Winick Realty Group’s Post

Happy to announce another successful transaction in the books! Many people question the concept of dual-brokerage - whether someone can truly represent the best interests of both a Buyer and Seller in a transaction. We ask ourselves this question regularly, and constantly test ourselves to make sure we're doing what's best for our clients. This deal is an excellent example of the value of a dual-broker, as there's a strong chance it wouldn't have made it to the finish line otherwise; a sentiment shared by both the Buyer and Seller in this transaction. We're happy we could help get it done, with satisfied clients on both sides of the table at the end of the day.

*Featured Listing* 1291 Merchants Dr, Dallas, GA 30132 CBRE is pleased to present this exclusive listing of a freestanding Krystal Restaurant located at 1291 Merchants Drive in Dallas, GA. The site constructed in 1994 consists of 644 rentable square feet of building space and sits on an approximately 0.45-acre parcel of land. Krystal is subject to a brand new, 25-year Absolute NNN lease, the starting base rent shall be $67,481.98 with 1.0% annual escalations starting in year six (6). There will be three (3), five-year tenant renewal options, extending the total possible lease term to 40 years. https://lnkd.in/dfxzGZTa #commercialrealestate #retailinvestment #cbre #retail #retailproperty #NewHartford #NewYork #retailinvestmentbroker #brokerlife #orlando #cretrends #CRE #foryou #featuredlisting #realestate #CRE #realestate #investment #investmentopportunity #selling #forsale #sell #buy #commercialproperty

How many times have I said that troubled retailer John Lewis & Partners is absolutely bonkers to want to move into the residential real estate business? And have they listened to me? No they haven’t. And today (26th July) they announced they have received approval from Bromley Council to transform its Waitrose site in Bromley into a new residential community of 353 rental homes and a modernised store. JLP will develop, manage and own the homes. A start date was not specified, though the project is mooted to take ten years to complete. This is all part of the grand plan announced at the end of 2002 by JLP's soon-to-exit chair, Dame Sharon White, and CEO-for-now-but-who-knows-for-how-much-longer, Nish Kankiwala, to build 10,000 homes over ten years in a £500m JV with also troubled UK financial services giant, Aberdeen (I absolutely refuse to refer to it by its new branding). Significantly, today’s announcement sneaked in a massive retraction from this target, with a comment from James Dunne, head of operational real estate at Aberdeen, who referred to the JV delivering ‘around 1,000 new homes’. I had really hoped that recently re-employed Executive Director Peter Ruis – who I see as CEO-in-waiting (see prior posts) – would have put a stop to this madness. But it seems not. I’ve said it before and I will say it again, and again, and again until someone listens to me: JLP SHOULD STICK TO THE KNITTING!! #sticktotheknitting

I've got important lessons using the Red Lobster bankruptcy story for you guys: For context, the media just realized that Red Lobster may be filing bankruptcy yesterday. CRE insiders recognized the rents set in their sale/leaseback's were well above market for years, but no joke the "unlimited shrimp offering" was so successful that it forced the company to finally re-evaluate their financial situation per rumors & articles circulating back in February. This situation is an important reminder that in commercial real estate investing you are buying a REAL ESTATE LOCATION (Location, Location) that happens to include a lease with a third party tenant. I sold this Red Lobster on Monday, which coincided with the bankruptcy announcement to the general public - the buyer, myself, and buyer's broker were all aware of the situation prior to submitting the offer. Lesson 1 - The difference between a Chapter 11 vs. Chapter 7 Bankruptcy: For context, this is reportedly a Chapter 11 bankruptcy process, which is a "reorganization" designed to keep the company operating & clean up the company's balance sheet. This IS NOT a Chapter 7 liquidation where the tenant shuts down permanently like Toys R Us did - huge difference. Given the Chapter 11 profile and 40 year history at this location, Red Lobster may very well stay here at this same exact rent. For context, Joann's Fabrics recently "declared bankruptcy" but closed exactly ZERO stores as a result and you can walk into any of them today. The reason this buyer acquired the asset was due to the location and very low rent - if the tenant left, they would be able to create upside by bringing in a new tenant with better credit paying a higher rent after paying for tenant improvements, leasing commissions, etc. Lesson 2: When investing make sure the rents are replaceable, that the location is attractive to other national retailers, and that the costs affiliated with getting there make sense to protect your downside. I sold this same group another Red Lobster in a similar mall pad location with a low rent and within 2 years they were able to kick out Red Lobster (long story), double the rent, and drastically improve the credit profile by signing a new ground lease with Darden Restaurants. Summary - giving out free shrimp put the Red Lobster in hot water (I'll be here all day) and the buyer saw opportunity. Shout out to Chris Hatch for running back a second Red Lobster with me.

