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Commercial Real Estate Investments

In the Dallas commercial real estate market, a large percentage of the office and industrial product is owned by institutions like North Western Mutual Life, PFG, ING, and Cal PERS. Generally these holders of real estate are long-term real estate investors. Their cost of capital is low and they generally are very conservative about the leverage or debt the place on their portfolios. The funds for these institutions are based upon premiums from insurance holders and employee retirement contributions.

Since the late 1980′s the growth in the Real Estate Investment Trust REIT structure has exploded. Currently there are around 200 publicly traded REITS in the US. In the last 10 years their market cap has gone from 90 Billion to over 300 Billion. This is due in large measure to changes in the tax laws making this ownership structure more beneficial.

If you are seeking the purchase of a real estate portfolio you will find our extensive knowledge of the Dallas commercial real estate market invaluable. We will provide you with the experience, connections, and market research necessary to achieve your investment goals.

At Dallas Office Space for Lease, we understand how these large institutional owners view real estate. We understand for example that they may have allocated large amounts of capital for the purpose of improving the quality of a property and thus charging a higher rent. This is important because tenants may not need all the improvements but want a lower rate. Our solution might include paying having the tenant receive a lump sum payment on the front end of their lease. The tenant could use these dollars to offset their higher rent cost bring their average occupancy rates down. It is also a powerful inducement to have the landlord pay the tenant to come to their building. Often times a portfolio manager will have an incentive based on performance of his portfolio of properties. Understanding that could alter the deal structure to the benefit of both the tenant and the owner.

Often tenants don’t understand where these soft spots are in the deal. They don’t realize the power they have as a tenant. Because we have worked with and sometimes for these large investment groups we fully understand the motivations and tools to use to get you the best deal in the market.

Dallas Office Space would like to use these skills and insider knowledge about how real estate investors think to represent your company. All we do is save you money and give you confidence that you made the best decisions for your company.

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Commercial Real Estate Investment, 5.0 out of 5 based on 3 ratings