Tag Archives: Cassidy Turley | BRE Commercial

Dark Star Orchestra

Concerts Take The Center Stage At Musical Instrument Museum In April

Musical Instrument Museum marks the start of a series of events focusing on concerts, bringing performances by local and national artists to the Valley.

VladimirPleshakov&ElenaWinther_April26_MIM

Mini Music Makers Series
Mondays and Wednesdays in April (1, 3, 8, 10, 15, 17, 22, 24)
9:30-10 a.m. for children ages 0-18 months
10:15-10:50 a.m. for children ages 18 months-3 years
11-11:45 a.m. for children ages 3-5 years
Tickets: $12 per class or $40 for all four
Introduce your child to the wonderful world of music! MIM’s Mini Music Makers Series, an early childhood music-education program, aims to enrich children’s lives by providing a safe, interactive and engaging environment for children to explore a variety of music from around the world. Each class is structured around developmentally appropriate activities for children to interact with and create their own music. This session’s classes will focus on the sights and sounds of African music. Reservations required. To reserve a space, please contact Annabel Rimmer at 480-245-6919 or grouptours@MIM.org.

 

 

Dark Star Orchestra: Continuing the Grateful Dead Concert Experience
Monday, April 1, 7 p.m.
Tickets: $36.50-$39.50
Performing Grateful Dead classics in the same way that an orchestra interprets music of classical composers, Dark Star Orchestra selects from among the nearly 2,500 shows that the Grateful Dead performed during their 30-year tenure as fathers of improvisational rock. The composer spirit is derived and channeled as the musicians capture the excitement and innovation of the original performances and compositions. On most performances, Dark Star Orchestra presents the complete original set list, song by song and in consecutive order, while adapting their phrasing, voice arrangements, and specific musical equipment for the various eras of the Grateful Dead shows that they perform.

Colin Hay
Tuesday, April 2, 7 p.m. (SOLD OUT)
Wednesday, April 3, 7 p.m.
Tickets: $34.50-$39.50
Colin Hay wrote some of the quirkiest pop hits of the early 1980s as the principal songwriter of the Australian-based Men at Work (“Down Under,” “Overkill,” “Who Can It Be Now?”), which became an international pop sensation, seemed to dominate early MTV, and garnered a Grammy Award for Best New Band. As the band’s guitarist and lead singer, Hay’s voice and appearance are still familiar to millions. The past 20 years have found him quietly yet tenaciously reintroducing himself to new generations of fans. In the process, he’s become a respected songwriter whose stage humor and storytelling are nearly as renowned as his music. He’s now enjoying life as a masterful writer and vocalist who is at the peak of his craft.

Alpin Hong
Friday, April 5, 7:30 p.m.
Tickets: $37.50-$42.50
Whirlwind American tours and performances across the globe have earned pianist Alpin Hong the reputation as a modern-day Pied Piper. His combination of stunning technique, emotional range, and rare humor continues to bring audiences young and old to their feet. The New York Times lauded his “crystalline energy . . . clear and persuasive ideas . . . and remarkable breadth of coloration,” and called him “a pianistic firebrand” in a review of his standing-room-only New York recital debut at Carnegie Hall’s Weill Recital Hall.

Arizona Opera Up Close Series: Double Entendre
Thursday, April 11, 7 p.m.
Tickets: $37.50-$42.50
Enjoy this rare opportunity to hear the two lead couples from both casts of “The Marriage of Figaro” as they share the spotlight on stage for one night only at the MIM Music Theater. With an impressive collection of debuts and accolades spanning the globe, the quartet will perform from their signature operatic roles and other selections from a variety of genres. Featuring Sari Gruber, Jo駘le Harvey, Jason Hardy, and Daniel Okulitch with Arizona Opera Head of Music Allen Perriello on piano.

MIM Homeschool Day: Compass Guided Tour and Signature Workshop (West African Percussion and Dance)
Monday, April 15
Tickets: $10 per student, $10 per chaperone above the 1:5 ratio
Led by docents, this exciting “trip around the world” introduced students to the diversity of the world’s musical traditions, ranging from an Indonesian gong workshop to a re-created workshop featuring Martin acoustic guitars. Students learn ways that instruments have changed over time, as humans move around the globe and interact with each other. Content and curriculum align with Arizona State Standards in science, social studies, and music education. Students will also participate in a Signature Workshop on West African Percussion and Dance where they will be introduced to different drumming styles and traditions from several cultural groups in Ghana, Mali and Guinea. Students will play along using the djembe, agogo double bell and shekere. There will also be a family-friendly menu available at the MIM Caf・ Best for grades 3‒12. To register, please contact Annabel Rimmer at 480-245-6919 or grouptours@MIM.org.

