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4.9. SR 06-06-2016
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4.9. SR 06-06-2016
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Subject Market Overview -- continued <br /> JANUARY <br /> 111111h WAKEFIELD <br /> COMPASS <br /> Navigating ithe Minneapiol Paul Cornmerclai Real Estate Market <br /> .40 <br /> LAND MARKET <br /> LIN11- <br /> Demand for Industrial Sites Continues to Drive Land Market <br /> The boom in demand and prices for industrial Sites continued to be the <br /> leading story in land during the second half of 2015.with no signs of a <br /> looming market correction as of yet.I rdustrial developers continued to <br /> compete for the best sites to take advantage of the current cycle.as well <br /> as to gain long-term positions for the future. � o3 <br /> Industrial was followed closely by multi-famly.where developers also <br /> competed for the best sites during the past six months.Lard prices for INDUSTRIAL <br /> multi-family projects in downtown Minneapolis have reached record high MULTI-FAMILY <br /> prices as the majority of buildable sites have been put Into production In AND RETAIL <br /> the face of continued demand from both renters and mufti-family irvestors in high demand <br /> Retail and demand was also strong as builders sought out new lard <br /> positions to keep pace with the expansion of single-family housing <br /> davalopment it the suburban areas. <br /> INDUSTRIAL <br /> Within the hottest land sector.the majority of actrvrty was relate: <br /> b industrial parks—either the creation of entirely new ones or new <br /> -e;en.. e_.within existing ones.Anew park was created in November 10% rise in prices <br /> . property Trust purchased 188 acres in Dayton and Rogers <br /> for zh.e rrerch Lake Industrial Center.And an example of robust demand .Or' W dustrial land in second hal` <br /> within existing parks was United Properties'announcement of plans to <br /> build a third 200,000-sf buiIdingat Blaine Preserve and construction of a <br /> 100, 00-sfspeculative building. <br /> •Other new business parks are in various stages of planning Ryan Companies is working or a new inoustrial park in Elko, <br /> andanother new park near 1.35E in Lino Lakes is in the preliminary stages projects are also in the plennrrg stages it <br /> Arden Hills and Shoreview. <br /> •IndustrWland prices continued to climb.up an additroral 10%in the second half of 2015-Meanwhile.more lar-_-ea•9 are <br /> progressingto closing.with an estimated 70%chance of transactions now reaching the closing stage <br /> COMPASSVANT MORE MARKET INSIC.HTSI VISIT THE rLILL REPORT AT 11,100THKAROCOMPASS CO H <br /> M AM <br /> Nagell Appraisal&Consulting 1 952-544-8966 1 www.callnagell.com 19 <br />
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