacancy rate seen in the Greater L.A. area as a whole, according to CBRE data.  Asking rent for retail properties in downtown Long Beach was $3.50 a square foot, compared with $2.20 a square foot in suburban Long Beach and $1.81 a square foot in the greater L.A. area.  The Bakerie launched in 2020 and its Long Beach dispensary is co-branded with Lemonnade, a cannabis brand.   
May 19, 2022
Post-Courier-May22
News & Insights
Hanahan Medical Office Building Fetches $8.2M; 2nd Co-Working Firm Eyes Downtown Charleston
Originally published by The Post and Courier A Hanahan medical office building on a shopping center outparcel recently changed hands for $8.225 million.  Harbor Chevrolet Corp. of Long Beach, Calif., bought the 15,030-square-foot healthcare facility leased by Coastal Kids Dental and Braces at 996 Tanner Ford Blvd. in late March, according to Berkeley County land records.  The previous owner of the site in the Lowes Foods-anchored shopping center in Tanner Plantation was North Rhett Ventures LLC, which is affiliated with the owners of the tenant practice.  The two-story property was built in 2017 on a 1.52-acre site. The flagship location houses the tenant’s dental and orthodontic practice as well as its office support and executive staff.  Tulsa, Okla.-based commercial real estate firm Stan Johnson Co. handled the all-cash sale for the seller.  Jeff Enck with the broker’s Atlanta office said the property received multiple offers, but closed with a group of West Coast investors.  “Medical net lease properties, particularly those with rental increases, continue to be in favor with investors as inflation rises,” Enck said. 
May 18, 2022
Hodges-Beck-May22
News & Insights
Who’s Winning in Today’s Single-Tenant Net Lease Market?
Originally published by Shopping Center Business The single-tenant net lease (STNL) market has enjoyed quite the ride. Rents are rising and cap rates are at or near all-time lows.  2021 was a record year for STNL transaction volume, with $103 billion in investment sales, according to Stan Johnson Company’s research, and the first quarter of 2022 has already exceeded quarter-one 2021 by more than 30 percent. At the same time, national STNL inventory has remained very constrained.  This makes it a good time to be a net lease seller.  Selling, Buying the Dream “There is still an opportunity for sellers to take advantage of today’s pricing,” says Curtis Hodges, senior vice president in Stan Johnson Company’s Tulsa, Okla., office. “We’ve had a significant compression of cap rates over the last two years. We’re at historically peak pricing, and valuations aren’t likely to get much higher than they are today.”  Enter the first speed bump. With valuations unlikely to continue going up, sellers may not want to wait too much longer. Hodges believes we’re nearing an inflection point where pricing expectations may soon need to be adjusted.  “We’re not there yet – capital for STNL is still abundant, and there’s significant capital sitting on the sidelines,” he notes. “But we’re heading toward what might be a pricing adjustment period, perhaps by mid-year or early in 2023. I think a lot of people are asking themselves when we’ll start to see deals fall off at a higher rate and when assets will be repriced because buyers can’t get comfortable with the leveraged return metrics anymore.”  One investor group that may be more sensitive to these metrics are 1031 exchange investors. STNL transactions are notoriously popular with this cohort, but while they would enjoy the yield obtained in this uber-competitive, peak pricing market, they would need to find an asset to trade into as well.  That’s easier said than done right now. Still, with the market at a high, there’s a chance that inflection point could hit after the sale has occurred but before the new trade has closed, resulting in optimal conditions.  “If the equity from the 1031 downleg proceeds is enough to invest in the upleg property without securing high loan-to-value (LTV) debt, you’ll be able to pull the trigger on deals that those with larger financing constraints will have a tougher time with,” Hodges adds. “Those with large equity positions in STNLs who want to do a 1031 can end up in an optimal position and with more favorable pricing on their upleg than today’s peak pricing.”  Naturally, this also means cash is king once again.  “Cash buyers will remain in the market,” Hodges continues. “Especially as people sell out of this market. There are some investors that have waited patiently for this window of opportunity as well.”  Of course, peak pricing isn’t the only trend to watch in this market. Supply chain issues. Inflation. Higher costs of construction and materials. Labor shortages. Political unrest. Then you have interest rates. The Fed raised its targeted federal funds rate by 0.5 percent in early May – the largest increase in more than 20 years. With multiple rate hikes forecasted, upward pressure is expected to be placed on cap rates.  As the saying goes, however, there are opportunities — and winners — in every market. Aside from timing a 1031 exchange perfectly, Hodges believes risk can yield some, well, yield.  “A lot of people are looking at other asset types seeking a little higher yield,” he says. “This could include net leases with shorter lease terms, lesser credit, or looking at secondary markets with favorably trending demographics. You want to look at your investment risk appetite and work with a seasoned advisor in the market who can fully underwrite deals thinking about lease term, location, non-investment grade, private credit or track emerging tenant concepts.”  