I Am AZ Music: The Best of the Valley: Open Mic Showcase
Tuesday, April 16, 7 p.m.
Tickets: $10
Featuring Andrew Duncan Brown, Ruca (Haley Grigaitis), Tim Allyn, Amanda Morgan and Jason Messer for an evening of local and diverse music.

Bang a Gong: Balinese Gamelan Workshop Series
Saturday, April 20, 10:30 a.m.
Tickets: $12 per class ($10 per class when purchased with museum admission)
Learn to play a gong – and all the other instruments that make up the sounds of a Balinese gamelan at MIM’s workshop! Led by assistant curator Colin Pearson, these bimonthly workshops include an introduction to Indonesian culture and music and easy lessons to play authentic Balinese instruments. No experience is required, and musicians and non-musicians alike will enjoy this unique musical form, so come join us! Please note that each workshop is an introductory class but participants are welcome to register for more than one session and hone their musical skills. Best for ages 8 and older. To register, please contact Annabel Rimmer at 480-245-6919 or grouptours@MIM.org.

The Klezmatics
Sunday, April 21, 7 p.m.
Tickets: $39.50-$47.50
The Klezmatics take one of the wildest approaches to klezmer, the traditional dance music of Eastern European Jews. Although their music is heavily influenced by the recordings of Abraham Ellstein and Dave Tarras in the 1940s and 1950s, their lyrics comment on a wide variety of political and social issues and have led the group to be labeled “the planet’s radical Jewish roots band.”

I Am AZ Music: Local Singer-Songwriters in the Round
Tuesday, April 23, 7 p.m.
Tickets: $15
Five Arizona singers sitting on stage trading stories and songs. It’s like being invited into the living room with some of Arizona’s best musical talent. Featuring Hans Olson, Walt Richardson, Jesse Valenzuela and the Zubia Brothers.

MIM Musical Interludes Series Featuring ASU: French Chamber Music
Wednesday, April 24, 10:30 a.m.
Tickets: Free with museum admission or $7 performance only
Elizabeth Buck, playing flute, with Lynne Aspnes, playing harp, will perform both delightful and triumphant French chamber music in honor of “La Marseillaise,” national anthem of France, which was composed on April 24, 1792.

Molly Ringwald
Wednesday, April 24, 7 p.m.
Tickets: $37.50-$42.50
American actress, singer, dancer, and author Molly Ringwald is frequently named the greatest teen star of all time. The daughter of jazzman Bob Ringwald and the leader of the Great Pacific Jazz Band, Ringwald, will soon be releasing her new CD featuring the talents of Clayton Cameron (Tony Bennett, Nancy Wilson, B.B. King) Winston Byrd (Natalie Cole, Roy Hargrove, Charles Tolliver), Trevor Ware (Hubert Laws, Jimmy Heath) and Allen Mezquida (Brad Mehldau, Bill Charlap).

Music In Motion: Dry River Yacht Club
Thursday, April 25, 6-8:30 p.m.
Tickets: Free with museum admission or $7 performance only
Groove to the sounds of Arizona under the stars and take a musical journey around the world in MIM’s galleries! The last thing one would think of when it comes to Arizona would be yacht clubs. Yet, in the heart of the Valley of the Sun, the dry riverbed of the Salt River winds its way through the metropolis. If you follow it east, straight to the waters of Tempe Town Lake, a yacht club most certainly exists: the Dry River Yacht Club (DRYC). The band, using no amplification, plays an eclectic mix of instruments, including a bassoon, violin, tuba, accordion, acoustic guitar, and bass clarinet, to create a unique combination of gypsy, Western, folk and rock music.

