Riata Corporate Park and Riata Crossing
Riata Corporate Park and Riata Crossing consist of approximately 1.1 million square feet of Class A office space, and two additional buildings that are planned for development totaling 50,000 and 63,000 square feet.
As we watch the daily news broadcasts, the harsh reality of our economy is tough to ignore. While the long term condition may be unknown at this time, we can say, with utmost certainty, that the current economic conditions are affecting all facets of the commercial real estate market. The foremost hurdle we face today is a lack of capital in the market. Lenders are reluctant to lend on commercial real estate or to provide capital for business improvements or expansions. Consequentially, Tenants are hesitant to agree to long term leases and / or expansions until the economic direction is more comprehensible. It is as though everyone is nervously waiting on the proverbial sideline in anticipation of some clear direction in the economy.
Retailers World in a Down Market
The tenants we foresee occupying our shopping centers in the San Antonio market are well capitalized, service oriented and efficient retailers. The days of the undercapitalized retailer or undercapitalized service provider’s expansion, are on hold for the time being. However, retailers who are well capitalized will be in a position to expand. This group will carry little debt and will be able to continue to purchase inventory either on a cash basis or a revolving credit basis.
Clean Energy Moves Full Steam Ahead
The Austin office market is experiencing an influx of "clean energy" companies. These firms are involved in a number of various fields of clean energy solutions. They include:
• Solar energy
• Wind farms
• Clean power technology
• Pollution abstinent firms
• Clean power resellers
Green Buildings and the Impact of Power Factor on Utility Cost
In the recent months, a substantial buzz has whirled around "Green Buildings" and "LEED Designation". LEED Designation, or Leadership in Energy and Environmental Design, serves as a benchmark for Green building design, construction, and operation. Green building and LEED Designation work hand-in-hand, and as of late, seem to serve as the future design benchmark of commercial real estate. In a recent national conference held by an institutional advisor, one of the primary topics discussed was the status of the green revolution in the world of real estate in the United States, Western Europe and Asia. In many countries, strict mandates have been rooted for the use of green materials and energy saving equipment. This is also a fact in some areas of the United States. Here at home, the Austin City Council recently attempted to mandate energy efficiency standards for both residential and commercial properties prior to sale. Through a concerted effort by the real estate community, the proposed mandate was defeated due to the heavy burden that would have been potentially placed on owners during a time when many are already suffering from lower occupancies and difficult financing.
Austin has a solid reputation for being a tech savvy city and has most recently garnered much attention from the national press as one of the best cities to live in the US. In addition to the national recognition, Austin’s resistance to the national economic crisis has only increased the attractiveness of the city. As a result, the technology sector in Austin has continued to flourish.
Austin: A Recession Proof City
Austin is a great place to do business, and has been for years. A young and highly educated workforce, reasonably low cost of living, outstanding quality of life, and recognition as a technology hub are just a few reasons why this State Capital is a “bargain” for company headquarters. Given the current economic climate, Austin is a top prospect compared to other mid-sized and large cities across the country.
Stretch Your Dollars in Central Texas
Forbes recognizes Austin and San Antonio as the best cities to stretch your dollars.
"Five Mistakes Tenants Make" Webinar
HPI completed its first webinar on "Five Mistakes Tenants Make."