Emerging Winners Hodges is particularly bullish on emerging tenant concepts that are highly convenient.  “If the business model allows for quicker stops inside the store, or allows people to not have to go into a store at all by providing a drive-thru or curbside pick-up, that concept is generally a winner,” he says.  Other STNL winners include quick service restaurant concepts like Sonic, Chipotle, Slim Chickens and Dutch Bros. Coffee, Hodges notes. These tenants are adding more drive-thru lanes, reducing or excluding sit-down space, and rapidly expanding.  “We’re seeing strong cap rates for Dutch Bros.,” Hodges adds. “In some cases, they’re selling for lower cap rates than Starbucks.”  “Medtail,” the merging of healthcare and retail, is another STNL concept that’s been in the spotlight, adds Lanie Beck, director of corporate research, marketing and communications at Stan Johnson Company.  This term emerged several years ago as healthcare tenants began to occupy retail space, she says. “Urgent care facilities and dental practices, among others, started taking advantage of vacancies in shopping centers to get closer to their desired client base, and now in some cases, these tenants are embracing the single-tenant, freestanding retail format — think Aspen Dental or Clarkson Eyecare.”  The next wave of retail repurposing could be on the horizon, Beck predicts. “Drugstores like Walgreens and CVS are needing to service more and more customers through their drive-thru lanes, whether it’s for prescription pickups, testing, vaccines or urgent care services. Post-pandemic, we’re seeing significant delays and back-ups, as most of these properties only feature a single drive-thru lane.”  Beck thinks the answer could lie with vacant retail bank branches. “If drugstores, or other medical providers, had three, four, or five lanes in play at once, think how many more customers could be serviced. I could see this becoming a reality in ten-plus years.”  Where the Opportunities Lie With many investors looking to the net lease retail market for long-term holds, it’s important for buyers to be confident in a sector, a geography and a tenant or concept before pulling the trigger.  “If you can’t buy in a primary market, then look at markets where there are favorable demographic changes happening,” says Hodges. “Lesser known secondary or tertiary markets often have plenty of strong tenants and growing concepts for investors to consider. If you study the history of the net lease market, there are opportunities today to buy properties that may see the same evolution as dollar stores 20 years ago, for example.”  So where would Hodges and Beck put their money?  “As a net lease investor, I’d look for that emerging tenant I believed in. I’d look at their business model and want to feel confident they were sustainable,” Beck says.  Hodges agrees. “Certain QSRs I personally like. I’d probably go with a well-located Dutch Bros. in a growing secondary market. They’ve figured out quick, quality service. The market’s big enough for two major specialty concepts, so they can compete with Starbucks. They’re also moving into markets where they can succeed.”  And just like that, a new winner might be born. 
May 17, 2022
CaliberCollision
Press
Stan Johnson Company Arranges Sale and Purchase of Flagship Caliber Collision in Memphis, Tennessee
Stan Johnson Company, one of commercial real estate’s leading investment sales brokerage firms, has completed the sale of a 40,522-square-foot retail property leased to Caliber Collision. The flagship store, located at 296 Adams Avenue in Memphis, Tennessee, is more than double the tenant’s typical size. Stan Johnson Company’s Ronnie Givargis represented the seller, a Florida-based private investor. The buyer, an individual investor also from California, was represented by Brandon Sherrill of Stan Johnson Company. Both investors were involved in 1031 exchanges, and the property traded for approximately $6.7 million.  “I’m proud of our ability to effectively collaborate across teams and offices here at Stan Johnson Company,” said Givargis, Senior Director in Stan Johnson Company’s Newport Beach, California office. “It’s not every day we get a chance to work on unique assignments, but together, Brandon and I were able to sell one of the largest buildings Caliber Collision has in operation and meet the objectives of both our investor clients.”  The recently upgraded property is situated on 1.24 acres in a dense infill location in downtown Memphis. The facility’s larger size allows work on commercial vehicles, including emergency vehicles and school buses. The property is in close proximity to numerous economic drivers including FedEx Forum, Memphis’ Medical District and the city’s historic Beale Street. The tenant operates on a long-term net lease that features rental increases and option periods.  “It was great being able to work with Ronnie and keep this transaction in house,” added Sherrill, Associate in Stan Johnson Company’s Tulsa, Oklahoma headquarters. “We have seen a lot of demand for Caliber Collision within the last few months given the credit profile and internet resistant services provided by this tenant. The location in downtown Memphis was very interesting to work on, since it isn’t a typical location for Caliber.” 