Hayes Carll
Thursday, April 25, 7:30 p.m.
Tickets: $19.50-$24.50
Texas singer and songwriter Hayes Carll received his first guitar at age 15 and almost immediately began writing songs, influenced by the likes of Bob Dylan, John Prine, Kris Kristofferson, Dead Poets Society and the Beat novels and writings of Jack Kerouac, all of which continued to reverberate in his mature songwriting style. In 2002, he signed with Compadre Records and released his debut album “Flowers and Liquor,” which garnered him favorable comparisons to Townes Van Zandt. His song “Another Like You” was named #1 on AmericanSongwriter.com’s Top 50 Songs of 2011, and is now firmly established in the Van Zandt/Guy Clark/Ray Wylie Hubbard style of maverick country-folk.

Vladimir Pleshakov & Elena Winther: Rachmaninoff Anniversary Concert
Friday, April 26, 7:30 p.m.
Tickets: $27.50‒$37.50
Vladimir Pleshakov and Elena Winther, husband-and-wife pianists, have been hailed by the Russian press as “European heirs to the great Russian pianistic tradition.” Playing two nine-foot Steinway pianos, they will masterfully convey the history, drama and passion of the last great romantic composer.

Get the Beat! World Drumming Series: Rhythms of the Middle East
Saturday, April 27, 2:30‒3:30 p.m.
Tickets: $12 per class (museum admission may be purchased separately)
Join the circle and get the beat! Each month, Frank Thompson, founder of AZ Rhythm Connection, offers a chance to experience community drumming for all levels, from absolute beginners to enthusiastic professionals. Each fun, relaxing and family-friendly session will highlight a new culture or genre, plus provide plenty of time for making music and jam sessions. Guest artists and MIM curators will stop in to demonstrate or share information about instruments, cultures or rhythms. Bring your own drum or use one provided. To register, please contact Annabel Rimmer at 480-245-6919 or grouptours@MIM.org.

 

rsz_8600andersondrive_stratz

Cassidy Turley Completes Sale of 35,000 SF Office Building

Cassidy Turley BRE Commercial negotiated the sale of 8550 and 8600 E. Anderson Dr. in Scottsdale.

Mark Stratz, Ray Harris, Tyler Wilson and Scott Baumgarten with Cassidy Turley represented the seller, Silverleaf Perimeter Center, LLC, in the $3.7M transaction. The buyers were Phoenix based LGE Design Build and Anderson Commercial Real Estate.

The purchase included a ±35,000 SF, 2-story medical office building built in 2003 and completely renovated in 2012 at the 8600 address and a build-to-suit opportunity on two acres at the 8550 address for a potential ±72,000 SF, 4-story building. Both addresses have frontage on Loop 101.

Vice Presidents Mark Stratz, Ray Harris, Tyler Wilson and Senior Associate Scott Baumgarten are with Cassidy Turley BRE Commercial’s Office Group.

 

NAIOP Arizona's Developing Leaders - AZRE Magazine September/October 2011

NAIOP Arizona’s Developing Leaders Pairs Veterans With Young Professionals

NAIOP Arizona’s Developing Leaders mentoring program designed to pair veteran and young CRE professionals to bolster the industry

For a group that has yet to commemorate its first class, NAIOP Arizona’s Developing Leaders mentoring program has some fairly heady goals.

That’s evident by its mission statement:

* To Improve the communities in which we develop, build, and broker commercial real estate;

* To Impact the careers of young real estate professionals through educational development, and exposure to pertinent topics;

* To Instill the knowledge, values, and expertise of today’s industry leaders in developing leaders;

* To Influence the professional growth of developing leaders by fostering valuable long-term relationships with industry peers.

NAIOP Arizona’s Developing Leaders mentoring program is relatively new to the Arizona chapter, although it’s been around for awhile nationally — where it has been successful.

“It was a natural evolution,” Clay Wells, a co-liaison on the NAIOP Arizona board of directors and director of business development at McShane Construction Company, says about implementing a mentoring program. “The first year we were involved with getting our feet wet. The second year we tried to make it grow by working on charitable events.”
Now in its third year, it’s time to get the ball rolling.

“The program will bring the best elements of the entire membership together,” says NAIOP Arizona president and CEO Tim Lawless. “It will create synergy with older more experienced people and younger up-and-coming members.”

The goal is for those in the commercial real estate industry to help provide protégés with insight on how to become successful, says Nate Goldfarb, an associate at CBRE and co-chair of the mentoring program.

The program will be comprised of 10 highly experienced industry professionals as mentors, each paired with two protégés who are existing developing leaders under the age of 35.

