Tampa Retail Real Estate Market Report

Article via Bounat.com – Click Here for complete story and others similar to it.

The commercial real estate brokers at Bounat work diligently to compile a comprehensive list of the top commercial real estate activity in the Florida region on a frequent basis.

Retail leasing fundamentals in Tampa remain solid despite headwinds caused by continued disruptions in the supply chain and lingering concerns post-pandemic. However, these factors are being counterbalanced with the fact that Florida is the fastest growing state in terms of population in the country, and many people are moving to Tampa specifically.

In general, retail demand in Tampa has been consistently strong over much of the past decade, driven by solid population gains, wage growth, and steady consumer spending. Current vacancy is 3.3%, which is up +0.2% compared to Q3 2023, and the vacancy rate for retail real estate in Tampa remained steady over the past year and is well below the national average, estimated at around 4.5%.

Rent growth has accelerated in recent quarters due to strengthening overall leasing fundamentals following the lifting of some pandemic safeguards. Average asking rents as of Q4 2023 are at $25.56/SF, which is up $0.35 from Q3 2023 when the asking rate was $25.21/SF, up over 2% during the past 3 months (quarter to quarter).

There is currently 563,141 SF of new retail space underway, and nearly 1 million SF has been delivered in the trailing 12-month period. While the pace of new development is falling short of previous years, an uptick in demand bodes well for future development.

Retail investment sales activity over the last year has totaled roughly $1.6 billion in total transaction volume, fueled by considerable investment volume in Q4 and Q2 2022. Q1 2022, from a little over a year ago, still holds records for transaction volume with nearly $600M in retail property sales. It was the second highest quarter of retail real estate sales in the area, illustrating just how feverish investor appetite has been over the last year.

Retail investors continue to target deals in secondary markets like Tampa and Orlando as they seek higher yields, which is becoming harder and harder to achieve. Increased competition for assets is forcing an acceleration in overall retail pricing with the average price per SF growing by 10% year over year and by nearly 15% in the last two years. CoStar’s forecast calls for pricing to continue to rise through 2023 before beginning to level out in early 2024.

The most significant single-property trade over the last year took place in Q2 2023 when the Brandon Town Center (303 – 675 Brandon Town Court) sold for $220M at a price of $296/SF with a vacancy rate of 0% at the time of sale. The Tampa shopping center was built in 1995.

If you would like to discuss the Commercial Real Estate Markets or discuss your asset and its future, let’s connect.

http://www.DP-CRE.com

New retirement regulation

The U.S. Department of Labor released new regulations on Tuesday expanding the scope of fiduciaries in relation to retirement accounts. With the peak of the baby-boom generation in or approaching retirement, rollovers of money from 401(k)s to IRAs are on the rise. Savers move close to $1 trillion each year out of their 401(k) employer-sponsored plans into IRAs and the new regulatory environment will ensure that investments are always in a person’s best interest.

Photo by SD

As a fiduciary ourselves, the regulation is an extension of our business model across financial services. The ruling should better align financial outcomes, lower fees, and decrease lock up requirements – all of which we’re major advocates for. Putting investors first is the ethos of our business and we view the new regulation as a major step towards industry wide best practices.

article via Titan Funds

Refer friends to Smart Cash to earn 6.0%* gross yield for up to 12 months. They’ll earn 6.0%, too. See details.

Dreznin Pappas Commercial Real Estate, LLC and Sean Dreznin have won Best of Sarasota 2024.

We couldn’t be more proud to represent the Commercial Real Estate industry as one of the Best ‘Real Estate Companies and Agents’ of Sarasota for 2024. Thank you for your votes and sincere gratitude! It is our pleasure to be of service to this fantastic area and all of you wonderful clients, customers, friends and family! We won’t take this acknowledgment lightly and will continue to bring the pinnacle of service and results!

Thank you!