May 12, 2022
Viewpoint-Lipson-May22
Research Library
Sale Leaseback: A Way for Franchisees to Fund M&A Transactions
Sale leaseback transactions have gained popularity in recent years as owner occupants look to extract the value of their real estate in order to free up capital. But beyond the motivations that drive traditional sale leasebacks, many business owners have found success leveraging this transaction type to fund M&A activity. Franchisees are the primary actors exploring these creative avenues, and while a sale leaseback could be used to fund M&A needs across nearly all asset classes, the most frequent property types involved are quick service restaurants, convenience stores and car washes. These property types are often owned and operated by franchisees with growing portfolios of multiple assets, and M&A activity is commonplace. One Seller, Two Buyers and a Broker So, how does this actually work? In an M&A sale leaseback, you typically have four players: the franchisee seller of the business and assets, the franchisee buyer of the business and future tenant of all properties involved in the sale leaseback, a real estate investor who buys the real estate assets, and a broker that facilitates the transaction.  "Sale leaseback transactions are a common vehicle for owner occupants to extract value from their real estate, but this creative solution is gaining popularity with franchisees as they expand through mergers and acquisitions." To start the process, the franchisee seller and franchisee buyer identify each other and enter into an agreement for the operations and real estate. A broker enters the conversation early on as well. They need to evaluate the sale leaseback of the real estate component and this analysis often influences the terms of the agreement between franchisees. Additionally, the broker helps to identify a real estate investor. At the close of the transaction, two events occur: one franchisee purchases the business assets and assumes the franchise agreements and third-party leases, and at the same time, concurrent with closing, the franchisee buyer executes a long-term triple net lease with the real estate investor.  In this type of transaction, proceeds from the sale of the real estate are transferred from the investor to the franchisee seller, while proceeds from the sale of the business come from the franchisee buyer. The new investor now has guaranteed income coming from their tenant in the form of a long-term lease. That lease typically features attractive terms including a triple net lease structure – making the tenant responsible for all taxes, insurance and maintenance costs – along with regular rent increases and lease extension options.    A Creative Solution to Fund Growth This creative funding solution may appeal to many candidates, including those interested in limiting their exposure to real estate and minimizing or helping to bridge the typical 25 to 30 percent cash equity need required to complete a transaction. A company may view the cash flow of their business as more valuable than the static return of owning the real estate. They may be in a rapid expansion mode and unable to tie themselves to multiple loans or the contingencies that come with them. This solution also works well for emerging franchisees that aren’t sitting on a surplus of cash or those that don’t have an established lending relationship necessary to complete larger transactions. For this type of candidate, there are real estate investors that have extensive experience helping smaller franchisees grow into larger companies. They will not only buy the first round of real estate but will subsequently help fund new acquisitions, work with the franchisee on upcoming capital expenditures and open up more opportunities for acquisitions than the franchisee would have if they were simply relying on their franchisor and brokers.  Low Inventory, High Demand Creates Ideal Environment As we approach mid-year 2022, market conditions are ideal for these transactions, and franchisees considering this strategy are encouraged to act. Inventory is low and demand for sale leasebacks continues to be incredibly high, but today’s market uncertainties could shift the environment quickly. Inflation, rising interest rates, continued cap rate compression especially in the net lease retail sector, supply chain issues, labor shortages – these factors all have the ability to influence market dynamics, and franchisees considering this creative funding vehicle are urged to watch the market.     To download a copy of this report, please provide the following information: hbspt.forms.create({ region: "na1", portalId: "7279330", formId: "f465878d-b7b5-4a74-ace8-549108cb50cf" });
May 11, 2022
MarketSnapshot-GlobeSt
News & Insights
Single-Tenant Net Lease Sales Volume Soared In Q1