Other chapters have had mentoring programs for several years, with those in San Diego and Colorado boasting some of the strongest programs, according to Wells.  “We looked at other chapters and tried to steal the best details,” he says.

Lawless will be involved in the final mentor screening process and says he will be looking for the best and brightest people who are experts in their niche and would bring the most to the table.

Protégés will be selected based on application information and not on personality, says Wells, who is part of the selection committee that is made up of five to six board members.
Initially an email survey was sent out to all developing leader candidates to probe interest and to determine which industries members would like mentors from, Goldfarb says.

“There was a strong response from potential protégés and response from prospective mentors was phenomenal, particularly senior members,” Goldfarb says.

“We’re looking for an Icon,” says Lawless, adding that NAIOP Arizona’s membership has an excellent crop of mentor candidates such as Keith Earnest from RED Development and NAIOP chairman Mike Haenel of Cassidy Turley BRE Commercial.

When protégé and mentor are paired they will meet at least once a month for 10 months.
“There will be a lot of active listening to the mentor who has already walked the path,” Goldfarb says.

The inaugural class function will be held this fall and will be a black tie event, according to Goldfarb.

“We want to make events special for protégés so that they are impressed by the mentor, the program and the events.”

[stextbox id="grey"]For more information about the NAIOP Arizona’s Developing Leaders mentoring program, visit www.naiopaz.org/dl.[/stextbox]

AZRE Magazine September/October 2011

 

NAIOP Roundtable 2011 - AZRE Magazine September/October 2011

NAIOP Roundtable 2011

NAIOP Roundtable 2011

The commercial real estate industry is clearly recovering. Companies are absorbing vacant space, build-to-suit development is active and abundant capital is pursuing core real estate. The key question remains, however, how do we compare with the other major markets when it comes to job and population growth?
In short, when will the market justify new development and how will the state and our local commercial real estate industry assist in this effort? To be sure, the future remains bright in Arizona but the recovery will last longer before the next boom.

— Mike Haenel


NAIOP Roundtable Participants Key NAIOP Roundtable - AZRE Magazine September/October 2011

Roundtable Participants

 

1 — SB: Scott Bjerk
President
Bjerk Builders, Inc.

2 — MC: Megan Creecy
Leasing and Development Manager
EJM Development Co.

8 — JD: John DiVall
Senior VP
Liberty Property Trust

MH: Mike Haenel
Executive VP, Industrial Group
Cassidy Turley BRE Commercial
Chairman Profile

6 — TH: Todd Holzer
VP of Development
Ryan Companies US

5 — KM: Keaton Merrell
Principal
Legacy Capital Advisors

7 — BM: Bob Mulhern
Managing Director Greater Phoenix
Colliers International

3 — DW: Deron Webb
Managing Principal
Wentworth Webb & Postal

4 — CW: Clay Wells
Director, Business Development
McShane Construction Co.


Q: What is different in July 2011 in our local commercial real estate industry than a year ago?

BM: The short answer is that the market is stronger, but still burdened by vacancy rates that are high by historical standards, despite being lower than recent peaks. What is decidedly different, however, is that the outlook is considerably brighter than it was a year ago.

Last year at this time, uncertainty was the overriding theme and it plagued the market. The industrial market had posted just one quarter of positive absorption, and it was unclear whether that was a one-time burst in activity or a sign that tenants were more optimistic and the industrial market was beginning to turn a corner. Now we can see that tenant demand for industrial space has been sustained for more than a year, vacancy is tightening, and rents are stabilizing. We are also seeing headline-making announcements from companies such as Amazon and First Solar that not only improve the numbers, but also renew confidence in the market as a whole.

The office market has been slower to bounce back, but it is far more stable today than it was a year ago. A year ago, we were averaging negative net absorption of more than 500,000 SF per quarter, and the vacancy rate was shooting higher. While absorption has been mixed in recent quarters — up one quarter, down the next — the overall vacancy trend is essentially flat. The market hasn’t necessarily started to improve, but it’s no longer in free fall. We’re forecasting slightly positive absorption in the second half of 2011 and then positive absorption of nearly 1 MSF in 2012. We think rents will likely tick lower through the remainder of this year, because the high availability of space will continue to create competition in the marketplace.