Dreznin Pappas Commercial Real Estate LLC

Sean Dreznin

http://www.DP-CRE.com

TritonCRE@gmail.com

#SRQMagazine #LiveLocal #LoveLocal #BOSRQ

#WinnerWinnerChickenDinner

Top 10 Emerging Self Storage Markets in 2024

Article By Agota Felhazi

via Multi-Housing News

Using Yardi Matrix data, we pinpointed these geographically varied markets poised for improvement.

Once again, we’re looking at the top emerging self storage markets in the U.S., based on previous performance in the sector. The average annualized street rate per square foot was $16.6 nationwide for the combined mix of unit sizes and types, as of December. The street-rate performance continued to be negative, dropping 2.7 percent year-over-year. The nationwide under-construction pipeline included 64.4 million rentable square feet of space under construction and an additional 146.9 million square feet in the planning stages. Based on Yardi Matrix’s forecast, by 2028 developers are expected to add another 189.7 million square feet of storage space.

In the table below, we highlighted the top emerging self storage markets across the U.S. There are a number of Florida metros as the Sunshine State continues to be a major draw. To determine the ranking of these smaller but notable markets we looked at rent growth, development activity and demographic trends.

https://datawrapper.dwcdn.net/j8gig/1/

Rank	Metro	Total Inventory (Rentable Sq. Ft.)	Under Construction (Rentable Sq. Ft.)	YoY Pop Change – 3 Mile Radius	Annualized Rate PSF – Main Unit Types (NCC+CC)	Overall Score
1	Jacksonville	14,557,299	788,129	3	$15.84	635
2	Providence	7,135,030	932,330	3	$18.53	603
3	Sarasota-Cape Coral	20,150,971	1,936,990	−1	$16.66	603
4	North Central Florida	11,067,081	658,643	1	$15.71	597
5	Tacoma	12,150,820	410,282	2	$17.89	591
6	Reno	8,367,406	284,861	3	$15.62	588
7	Nashville	17,529,198	173,016	3	$15.82	572
8	Worcester – Springfield	6,905,938	1,085,716	2	$17.34	571
9	Boise	11,769,335	1,092,140	3	$12.63	567
10	Pensacola	10,961,212	487,160	1	$14.98	551

1.      Jacksonville, Fla.

The Sunshine State has remained among the top three growth states on the recent 2023 U-Haul Growth Index, which assessed one-way U-Haul truck traffic during the previous year. Florida placed second only to Texas, while North Carolina, South Carolina and Tennessee rounded out the top five.

Among several Florida metros on our list, Jacksonville came in first. In December 2023, the metro’s unemployment rate was 2.9 percent, up 70 basis points from the December 2022 rate of 2.2 percent according to FloridaCommerce. Based on the same source, Jacksonville added 32,512 new jobs during the same period, marking a 3.8 percent year-over-year increase. Education and health services created the most jobs over the year, adding 9,200 positions.

As of December, Jacksonville’s development pipeline included 22 projects totaling 1.8 million rentable square feet in the planning stages as well as 11 properties underway, encompassing 788,129 square feet. The pipeline amounted to 18 percent of existing inventory. Over the next five years the self storage stock is projected to increase by an additional 2.2 million square feet to undercut any demand for the metro’s growing population.

With a 14.6 million rentable square foot inventory Jacksonville offered residents 10.4 net square feet of available storage space per capita, above the national 7.2 average. Regarding rents, the average annualized rent per square foot for the metro was $15.8 for the combined mix of unit sizes and types. This remained below the national average of $16.6 and marked a 2.9 percent annual decrease.

I’m going to skip most of the location details and if you want to explore that information, you can click here for the complete article via MHN.

3.      Sarasota-Cape Coral, Fla.

Sarasota-Cape Coral had the largest self-storage footprint among the metros on our list amounting to 20.2 million rentable square feet. As of December, the area had 1.9 million square feet of space under construction with an additional 5.9 million square feet in the planning stage. The development pipeline accounted for 39 percent of Sarasota-Cape Coral’s existing inventory.