Excerpt of article originally published by GlobeSt Capital poured into the booming single-tenant net lease sector in the first quarter, with sales volume up 30% year-over-year.   According to recent research from Stan Johnson Company, the STNL market reported activity at around $21.7 billion. Over the last three months, the sector saw “negligible” movement in the overall cap rate, which moved down 3 bps to 5.84%.  “Following a record-setting 2021 with unprecedented levels of investment sales activity in the final quarter of the year, there was no expectation that the single-tenant net lease market was positioned for back-to-back quarters of such volume,” Stan Johnson Company analysts note in a report on the Q1 data. “Instead, predictions called for just enough carried momentum to position the market well enough to have a respectable follow-up year. Despite current headwinds—with inflation raging and interest rates rising—the market delivered on those predictions for the most part.”  The firm says “it is highly unlikely and perhaps even impossible” that this year will see activity surpassing 2021 levels, but “we had a healthy start.”   The industrial sector drove most investment activity and accounted for more than half of the quarter’s overall total.  Office also logged $6.9 billion in total, thanks largely to Google’s purchase of a single-asset Manhattan office building last year.  “Even without the Google transaction, the single-tenant office sector would have come close to meeting its historic average, indicating investor confidence has rebounded from the height of the pandemic when the future of office use was much more uncertain,” the report states.  Single-tenant retail had the most significant decline quarter, down 66% from Q4 numbers but more in line with demand levels Stan Johnson Company analysts say they’ve seen in recent years. Meanwhile, multi-tenant retail logged $14 billion in sales in the first quarter amid rising investor demand.  Private investors led activity and accounted for 36% of the buyer pool, followed by US-based institutional investors and REITs, at 25% and 23% respectively. 
May 5, 2022
TheBakerie
Press
Stan Johnson Company Brokers Sale of California Retail Property for $11.0 Million
Stan Johnson Company, one of commercial real estate’s leading investment sales brokerage firms, has completed the sale of The Bakerie, a cannabis dispensary located at 1836 Harbor Avenue in Long Beach, California. The 8,288-square-foot retail property sold for $11.0 million. Christian Tremblay and Isaiah Harf of Stan Johnson Company represented the seller, a Michigan-based private investor. Edwin Mariscal of CRE Advisory Group represented the buyer, a foreign investor who resides part time in California.  “This is the largest recorded retail dispensary sale in the state of California, and we are honored to have assisted our client in getting this property sold,” said Tremblay, Associate Director in Stan Johnson Company’s Chicago, Illinois office. “We have seen an increase in demand for cannabis assets due to their attractive yields in the current net lease environment and their high sales on a per square foot basis. Additionally, with the potential of safe banking and lending options continuing to evolve, we anticipate this demand to continue.”  Situated on 0.74 acres, the property is located at the signalized intersection of Harbor Avenue and Pacific Coast Highway near the on/off ramp of Interstate 710, which provides the site with incredible visibility. The Bakerie is a premium California-based cannabis brand that launched in 2020 by a group of industry veterans, and the tenant operates on a long-term net lease with rare annual rent increases. The property is co-branded with Lemonnade, the sister company of Cookies, which is one of the top cannabis brands in the world. The well-located site is just 22 miles south of downtown Los Angeles, 19 miles from LAX and six miles from the Port of Los Angeles. 
May 4, 2022
Guidepost-Montessori
Press
Stan Johnson Company Announces $10.8 Million Sale of Guidepost Montessori School for Record Setting Cap Rate
Stan Johnson Company, one of commercial real estate’s leading investment sales brokerage firms, has completed the sale of a net lease early childhood education facility in the Southwest region of the U.S. The 20,600-square-foot property is fully leased to Guidepost Montessori, the nation’s largest network of Montessori schools. Milo Spector of Stan Johnson Company represented the seller, a Florida-based individual investor. The asset was purchased by a private 1031 exchange buyer from California. The property sold for approximately $10.8 million reflecting a 5.75 percent cap rate. The sale set a new nationwide cap rate record for the tenant.  “This transaction illustrates the growing interest in the early education space,” said Spector, Director in Stan Johnson Company’s Walnut Creek, California office. “We were able to source multiple offers both nationally and locally and sell the property for 100 percent of asking price to an all-cash buyer. Properties that were trading in the 7.0 percent cap rate range just a couple years ago are now trading in the 6.0’s and pushing more and more towards the 5.0 percent range. I expect this to continue as more folks search for yield on other net lease properties and struggle to find it.”  The school is situated on 4.0 acres in an upscale master-planned suburban community. The local area features outstanding demographics with projected annual population growth of 2.90 percent in a three-mile radius. Originally built in 1996, the property was renovated in 2021. 
