More commonly practiced in Residential Real Estate than Commercial Real Estate, the notorious “Buyer Broker Agreement” may be worth bringing into everyday play for the Commercial world.

The State Law in Nevada allows an agent to enter into a buyer representation agreement via orally or written. This is the law! That’s all fine and dandy until  1 or more minor or extravagant details are overlooked and that oral/verbal agreement becomes questionable. This game of “he said-she said” can become quite an issue, if not a catalog! Buyer representation disputes can be nasty. Pretty soon, everyone and their brother want a piece of the pie, and if you’re not careful with this, you can end up landing yourself in front of a judge! So… How do we prevent this?? Do as the residential agents do…

The Reno Sparks Association of Realtors recommends that Commercial agents utulize the “buyer Broker Agreement”. This adds additional protection for all parties involved in the deal. As a “Realtor”, which is different than holding the title, “Real Estate Agent”, we are held to a higher code of ethics.

All you Commercial Real Estate Agents out there that happen to be Realtor’s as well, Check out Article 9 in your Realtor Code of Ethics, and decide if it is time for you and your fellow brokers & agents to bring the ”Buyer Broker Agreement” into effect!  

 Todd W. Collins, Broker/Salesman with PM permit
Areas of focus: Industrial, Office Leasing and Sales
Direct: 775-850-3117
Cell:777-848-8130

Through out Todd’s career he has always followed a simple philosophy that his clients’ needs are always the first and highest priority. Todd’s success is measured by the success of his clients.

Prior to joining Fennell & Associates, Todd was immersed in the Reno/Sparks real estate market as the Real Estate Manager for Clear Channel Outdoor from 2003 thru 2008. During this time Todd gained intimate understanding of a variety of property & zoning types and how to navigate through the local municipalities to maximize the highest and best use of all of them.Todd relocated to the Truckee Meadows in 2001, obtained his Broker/Salesman license and worked as a temp agent for several new homebuilders in the area. Todd’s real estate career began as an Asset Manager in the REO department of Countrywide Financial Corporation in Dallas, TX and later Simi Valley, CA.

Todd is a marketing member of the Northern Nevada CCIM chapter and is actively pursuing a CCIM designation. Todd is also a graduate of the University of North Texas, earning a BBA with a major in Real Estate. When not working hard to fulfill the real estate needs of his clients, Todd enjoys road & mountain biking, skiing, hiking and spending time with his wife and son.

Which comes first, the chicken, or the egg? The age old question that’s left millions pondering since the beginning of time. Some firmly believe in the egg, others’ loyalty lay with the chicken.  So how do we relate this to Commercial Real Estate? Here we go…

The buzz at the water-cooler lately, is that the Reno & National Markets are turning around. With New home prices at an all time low,  short sales/ REO’s getting snatched up in a New York minute, land available for pennies on the dollar, and smart investors getting the itch to finally make their move, some predict an over-correction in the market, soon!

Staying on this Media backed “positive note” regarding the market rebound… Which industry comes first? Housing? Land? Office/Industrial? Retail?

You would think that because of Nevada’s lack of State Tax, Homestead Law, unlimited number of outdoor activities, and an infinite list of additional benefits & attributes that attract potential employees to Nevada, business owners from California & surrounding states would wise up and make the move to Reno. Wouldn’t businesses make the move into offices, industrial buildings, retail space,  or purchase land to build new space? That business would in turn create new jobs, which equal new employees. New employees then create a need for housing, which creates, once again,  a need for land! This pattern is what some would assume, but history proves differently.

The natural order for the Commercial & Residential markets returning after the infamous ”R word “( of which we do not speak of anymore) is past, is this:

1.Housing  2.Land 3.MF  4.Office/Industrial, 5.Retail  This doesn’t mean that office and industrial will not make any deals in the mean time. Right now much of their business is being generated by people downsizing or moving around for a better deal in the marketplace. There are also those lone investors out there snatching up high cap rate buildings since they are currently cash-flowing assets, as opposed to land. But as far as new faces moving into the market place, historically, this has been the natural order of things. Only time will tell.

So, back to the chicken or the egg deal: Will Residential drive Commercial this time? or will Commercial feed Residential?  I would love to hear your feedback Reno!

 Truckee Meadows Water Authority (TMWA) is a not-for-profit, community-owned water utility, overseen by elected officials and citizen appointees from Reno, Sparks and Washoe County.  TMWA is a public agency that was created in June 2001 through a joint powers authority between the City of Reno, City of Sparks and Washoe County.