MC: Activity is up, but it is still the quintessential “tale of two tenants.” National companies with 200,000 SF+ warehouse requirements are in the market. And, there are definitely more of those types of requirements (including build-to-suits) in the market today than there were last year at this time.

When looking, however, at say deals in the 5,000 SF to 20,000 SF range, there has been an increase in activity, but the regional and local tenants who comprise a large portion of that market segment are still facing a lot of challenges, such as difficulty obtaining financing, and economic uncertainty. These challenges result in a constraint on their ability to expand and the lack of confidence needed to make long term real estate decisions, which is why we are still seeing a number of these tenants in the smaller size ranges wanting only short-term extensions in their current spaces.

TH: I sense that we are now a local real estate industry made up of survivors. The attrition of firms is over for the most part. Those remaining have right sized for this “new normal” that we find ourselves in. Companies in our business have had to make changes in their business plans and doing activities that they did not anticipate 4 to 5 years ago. I think that this transformation has completed where a year ago it was still finding itself.

Q: How would you compare our Metro Phoenix commercial real state market to other major markets throughout the Western U.S.?

BM: At present, the characteristic that best describes the Phoenix commercial real estate market is the vacancy rate, which is among the highest, if not the highest of the major markets in the Western U.S. In the period immediately preceding the recession, development in Phoenix was fairly active, and when the economy cratered and companies slashed payrolls, there was a significant supply/demand imbalance.

The difference between Phoenix and the major California markets — where employment losses were nearly as dramatic as losses here — is that those markets didn’t have nearly as much speculative construction in the pipeline. As a result, vacancies rose in California, but not to the heights that they rose in Phoenix.

The other state that makes for an interesting comparison is Texas, where development has historically been quite active — just like Phoenix. The primary difference between Phoenix and the major Texas markets in the recession and thus far in the recovery is that the Texas markets weren’t hit nearly as hard by job losses during the downturn and the state has led the way with job gains during the recovery.

Looking ahead, the picture brightens significantly. Most forecasts call for Phoenix to rebound favorably once the economic recovery really gains traction nationally. Long-term forecasts call for annual population and employment gains in the 2.5% range, which should be similar to the major Texas markets and far outpace the California markets. This anticipated expansion is the primary source of optimism in the Phoenix market — now we’re just waiting for it to happen.

CW: The Metro Phoenix commercial real estate market has actually fared no worse or better than the other major Western U.S. markets. Retail and office continue to struggle in most markets while industrial vacancies for building over 500,000 SF have started to decrease. Recently a 500,000 SF speculative building broke ground in the Inland Empire and I believe if the economy stays as is we will see a speculative industrial building in Phoenix breaking ground by 3Q 2012. Where the Phoenix market differs from the rest of the Western U.S., with the exception of Las Vegas, is the residential real estate market. Metro Phoenix was too dependent on the residential construction market for creating jobs.

The reason this is so important until we create new jobs to replace these lost jobs, the retail and office sectors will continue to be slow to recover. People have to have a job, which allows them to have diposable income to spend at stores creating a need for new retailers. The same can be said for the office market. Until new companies locate to Metro Phoenix or are created here the need for office space will remain depressed. Most activity we are seeing in the office market are new investors coming to Metro Phoenix and buying distressed properties at a discount. This allows them to quote reduced rents forcing a downward pressure on existing landlords, who must rent space at a loss or lose a tenant. Office markets in some cities that have a more diverse economic base are recovering at a better pace than Metro Phoenix.

MC: While there has been increased activity across the Western U.S., the divergence is in the stage of recovery in primary markets such as the Inland Empire, vs. secondary markets like Phoenix.

The Inland Empire, for example, is one of the strongest industrial markets in the country with vacancy at 6.3%, which is the lowest vacancy rate in 14 quarters. By comparison, Phoenix’s Q2 2011 industrial vacancy rate was 13.9%, which was our 5th consecutive quarterly decline. But, I would say that the steady decline in vacancy we are experiencing here in Phoenix is a positive indicator, and it is only a matter of time before our recovery picks up speed.