May 4, 2022
Beck-May_22
News & Insights
QSRs Shrug Off Restaurant Industry’s Challenging First Quarter
Originally published by GlobeSt Despite declines in most Q1 YoY restaurant metrics in 2022, investor demand for net-lease and quick-service restaurants has been generally strong post-pandemic.   Mike McKean, founder of Retailsphere, tells GlobeSt.com that Q1 2022 is the first look at how the restaurant industry may fare in a post-pandemic world.  “With companies going to a more remote model, many office spaces now sit vacant that once helped bolster breakfast and lunch visits. And while in-person dining is increasing, it is likely this will impact the QSR segment, because consumers aren’t looking for new to-go options right now.”  There also has been a shift in driving habits where many people drive less in general, a trend “that has become especially true when you layer in the increasing gas prices,” McKean said. “When you combine all of these factors, dining out overall is likely to take a hit.”  Fast Food, Fast Casual Remain Popular  Tell that to some of the QSRs. There is plenty of evidence that brands are forging ahead despite NPD Group findings that online and physical visits to QSRs fell by 2% in the first quarter compared to a 6% increase in traffic in the same quarter last year.   Lanie Beck, Director of Corporate Research, Marketing & Communications, Stan Johnson Company, tells GlobeSt.com that fast food and fast casual concepts have remained popular with consumers, and a number of tenants are actively expanding in the space.  Sonic is one of the fastest growing tenants, Beck said, citing that it plans to open 1,000 new locations over the next 10 years.  Other established brands, including Chipotle, Jack In The Box, Starbucks and Taco Bell, have communicated plans to open new locations by the hundreds, while emerging concepts such as Slim Chickens “has an incredibly robust growth strategy” that could launch another 450 restaurants in the coming decade, she said.  “This volume of development and expansion bodes well for net-lease investors in the short and long term, as the market continues to struggle with an imbalance of supply and demand,” Beck said.  Steve Edwards, owner, The Edwards Company, tells GlobeSt.com that while visits may have declined to the QSRs in Q1 this is still the hottest growth sector in the restaurant and retail industry. “The appetite from the likes of Dutch Bro’s, Raising Cane’s, In & Out Burger and Starbucks continue to be insatiable.”  Headwinds Challenge Operators in Q1 2022  One reason for the fall in QSR visits is that comparing the two quarters is challenging given consumers’ recent unprecedented circumstances. In Q1 2021, the third round of stimulus payments, relaxed pandemic restrictions and the availability of COVID vaccines boosted online and physical visits to US restaurants by 3% compared to the same period a year before, according to The NPD Group.   In Q1 2022, the sector has also faced higher food and energy costs for restaurant consumers and restaurants. NPD Group also notes that consumer restaurant spending, which reflects higher costs opposed to increased visits, was up 4% in the quarter compared to the same quarter year ago when spending rose by 7%.  Also, full-service restaurants’ traffic increased by 2% compared to a year ago when visits declined by 7% and dine-in restaurant visits increased by 38% in the first quarter compared to a 45% decline a year ago.  “With the first quarter behind us, I’m optimistic that seasonal demand and the improving on-premises trends can help get the restaurant industry’s recovery back on track,” David Portalatin, NPD Food Industry Advisor and author of Eating Patterns in America, said in prepared remarks. 