TMWA, the primary water purveyor in Washoe County, has a workforce of highly skilled engineers, scientists and operators who ensure around-the-clock treatment, delivery and availability of high-quality drinking water for more than 330,000 residents of the Truckee Meadows.   TMWA is also committed to ensuring the delivery of high-quality water by continually improving the water distribution system. Since 2001, more than $150 million has been invested in repairing and rehabilitating aging infrastructure, including underground water mains, water tanks, pump stations, wells and treatment facilities.  For more information, log on to: www.tmh2o.com. 

Great Commercial Industrial Market Overview by Costar for Reno/Sparks 1st Qtr 2009. Interesting how Reno/Sparks matches up to the National Industrial Market.

Check out the links below:

Reno/Sparks 1st Qtr 2009 Costar Industrial Market Overview

National 1st Qtr 2009 Costar Induatrial Market Overview

Stay tuned for Office & Retail Market Stats.

Will be posted in future blogs!

Great Article this Morning on Cinco de Mayo. Looks like the tides may be turning for the economy. I’ve seen different attitudes in consumers & investors lately in the new home & commercial real estate world. Americans are impatient & support change. What goes up, must come down, and then go back up again. Since man has created currency, there have been fluctuations in wealth & prosperity. After seeing an enormous drop in new home prices in the last couple years, and the vacancy rate for business skyrocket, we have reached a plateau & are ready as a nation to start plowing ahead again. The media is catching on & I feel that this whole depression/ recession debauchery will be a thing of the past by summer of 2010. Wishful thinking regarding the timing? Maybe. As that I am up close &personal with the Commercial Real Estate world, as well as a hop skip and a jump away from the Residential Real Estate Community, there have been notable changes in activity and attitudes that haven’t gone unnoticed!

Check out the article & link below!

News Alert from The Wall Street Journal – Sponsored by NASDAQ

The U.S. recession appears to be losing steam, with growth likely to resume later this year on the back of firmer household spending, a bottoming housing market and an end to inventory liquidation, Fed Chairman Ben Bernanke said Tuesday. But Bernanke said that the recovery will probably be slower than usual, and warned that the unemployment rate may stay high “for a time” as businesses remain cautious about new hiring.

http://online.wsj.com/article/SB124153102795887367.html#mod=djemalertNEWS

   Aside from the tax advantages we reap as business owners in Nevada, a long train of additional benefits have surfaced recently and deemed the Silver State as one of the most preferable locations to operate a successful business. Cali residents are a bit jealous, I think. Many think it’s only going to get worse for Californians &  frequent border crossing is in Reno’s immediate future.  What does this do for the Commercial Real Estate Industry? Nothing but generate heaps of business. I feel proud to be a Nevadan working in the Commercial Real Estate Industry right now. As a former native of San Diego California, I’m glad I moved up here when I did, 7 years ago. Just in time to miss out on California’s Giant Debt Attack.  Check out the article below!

http://www.rgj.com/article/20090425/BIZ05/904250324/1071/BIZ

An interesting idea for interesting economic times…  The town of Berkshire, Massachusetts decided in the Fall of 2006 to start printing their own form of currency. Berkshire Inc., a local non-profit organization, teamed up with local businesses, banks, and other non-profits to launch Berkshares. This genius idea has created a sense of empowerment for the community & possible economic independence for  local businesses and merchants. Is it an option for Reno?

We could call it “RenoBucks” , where the Buck stops here! Any thoughts?
Check out the links below for more information in the BerkShare!

http://www.berkshares.org/ 

http://www.msnbc.msn.com/id/3032619/#30421140

A good community, as we know, insures itself by trust,
by good faith and good will, by mutual help,
A good community, in other words, is a good local economy.

-Wendell Berry, from “Work of Local Culture”

-dubbed a “great economic experiment” by the New York Times

      Congratulations to Fenell & Associates’ Cathy Shanks for winning “Rookie of the Year” at the 4th Annual Summit Awards this Saturday the 25th in Reno, Nevada. The theme was 1930′s flapper & gangster style (think Bonnie ; Clyde & Dick Tracy). Shanks award criteria was based upon gross commissions and number of deals in 2008. The ”Rookie” status also means Broker of only 12 months! Great Job Cathy! Keep up the hard work!  The Summit Awards, held at the Silver Legacy’s Grand Exposition Hall,  celebrated Developers, Brokers, Property Managers, and all other facets of Commercial Real Estate.

Fennell & Associates commercial agent, Aaron Smith, has successfully leased office space in the MountainView Corporate Center Sun West Bank building.  The new tenant, Green Tree Services, specializes in manufactured home loans, home improvement, and consumer installment loans.