Despite the robust existing storage inventory of 10.5 net square feet per capita forecasts suggest further robust increases. By 2028 the metro’s inventory is expected to gain 6.8 million rentable square feet of space. Across Sarasota-Cape Coral the average annualized rent per square foot was $16.7 for the combined mix of unit sizes and types. Annual street rate growth marked the sharpest yearly decline among the metros on the list, down 8.2 percent.

4.      North Central Florida

During the five-year period between 2019-2023 2.4 million square feet of storage space came online in North Central Florida. While the metro’s total self storage stock added up to 9.2 net square feet available per person developers showed no signs of slowing down. As of December, the development pipeline included 658,643 rentable square feet of space under construction and 2.5 million square feet in the planning stages. The pipeline represented 28.5 percent of existing inventory. Expansion plans over the 2024-2028 period are expected to add another 3.6 million rentable square feet of storage space to North Central Florida’s footprint.

As of December, the metro’s average combined street rates per square foot fell to $15.7, marking a 5.2 percent annual decline. The national average annualized same-store asking rent per square foot was $16.6 for the combined mix of units and types.

Looking Into The Future of Self-Storage

Article by Terrydale Capital

Self-storage has been a study asset class throughout the last 5-years and demonstrated its resilience through both a worldwide pandemic and recent tumultuous economic market conditions. Supply of self-storage units has seen a surge in development and availability to combat the large increases in demand. Despite the surge in growth and continued demand, forecasts have seen a shift from the surge to a downward trend with smaller and smaller growth rates extending past 2026. 

2023

At the outset of the year carrying over from 2022, there existed a total of over 50,000 self-storage facilities across the country. By the end of Q4 2023, there sat an excess of 49,086,197 units of self-storage supply across the United States. Overall, 2023 saw an unexpected increase in supply by year’s end compared to prior estimates at the beginning of that year. 

2024 – 2025

Based upon a recent Yardi Matrix report, 2024 and 2025 respectively are estimated to continue the trend of rapid growth in self-storage supply. 2024 is estimated to have a 10.9% in delivery increase and 2025 is expected to see a 12.5% increase in deliveries especially as construction timelines continue to stabilize. 

2026 – 2028

After 2025, estimations for supply begin to become more conservative and signify a downward trend compared to prior years of robust growth. Combined growth rates for 2026 and 2027 are estimated to sit near only 2.0% and will subsequently decline to 1.5% for years 2028 and 2029. Compared to previous estimates, the new revision from Yardi Matrix results in a 38.7% reduction in new supply in 2028. 

How These New Trends Translate

Construction times are cooling. While many project timelines are still above average leading to many projects being stagnated or some being abandoned, there is a marked decrease in projects entering the development pipeline. This signals a shift towards a cooler interest in the development of self-storage facilities. This can mean that investors may find a shift in opportunity towards established and pre-existing facilities the closer we edge towards 2028 and beyond. 

In Conclusion

While self-storage has seen a boom in development despite expectations of a slowdown in 2023, the market is poised to cool in terms of sentiment towards self-storage development. Despite the sentiment shifting, this does not signify that there will be a cooling in overall demand from the public towards self-storage. Rather, it more so signifies the change into more dedicated and meaningful development which in turn will help ease oversaturation in a variety of markets. 

At Dreznin Pappas Commercial Real Estate, we focus on Income-Producing Properties. Basically, if it makes money, we are the right choice to handle the asset. We are well versed in many of the Income producing asset classes such as Multifamily, Retail (Strip centers), Self Storage, Mobile Home Parks, Vacation Rental Resorts and also Industrial investments.

Florida’s Allure Supersedes Affordability Concerns

The Sarasota Area Emerges as One of the Fastest Mid-Size Markets in the US

By Lisa McNatt and Juan Arias
CoStar Analytics

Florida’s population grew by 5% between April 2020 and July 2023 as shifting work patterns and the allure of a better overall quality of life have fueled relocation interest to the state despite headwinds to affordability.