May 2, 2022
Wenig-May22
News & Insights
Asking Prices Rose in March Across CRE Sectors
Originally published by GlobeSt Asking prices across CRE sectors ticked up in March for those properties listed on Crexi’s database, with the average asking price per square foot rising 2.72% month-over-month.  Cap rates compressed by 0.14% over the same period across asset classes, while occupancy rates picked up a 1% gain.  New inventory also increased by 19.7% in March over February numbers, while office and retail assets showed “promising gains” in prices and tenant occupancy.  “Among the asset types most heavily impacted by the pandemic, office and retail saw promising signs of prosperity in March,” Crexi analysts wrote in a report dissecting the March data. Office assets increased by 6% month-over-month, with occupancy increasing 2% in the same period. And “shopping and other retail subcategories are back in full swing, with owners confident enough in their properties’ values to begin listing them on the market,” with retail assets posting a 1.9% increase in average asking prices and hitting 90% average occupancy for new listings.  Crexi also noted a 27% gain in shopping center inventory in March over February numbers. Asher Wenig, Stan Johnson Company Senior Director & Partner, previously told GlobeSt that shopping centers “are making a great comeback,” with increased demand from institutional and private investors as retailers continue to announce expansion plans and consumers flock back to physical retail.  Multifamily also saw a slight pricing correction on Crexi’s database last month, with the average asking price dropping 4.24%.  The firm observed a large number of smaller multifamily parcels hit the market with less available square footage. But despite the pricing drops, sellers seem as confident in their multifamily property values as ever, with a noticeable reduction in unpriced listings,” Crexi notes.  Overall asking lease rates on Crexi also showed their third consecutive month of decline, down 1.89% from February for all asset types. But special purpose properties like RV parks, self storage and historic buildings saw a nearly 7% gain month-over-month.  Houston also remained the most-searched metro on Crexi by both prospective buyers and tenants, followed by Dallas and Miami.  Los Angeles showed the most gains in search volume last month, up 13.1% over February numbers. 
May 2, 2022
MarketSnapshot-Q1-2022
Research Library
MarketSnapshot: Q1 2022
  Market data, charts & graphs: current and historical trends for single-tenant office, industrial and retail properties, as well as multi-tenant retail Overall market trends Market summary & analysis Economic data points hbspt.forms.create({ region: "na1", portalId: "7279330", formId: "d5cea127-0985-4756-8591-d452dc67de3a" });   Following a record-setting 2021 with unprecedented levels of investment sales activity in the final quarter of the year, there was no expectation that the single-tenant net lease market was positioned for back-to-back quarters of such volume. Instead, predictions called for just enough carried momentum to position the market well enough to have a respectable follow­up year. Despite current headwinds - with inflation raging and interest rates rising - the market delivered on those predictions for the most part. It is highly unlikely and perhaps even impossible that we'll see 2022's activity reach or surpass the nearly $103 billion reported last year, but we had a healthy start. Overall, the net lease market reported approximately $21.7 billion in sales volume during first quarter 2022. While it's a decrease of about 50 percent quarter-to-quarter, this was a very strong showing of above average quarterly volume which points to continued buyer demand. By sector, the industrial net lease market continued to drive the bulk of investment activity, contributing $11.4 billion, or more than half of the quarter's overall total. The office sector, powered by Google's high-profile purchase of a single-asset Manhattan office building for a reported $1.9 billion, logged nearly $6.9 billion in total. Even without the Google transaction, the single-tenant office sector would have come close to meeting its historic average, indicating investor confidence has rebounded from the height of the pandemic when the future of office use was much more uncertain. The single-tenant retail sector experienced the most significant quarter-to-quarter decline in activity, with just $3.3 billion in sales. Down approximately 66 percent from fourth quarter 2021, activity in the retail sector fell more in line with demand levels we've seen in recent years. The multi-tenant retail sector is coming off a strong year as well, although 2021 wasn't record-setting Still, with nearly $14.0 billion in sales reported for first quarter 2022, investor demand has grown substantially since the pandemic began and the last 12 months of activity has been incredibly encouraging for the sector.  
April 27, 2022

Pagination

  • Current page 1
  • Page 2
  • Page 3
  • Page 4
  • Page 5
  • Page 6
  • Page 7
  • Page 8
  • Page 9
  • …
  • Next page ››
  • Last page Last »
Subscribe to Single-Tenant
Be Notified of New Listings First
Subscribe
We will not, in any circumstances, share your personal information.
Home
Facebook Twitter LinkedIn youtube

© Stan Johnson Company

Privacy Policy Terms & Conditions

Footer

  • Meet Our Team
    • Meet Our Leaders
    • Meet Our Brokers
    • Meet Our Staff
  • What We Do
    • Investment Sales
    • Corporate Solutions
    • Debt & Structured Finance

Footer - Not Nested

  • Our Locations
  • Find a Property
  • Trends & Insights
  • Join Our Team