Commercial Real Estate | RCC Viewpoints

Commercial Real Estate | RCC Viewpoints

by Mark Anthony Howard

 

Adam Smith noted that there was an “invisible hand” turning the wheels of the economy. That invisible hand serves as market force that keeps the economy functioning.

I would say the hand that belongs to the consumer is definitely a visible force in the economy. A healthy consumer promotes a healthy economy and a sustainable business Market.
A healthy economy and a healthy business climate promote opportunities for healthy housing, stock and global markets.

But a hand the forces the market that is truly invisible is Commercial real estate.

Commercial real estate is property that is used solely for business purposes.

Adam Smith was definitely not referring to commercial property rates when he theorized the invisible hand but it is surely a relevant consideration.

Examples of commercial real estate include malls, office parks, restaurants, gas stations, convenience stores and office towers.  When these type of businesses struggle; they close.

The 2007 recession was devastating to the commercial tenant. Small business and nonprofit corporations defaulted on loans and were force to closed doors.

In San Bernardino and Riverside county commercial business vacancies have mirrored the struggling economy.

According to a report by Voit, a Riverside commercial Real Estate service, the vacancy rate for offices in Riverside and San Bernardino counties have now declined to 22 percent since 2007.

 

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About The Gritz

Ideally I aspire to be a Tyranny of Business and perspective. I cant tell you descriptively how I feel... so I'll tell you the depths of my thought. thanks for reading. https://thegritz.wordpress.com

Posted on 05/07/2014, in Bizness, College Writings, Mark Anthony Howard, Social issues and tagged , , . Bookmark the permalink. Leave a comment.

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