Even though concerns over escalating insurance costs – particularly in coastal areas – and elevated interest rates have forced many to hit the pause button, it has not stopped a flood of new residents from moving to Florida.

In terms of total migration in 2022, those relocating from New York comprised the largest share of the new population gained, with more than 91,000 residents choosing to become Floridians. California was next, with nearly 51,000 residents moving to the Sunshine State, and New Jersey rounded out the top three with 47,000 of its residents making the move South. The new residents from New York and New Jersey comprised 0.5% of the overall population of those states, as opposed to the 0.1% leaving California. Other states with outbound migration to Florida totaling more than 30,000 people include Georgia, Texas, Pennsylvania, Illinois and Virginia.

To be precise, the population change is not all due to inbound growth, however, as dwindling affordability has made Florida a less attainable long-term home for many. A report from Placer.ai found that roughly 14% of all in-migration to North Carolina came from Florida, perhaps a continuation of the “halfback” phenomenon, where residents relocate from New York to Florida and then move halfway back.

While the Orlando, Tampa and Jacksonville markets have attracted their share of attention for their rate of population growth since 2019, Florida’s real stalking horse market lies in the southwest part of the state. The Placer.ai report determined that growth in the North Port-Sarasota-Bradenton area is resulting in it emerging as one of the “fastest-growing midsize metropolitan areas in the nation.”

That being said, about 20% of the population migration into the area is being driven by residents relocating from other areas within Florida. Of those residents, the largest number are coming from the nearby Tampa area, at 7.6%, followed by Punta Gorda, at 4.2%, South Florida, at 3% and the Orlando area, at 2.5%. Many of these areas have experienced a surge in home prices in the past few years, resulting in diminished affordability.

Oxford Economics has also reported that one of the strongest levels of in-migration from seniors aged 65 and over has taken place in several Florida areas, including The Villages, Punta Gorda, Sebastian and Naples. The Jacksonville area also ranked in the top 25 areas in the U.S. for the fastest increase in its senior population over the past five years.

Despite seeing slower population growth than its northern peers, South Florida is expected to continue to gain residents over the next few years, many of whom are expected to relocate to the area as they retire after the age of 65. Still, population gains are set to slow from pre-pandemic growth of over 1% annually from 2010 through 2019 to less than 1% over the coming five years.

A lack of housing affordability, with South Florida ranking as the eighth-least-affordable single-family home market in the nation, according to the National Association of Realtors, along with above-average inflation, continues to affect demographic gains.

That said, Miami-Dade was the second most popular county in the nation to start a business in 2022, after Los Angeles, and South Florida’s labor market remains strong, with tight unemployment rates and continued labor force growth. Company relocations, along with elevated venture capital investment, continue to drive job growth in the area. In fact, according to the Miami-Dade Beacon Council, commitments from 57 companies looking to expand or relocate to the County were secured in 2022.

Going forward, a tight labor market, along with an inflow of high-net-worth individuals, will continue to place pressure on living costs in the area. Additionally, structural issues concerning housing availability will further bolster inflation above the U.S. average. Single-family home construction has remained limited over the last cycle relative to 2005-07 levels, and Miami continues to have the highest levels of vacation homes in the entire country, contributing further to the limited availability of housing for residents.

A rise in condo and apartment construction has tried to fill the gap between housing demand and availability, though most new condos are concentrated in luxury developments, and apartment rents have risen significantly since the pandemic. These factors will pressure lower-income households out of the South Florida area, as has been the case over the last few years, while those who decide to stay will continue to opt towards renting as homeownership in the area remains unattainable.

To visit this full article, CLICK HERE <—-

To learn more about acquiring income producing property on the Gulf Coast of Florida, CLICK HERE <–

The Factors That help to Make Multifamily Real Estate Recession-Proof

(MENAFN– Evertise Digital) Sarasota, Florida, United States, November 22, 2023 – In real estate, where the winds of economic downturns can shift markets in unpredictable ways, one sector has proven to anchor stability: Multifamily Real Estate.