RED Awards 2011

Brokerage Individual of the Year for Sales 2011

Eric J. Wichterman

Eric Wichterman, Cassidy TurleyCassidy Turley BRE Commercial

Sales details:

17 sales transactions

$61M in value

In 2010, Wichterman, an executive vice president, outpaced all competitive commercial brokerage individuals and teams in selling the most lender-owned property for the largest collection of lender/REO clients. His clients included most major special servicers and large banks such as Wells Fargo and Bank of America. Wichterman’s largest single transaction closed in 2010 was a Class A office/showroom, 177,173 SF at N. Pima Rd., in Scottsdale, for $16.25M all cash. Outside the office he works with the Arizona Humane Society, the American Cancer Society and the Phoenix Art Museum.

www.brephoenix.com

PTK Top Industry Leaders 2010

People To Know’s Top Industry Leaders Of The Year Announced

AZRE: Arizona Commercial Real Estate Magazine’s latest edition of Top People to Know (PTK) in Commercial Real Estate has just been published, and last night the winners of the PTK Top Industry Leaders were announced at a special event.

PTK showcases the most influential people working in commercial real estate in Arizona in the categories of developers and investors, brokers, architects and engineers, general contractors, sub-contractors, financiers and accountants, attorneys, city planners, property managers, and economic developers.

A committee of CRE professionals and the editorial staff of AZRE picked the people profiled in the 2010-2011 edition of PTK. Of those selected to be in the publication, the committee chose one person in each category as a Top Industry Leader.

A full profile on each of the Top Industry Leaders will be published in the January/February edition of AZRE.

Developers &Investors  Mike Ebert Managing Partner, Development RED DevelopmentDevelopers &Investors

Mike Ebert
Managing Partner, Development
RED Development



Brokers  Mike Haenel Executive Vice President Cassidy Turley | BRE CommercialBrokers

Mike Haenel
Executive Vice President
Cassidy Turley | BRE Commercial



Architects & Engineers  John F. Kane, AIA Partner ArchitektonArchitects & Engineers

John F. Kane, AIA
Partner
Architekton


General Contractors  Bryan Dunn, LEED AP Senior Vice President Adolfson & Peterson ConstructionGeneral Contractors

Bryan Dunn, LEED AP
Senior Vice President
Adolfson & Peterson Construction


Sub-Contractors  Tim Drexler President & CEO Ace Asphalt of ArizonaSub-Contractors

Tim Drexler
President & CEO
Ace Asphalt of Arizona


Financiers & Accountants  Mark Winkleman Chief Operating Officer ML ManagerFinanciers & Accountants

Mark Winkleman
Chief Operating Officer
ML Manager


Attorneys  Jordan Rich Rose Founder & President Rose Law Group pcAttorneys

Jordan Rich Rose
Founder & President
Rose Law Group pc


City Planners  Chris Anaradian Community Development Director City of TempeCity Planners

Chris Anaradian
Community Development Director
City of Tempe


Property Managers  Afton Trail Managing Director CB Richard EllisProperty Managers

Afton Trail
Managing Director
CB Richard Ellis


Economic Developers  Barry Broome President & CEO Greater Phoenix Economic CouncilEconomic Developers

Barry Broome
President & CEO
Greater Phoenix Economic Council

NAIOP, AZRE Magazine September/October 2010

NAIOP Roundtable 2010: Q&A With Members of NAIOP

NAIOP Roundtable 2010: Q&A With Members of NAIOP

Members of NAIOP-AZ sat down with AZRE magazine in a roundtable discussion, discussing the state of the local commercial real estate industry.


NAIOP Roundtable 2010 NAIOP Roundtable 2010 Participants

NAIOP Roundtable 2010 Participants:

1 — DW: Deron Webb, Managing Principal, Wentworth Webb & Postal 5 — BM: Bob Mulhern, Managing Director Greater Phoenix, Colliers International

2 — JB: Jodi Bailey, VP Property Management Services, Transwestern

6 — KR: Kurt Rosene, Senior VP, The Alter Group
3 — WS: William L. Spart, Senior VP & Manager, Middle Market Real Estate, Wells Fargo Bank 7 — TH: Todd Holzer, VP of Development, Ryan Companies US
4 — MH: Mike Haenel, Executive VP, Industrial Group, Cassidy Turley/BRE Commercial 8 — JD: John DiVall, Senior VP, Liberty Property Trust

Economy

TH: We are more than two years into the so-called “Great Recession.” How much longer will it last? Will Arizona pull out the same time as the rest of the nation? Since the commercial real estate industry is closely tied to the job market, it’s been a bumpy ride.