Planning to sell in Weehawken? Geraldine Ciaccia brings you top strategies for a successful sale. Learn about staging, competitive pricing, and local market insights. With extensive experience in Hudson County, I ensure your home stands out. Ready to sell? DM me for expert advice. #WeehawkenRealEstate #SellWithConfidence #HomeStaging #CompetitivePricing #RealEstateExpert

Foot traffic. The ESSENTIAL ingredient for commercial real estate (retail). There’s a reason why price per square foot is more on Bloor St in #Toronto versus the price per square foot in Brantford, ON. You ask any retailer what they value most in a “location” for their business…. Has to be foot traffic! (Access to parking is a close 2nd). More people. More eyes. More business. #commercialproperty #cdnecon #cdnpoli #canadianrealestate #retailbusiness #foottraffic #commercialrealestate #commercialrealtor

Retail Space Dynamics: Resilience Amid Rising Bankruptcies Despite a surge in retail bankruptcies, the commercial real estate market remains robust, with vacant spaces quickly refilled. Here’s a look at the latest data and trends: Key Insights: Bankruptcies on the Rise: Retailer bankruptcies rose to 26 last year, the highest since 2020, with more than a dozen retailers, including Express, Rue21, and Ted Baker, announcing store closures in 2024. Recent Major Filing: Red Lobster filed for Chapter 11 bankruptcy this month, planning to break leases at 108 of its 550 locations. High Absorption Rates: Approximately 40% of the 721 closed Bed Bath & Beyond locations have been leased within a year of the retailer’s bankruptcy. Retail Availability: Retail vacancy rates are near record lows at 4.1%, making it easier for landlords to replace departing tenants. Construction Trends: Retail construction remains at record-low levels, with only 9.5 million square feet of new retail space completed in Q1 2023, compared to over 80 million square feet in Q1 2008. Landlord Opportunities: Landlords like Kimco Realty and Kite Realty Group see these vacancies as opportunities to attract best-in-class retailers and push rents higher. Changing Tenant Mix: New tenants often include discount retailers, fitness centers, and grocers, reflecting changing consumer preferences and economic conditions. Limited New Supply: High costs of land, construction, and labor deter new retail developments. Rents would need to increase by 35% to justify new supply, according to Kimco’s CEO. This data underscores the adaptability and resilience of the retail real estate market. Even amid economic challenges and rising bankruptcies, landlords are capitalizing on opportunities to enhance their tenant mix and drive growth. #wsj #retail #cre #cref #economy https://lnkd.in/eJYAwyxw

Something to think about

This review by Mike Migone highlights an outstanding owner-user investment opportunity on St. Armands Circle. #investmentopportunity #realestate #commercialproperty #retailspace #sarasotarealestate #businessforsale #realestateinvestment #sarasotaflorida

“We’re thrilled with this result. It was a hard-fought marketing process for our client and ended up being a real net positive for downtown D.C. This was a unique situation as we had such a prominent D.C. property up for sale, but we were faced with difficult market conditions and a neighborhood that was going through a period of major uncertainty and change. We stayed resilient, brought a comprehensive buyer pool and executed on a deal that is a tremendous result for the Chinatown neighborhood." Congratulations to John Slowinski and Marty Zupancic on their closing of 619 H Street NW, a 17,655-square-foot retail property with significant development potential located in Washington, D.C. After decades as a staple in the district's dining scene, hosting U.S. Presidents, celebrities, athletes and foreign leaders, Tony Cheng’s Mongolian Restaurant faced financial instability, leading to a Chapter 7 bankruptcy. The auction saw multiple parties vying for ownership, where four potential purchasers bid on the asset 48 total times, leading to a $7.4 million outcome. The sale not only secures the future of the building but also underscores the confidence in the area’s revitalization efforts. As the neighborhood prepares for future developments, including enhancements around the Capital One Arena, stakeholders remain optimistic about further growth and prosperity. Read more about this deal here: https://lnkd.in/gD6V9kep #MarcusMillichap #BehindtheDeal #DealStory #DCCRE #Closing