As investors navigate the complexities of the real estate market, the allure of multifamily properties becomes increasingly apparent, thanks to their remarkable resilience despite economic uncertainties. But what exactly makes them so recession-proof?

Here are just 5 reasons.

Demand and Essentiality

At the heart of the multifamily real estate’s recession-proof nature lies the perennial demand for housing. Irrespective of economic conditions, people require shelter, and multifamily units offer an affordable and adaptable solution to this fundamental need. This unwavering demand is not confined to a specific demographic, ranging from young professionals seeking flexibility to families and retirees desiring community living.

Moreover, the essential nature of housing provides a layer of insulation against economic storms. While other sectors may experience fluctuations in demand, the need for housing remains a constant, offering investors a reliable income stream. This consistent cash flow is a cornerstone of multifamily real estate’s recession resistance, acting as a financial buffer during challenging economic periods.

Cash Flow Consistency

Unlike some real estate investments that heavily rely on market appreciation, multifamily properties thrive on the steady cash flow generated through rental payments. This income stability provides investors a financial lifeline, allowing them to weather economic downturns more effectively. The resilience of cash flow in multifamily real estate is derived from the sector’s inherent stability – people always need a place to live, and renting multifamily units provides a cost-effective solution for a diverse range of individuals and families.

Furthermore, the consistency of cash flow contributes to a sense of predictability in the financial performance of multifamily investments. This predictability becomes a valuable asset in uncertain economic times, offering investors confidence and control over their financial outcomes. Counting on a reliable income stream enhances the appeal of multifamily real estate as a recession-resistant investment, providing a tangible advantage in navigating the ever-changing economic landscape.

Risk Mitigation Through Diversification

Another key factor contributing to the recession-proof nature of multifamily real estate is the strategic approach to risk management through diversification. Unlike single-family properties, where the financial fate is tightly linked to the economic stability of a single tenant, multifamily investments spread risk across multiple units and tenants. This diversification acts as a protective shield, minimizing vulnerability to the financial challenges of any individual tenant.

The diverse tenant base in multifamily properties, encompassing various demographics and income levels, adds an extra layer of stability. Economic downturns may impact specific industries or income brackets, but the broad spectrum of tenants in multifamily units ensures a more balanced and resilient investment portfolio. This risk-mitigation strategy is fundamental to why multifamily real estate stands strong even in tumultuous economic times.

Adaptability in Changing Markets

In the dynamic landscape of real estate, adaptability is a prized quality. Multifamily properties showcase a unique ability to adapt to changing market conditions. During economic downturns, the demand for homeownership may decline as potential buyers become more cautious. This shift in consumer behavior often increases demand for rental properties, particularly in the multifamily sector.

The flexibility of multifamily units to cater to varying lifestyle preferences positions them as a dynamic and responsive investment option. Investors can capitalize on this adaptability by adjusting rental strategies to meet evolving market demands. Whether providing shorter lease terms to accommodate a transient workforce or offering amenities that align with changing lifestyle preferences, multifamily real estate can pivot and thrive in response to market shifts.

The Financing Advantage

Financing plays a crucial role in real estate investments, and multifamily properties often benefit from more favorable terms, enhancing their recession-resistant profile. Government-backed loans and financing incentives are frequently available for multifamily investments, contributing to a more stable financial environment. This advantageous financing landscape reduces the upfront burden on investors and provides a buffer against interest rate fluctuations.

In times of economic uncertainty, interest rates can be a source of concern for investors. However, the financing advantages of multifamily real estate mitigate this concern, creating a more secure investment environment. Investors can easily navigate interest rate fluctuations, further solidifying the recession-resistant qualities of multifamily real estate.

This information was brought to you via MENAFN ( a PR service) by Rod Khleif pitching his current Real Estate teaching series/project. (see below)

Embrace the Knowledge to Thrive in the Multifamily Real Estate Market

To delve even deeper into the intricacies of navigating this resilient sector, consider exploring educational resources and courses tailored to multifamily real estate investments. And who better to guide you than the renowned multifamily investor and mentor, Rod Khleif ?