Q: What is different in July 2010 in our local commercial real estate industry than a year ago?

MH: The two biggest differences today compared to a year ago, are that tenant demand is on the rise and there are limited distressed industrial real estate opportunities available for sale. It’s important to note that, because we have not seen the oversupply of distressed real estate hit the market, values are higher than we thought they would be given the overall market conditions. This has translated into a significant and noticeable increase in tenant demand.

JD: It is marginally better. As part of the Arizona NAIOP, I wish I could say substantially better, but it’s not. There is more activity, but rates are still depressed, and we are now in the summer doldrums. We are clearly experiencing a jobless recovery. With no new construction on the horizon, we should gradually absorb space and improve.

WS: There are more lenders jumping into the market. We are seeing conduit, CMBS, life and other banks. A year ago we did not see much activity.

Q: How would you compare our Metro Phoenix commercial real estate market to other major markets throughout the Western U.S.?

BM: Phoenix’s metro commercial real estate market has been hit harder than most Western cities, with Las Vegas being the exception. At the end of the second quarter Phoenix vacancies for office (29 MSF/22.5%), industrial (41 MSF/17.7%) and retail (28 MSF/13.3%) were all in historically high ranges, and they remain significantly higher than other Western cities such as Denver (6.7% industrial/14.8% office), San Diego (8.7% industrial/16.2% office), and Los Angeles (not including Orange County and the Inland Empire — 5.0% industrial/12.7% office). Most of the basic fundamentals that draw people to the Valley are still in place, but the lack of job growth, coupled with the depressed residential housing market, are continuing to act as detriments to a commercial real estate rebound. Recognizing these realities, it should be noted that multi-family sales, for which purchase financing is available, are very strong, and that foreign investors, especially from Canada, are entering the market and helping create some velocity in the private client sales market.

JB: Phoenix is a very dynamic commercial real estate market with a highly skilled labor force, an abundance of labor because we are a right-to-work state with competitive wages, and reliable, lower cost energy sources for large users. Ultimately, this means that we attract a wide variety of users from semiconductor manufacturers, biotech/life science laboratories, aerospace and Department of Defense manufacturing, as well as back office and data center occupiers of space. Each building occupier has their reasons for choosing Phoenix over other markets, but we find ourselves to be very competitive as compared to other regional markets.

TH: Phoenix is in the infamous Bermuda Triangle of both residential and commercial real estate, which also includes Las Vegas and the Inland Empire of California. Because of the housing market dive, cities in this area went into recession mode before the rest ofthe nation, and the drop in our economy has been greater than most. Los Angeles, San Francisco and Seattle keep their economy above water due to Pacific Rim trade. Denver has energy and high tech, and Salt Lake City was not overbuilt. Texas has fared well due to energy and the George W. Bush presidency. It will be a long and difficult struggle for Metro Phoenix to pull out of the tough times it finds itself in.

Q: How are the boycotts and state public policies affecting our industry?

BM: I have not heard one comment about the boycott in our offices or from any of our clients, which is an indication to me that the boycotts, though serious issues, do not rank high in the commercial real estate priorities of concern. Shrinking rents and occupancies are a much bigger issue these days.

Regarding public policy, the inability of the federal and state governments to implement policies and programs to stimulate job growth is prolonging our recession. There will not be a jobless recovery so, until jobs are created, our industry is continuing to experience high levels of tumult.

Public policy toward banks is also prolonging our recession as the de-leveraging process is being allowed to be spread over time, preventing the painful, but inevitable total market reset necessary to stabilize the real estate market and allow it to begin to create some positive momentum.

TH: The boycotts are affecting the convention and tourist sector, but I do not believe that they have affected the office and industrial markets here in Arizona. Companies choose to come here due to the ease of doing business and quality of life, not due to our state’s policy on immigration. That being said, our state needs to make job creation and business attraction a primary focus. We need the Legislature and the governor’s office to make jobs our No. 1 priority. I suggest a formal jobs bill from our legislative leadership should come forward that includes a lower tax burden on hiring businesses and commercial property owners.

DW: After the initial national “knee jerk” reaction of higher deficit spending and dubious stimulus policy, leaders underestimated the outcry and we did not do a good job of getting the message out nationally. Projects have been stalled and some major players are taking a wait-and-see attitude. Any time there is substantial disturbance, those active in the market cool.