Rod Khleif’s courses and events are designed to equip you with the insights and skills needed to survive and thrive in any economic climate. Whether you’re a seasoned investor or just starting your real estate journey, Rod’s knowledge and practical strategies can elevate your understanding and success in multifamily real estate.

For those eager to expand their knowledge, Rod Khleif offers actionable advice and proven strategies for multifamily real estate success. Take the next step in your investment journey by exploring these resources, empowering yourself to navigate the real estate market with the guidance of a seasoned expert.

If you are actively looking for investment real estate (income-producing) assets, or considering selling and would like some guidance regarding valuation, where to begin, etc, visit Dreznin Pappas Commercial Real Estate LLC by clicking here <——

Keeping an eye on Banks… again

via Titan news blast <— Click here to sign up and get news along with research their other products

Shares of New York Community Bancorp sank by double digits for the fourth time in five days, extending a collapse that was triggered by a surprise quarterly loss and move to slash its dividend. The bank indicated that it is shoring up its balance sheet following the acquisition of failed Signature Bank and trouble in its large books of commercial real estate.

Given the banking instability we saw in early 2023 (a la Silicon Valley Bank, Signature Bank, and First Republic), investors are selling first and asking questions later. Sharp stock sell offs added to a crisis of confidence that ultimately led to fatal deposit runs at those aforementioned banks. Could the recent moves in stock price suggest a need for caution?

Photo by Sean Dreznin

NYCB is fighting to assure investors and the markets that its ok and there is nothing to be concerned about…

New York Community Bank stock ticks up after lender says deposits increased

via CNN.com <— CLICK HERE for complete article

Troubled regional lender New York Community Bancorp attempted to reassure investors Wednesday that it has enough liquidity to stay afloat after the stock shed about 60% of its value over the past eight days and Moody’s Investors Service downgraded the bank’s credit grade to junk.

“The challenge today is not easy. But this company has a strong foundation, strong liquidity and a strong deposit base, which gives me confidence for our path forward,” Alessandro DiNello, the bank’s new executive chairman, said on a call with investors Wednesday morning.

The bank announced earlier on Wednesday that it had appointed DiNello, formerly the president of Flagstar Bank, to the position effective immediately. NYCB (NYCB) purchased Flagstar in December 2022. The Hicksville-based bank also said it has plans to bring in a new chief risk officer and chief audit executive.

Very insightful and interesting podcast regarding 2023 Multifamily recap and a view into what you might expect in 2024.

Via Bigger Pockets Real Estate Podcast

With guests Brian Burke and Matt Faircloth

https://podcasts.apple.com/us/podcast/biggerpockets-real-estate-podcast/id594419649?i=1000642457225

Multifamily real estate has crashed, but we’re not at the bottom yet. With more debt coming due, expenses rising, incomes falling, and owners feeling desperate, there’s only so much longer that these high multifamily prices can last. Over the past year, expert multifamily investors like Brian Burke and Matt Faircloth have been sitting and waiting for a worthwhile deal to pop up, but after analyzing hundreds of properties, NOTHING would work. How bad IS the multifamily market right now?

Brian and Matt are back on the podcast to give their take on the multifamily real estate market. Brian sees a “day of reckoning” coming for multifamily owners as low-interest debt comes due, banks get desperate to be paid, and investors run out of patience. On the other hand, Matt is a bit more optimistic but still thinks price cuts are coming as inexperienced and overconfident investors get pushed out of the market. So, how does this information help you build wealth?

In this episode, Brian and Matt share the state of the 2024 multifamily market, explain exactly what they’ve been doing to find deals, and give their strategy for THIS year that you can copy to scoop up real estate deals at a steep discount. Wealth is built in the bad markets, so don’t skip out on this one!

In This Episode We Cover:

The state of multifamily real estate in 2024 and how low prices could go

A “day of reckoning” coming for inexperienced/overleveraged multifamily owners

Whether or not we’ve reached the bottom for multifamily price drops

What rookie real estate investors should do NOW to take advantage of this down market

Rising mortgage rates and how increased costs have KILLED many multifamily deals

Exactly what Brian and Matt are investing in during 2024 to make money no matter how the market moves

And So Much More!

@StripMallGuy revealed by The Real Deal

If you follow @stripmallguy and engage from time to time as I do, you will enjoy this article by The Real Deal as they spend some time and get to know Strip Mall Guy from ‘X’ (Twitter).

Some say the identity of @StripMallGuy was akin to locating the Yeti or BigFoot!

CLICK HERE for the Complete Article and and enjoyable story written by Isabella Farr.

By Isabella Farr (https://therealdeal.com/author/isabella-farr/)

When Don Tepman called a broker in Philadelphia looking for properties to buy, the broker wasn’t especially interested in helping him, a real estate professional who mostly buys in California. 
That was until Tepman, who runs University Avenue Partners, asked the broker if he knew who StripMallGuy (https://twitter.com/realestatetrent?lang=en) was, the internet celebrity that has amassed more than 215,000 followers on X.

“He got excited,” Tepman said. “I told him: ‘I run that account.’”
Don Tepman is StripMallGuy (https://therealdeal.com/national/2023/03/09/stripmallguy-on-the-naked-truths-of-retail-investing/)

He has decided to go public, letting the world know he’s the man behind the brown-haired cartoon in a sweater vest, firing off thousands of posts since he started the account in 2021, dishing out all sorts of advice:
What’s it like having Chick-fil-A as a tenant? (Too much traffic.)

What’s a winning skill in negotiations? (The ability to tolerate awkwardness.)

What are less obvious red flags when investing with someone? (“If they’re not an expert of just one thing, they’re an expert of nothing.”)

StripMallGuy has the answers.
“For two and a half years now, I didn’t want to reveal myself and it’s because of fear of the unknown,”

Tepman said. “I’m coming to realize there are great things on the other side of the curtain.”

Cost to build a strip mall anywhere in America:
$300/foot minimum, much more in many areas.
Listing price of vast majority of strip malls in America:
$250 foot, or less.
— StripMallGuy (@realEstateTrent) January 11, 2024 (https://twitter.com/realEstateTrent/status/1745541506474143835?ref_src=twsrc%5Etfw)

Tepman, who relocated from the Bay Area a couple of years ago and now lives in New York, runs a private equity firm focused on buying strip malls. His firm has done 35 deals in the Bay Area, including an $11 million purchase (https://therealdeal.com/sanfrancisco/2022/12/28/east-bay-retail-center-sells-in-blackstone-divestiture/) from Blackstone in 2022, but has been expanding nationwide, under the new arm TownCentre Capital. 
“Everybody knows what University Avenue is in Palo Alto,” he said. Tepman decided to focus on strip centers across the country, asking himself the
question, “How the heck do I build a brand that will become top of mind with brokers around the country?”

Enter StripMallGuy.

Tepman built the brand in a few short years, quickly becoming a household name among industry players.
Take the conversation with the broker in Philadelphia, he said. The broker started reciting his tweets — he turned out to be a “longtime follower” and went much deeper into what he could sell Tepman. 
The last two deals the firm has done have been because of the account, Tepman told The Real Deal. It’s a way to source leads — brokers, investors and developers will message him through the StripMallGuy account, often leading to relationships. 

“You realize that you’re being followed by heads of different industries and heads of brokerages and other fund managers and GPs from other asset classes, and they want to connect with you,” Tepman told TRD last year, when he declined to make himself known publicly. 

“The more that network grows, the better content I have access to and the more I share. It makes me a better general partner, which encourages my deal flow,” he added…

FOR COMPLETE ARTICLE and other like it, CLICK HERE to visit the Real Deal <—–

An awesome story and it’s great to know a little more about someone that I follow, read and engage with on “X”. ~ Sean Dreznin, Dreznin Pappas Commercial Real Estate LLC