On December 20, 2016
“Superforecasting: How to Ensure a Successful Closing” is the eleventh and final step in our key issues in all real estate transactions.
At closing, the final stage of a real estate transaction, missing even the smallest detail can have a critical impact on the overall success or failure of the deal, as well as client satisfaction. It is the responsibility of the broker to carefully coordinate and manage these final steps to ensure a successful transaction. In order to do that, one must learn to “predict the future.”
On November 17, 2016
Overall projections for four major commercial sectors and analyzes quarterly data in the office, industrial, retail and multifamily markets.read more..
On September 20, 2016
We need to always be aware of time provisions in contracts. Time provisions mean what they say and cannot be ignored. A recent Minnesota case, Contractors Edge, Inc. v. City of Mankato, illustrates this point. This case involved a public works project, the owner being a municipality. The holding of the case, however, applies to all contracts.read more..
On July 27, 2016
“Finalizing Transaction Agreements” is the tenth step in our key issues in all real estate transactions.
After putting forth the necessary time and effort into building a trustworthy relationship and negotiating a deal, there is one document that is the most significant component of the entire transaction: The Agreement of Sale. Every conversation, discussion and negotiation leads up to this crucial step in securing an arrangement for the buying and selling of a property.read more..
On July 13, 2016
“Negotiating Terms of the Transaction” is the ninth step in our key issues in all real estate transactions.
The foundation of any effective business deal is a trustworthy relationship. In real estate, we must understand four crucial components of the transaction in order to be successful: Letters of Intent, Agreements, Offer Language, and Counter Offers. Whether you are buying or selling, understanding how to interact positively and proactively throughout the transaction will allow you to come away with the best deal you can get.
On June 22, 2016
The executive office concept allows tenants to have executive suites completely operational within just a few days. This is attractive to new entrepreneurs with startups, as they need to start work immediately to recruit new business. This concept also offers flexible, short-term leases for businesses attempting to expand into new regions.read more..
On April 08, 2016
Commercial Real Estate - Financing 101
By Gregory C. Cassel, CCIM, Commercial Asset Manager, High Associates Ltd.
How does financing your corporate office building compare to getting a mortgage on your home?
To answer that question you need to know the key differences between commercial real estate and residential properties.read more..
On March 03, 2016
A stronger labor market and increasing household formation should keep commercial real estate demand on a gradual incline.read more..
On February 16, 2016
Lancaster is a third class county (based on population), and the Lancaster County Property Assessment Office is administered under the Pennsylvania Third Class Assessment Law, the Pennsylvania General County Assessment Law, and the Pennsylvania Consolidated County Assessment Law. The Property Assessment Office is required to develop an assessment for each property within the county based on the concepts of fair market value and uniformity.read more..
On January 18, 2016
“Qualifying of Prospects Interested in the Property” is the eighth step in our key issues in all real estate transactions.
There are three basic questions in selling commercial real estate. One, who has a property for sale? Two, who wants it? And three, are the parties qualified to transact the sale? This sounds easy enough, but with many issues involved in negotiating real estate transactions, future problems may arise that prevent a deal from closing.read more..
On December 14, 2015
"Implement An Effective Strategic Marketing Plan" is the seventh step in our key issues in all real estate transactions.
Have you ever attended an event where people were asked to guess the number of candies in a large glass jar to win a prize? According to Daniel J. Levitin, author of The Organized Mind, “the majority of answers will probably be very wrong, but the group average comes surprisingly close ...read more..
On September 03, 2015
"Developing a Strategic Marketing Plan" is the sixth step in our key issues in all real estate transactions.
Here’s the question: What’s a home run to you? Is it actually going to the ballgame and hearing the roar of the crowd when the hometown team hits the ball over the fence? Or is it something much deeper in business or personal achievements?read more..
On July 29, 2015
The Pennsylvania College of Health Sciences is growing and moving to Greenfield Corporate Center in Lancaster, Pa. Here are interviews with college president Mary Grace Simcox and members of the High project team discussing the vision and construction of the new learning environment.read more..
On July 01, 2015
"Researching The Subject Property Information" is the fifth step in our key issues in all real estate transactions.
Perhaps this question pales in comparison to philosophical quotes of Socrates like; the unexamined life is not worth living, but for a moment it surprises us enough to make us pause and consider our thoughts. Are we right in our assumptions, have we thought it through, are our research results sufficient to make the correct decision? Or are our beliefs based on myths, or something our family members told us with great emphasis and so we believe without further inspection?read more..
On April 29, 2015
The sense of smell conjures up memories and visions of years ago, whether it be opening a fresh jar of peanut butter, twisting the key on a fresh can of coffee, or unsealing a brand new box of crayons. Crayons represented the magic of childhood in that they unleashed the creative instinct in all kids. Those boxes of 64 perfectly sharpened rods of colored wax along with a new coloring book transformed a rainy Saturday into a colorful journey of imagination. The greenies were, by far, my …read more..
On April 28, 2015
For our blog post this week, we welcome and thank contributor Steven G. Cook, who is Business Development Director for UGI Utilities, Inc. Combined heat and power (CHP) is an efficient, economical way to generate electric power and useful thermal energy from one fuel source ...read more..
On April 01, 2015
"Researching The Subject Property Information" is the fourth step in our key issues in all real estate transactions.
Picture yourself flipping a coin and for twenty consecutive flips it comes up heads. Exciting perhaps, but assuming it is not a trick coin, what are your chances...
On March 23, 2015
"Establising a Timeline of Events" is the third step in our key issues in all real estate transactions.
Time Keeps On Slippin’ Into The Future Picture yourself on a white sandy beach with a warm breeze, sun, palm trees, and beautiful turquoise water. Your mind begins to wander … you think, Wouldn’t it be great to own a beachfront condo? Hmmm, when is the right time to buy or sell? How do intelligent real estate investors make the right moves?
On March 18, 2015
New store concepts and trends in retail are typically launched in major metropolitan cities and work their way over time into secondary and tertiary markets. Retailers ultimately expand the new store concepts into markets like Lancaster if its demographic and psychographic characteristics are a match for their target customer and adequate sales projections meet thresholds for profitable sales. Hence, as there will always be new store concepts in “roll-out,” shopping centers being built and leased in Lancaster today may not be what we design and build fiveread more..
On March 17, 2015
"Hope is Not a Strategy" is the second step in our key ingredients in all real estate transactions.
View Part 1. Two things move prices—supply and demand. That’s it! Shocking, but true. In Ken Fisher’s book, The Only Three Questions That Count, he states that supply and demand are about eagerness. ...read more..
On March 10, 2015
"Selecting a Qualified Real Estate Professional" is the first step in our key issues in all real estate transactions.
How about a little brain exercise or walk down memory lane? How many business clichés can you mention in two minutes? To get you started, here are a few: “thinking outside the box;” “pushing the envelope;” or perhaps “seamless integration” ...
On March 03, 2015
At one time or another, and in a variety of settings. businesses enter letters of intent. Some come about after lengthy discussions, some come about after a few conversations. Few letters of intent contain all of the deal details and many lack pertinent, important details. If the letter of intent is a result of a few conversations, the parties may not have thought about the legal enforceability of the letter of intent. Conscious thought must be given to that consideration because letters of intent run the gamut …read more..
On February 24, 2015
In November Thyssen-Krupp made industry news by announcing MULTI, the first magnetic levitation elevator for use in commercial buildings. The system will allow elevator cars to move both horizontally and vertically through a building. The company is building a prototype that will be available to the public in 2016. When I first heard about it, images of the turbolift on the old Star Trek TV series whizzed through my mind. Like that fictional elevator, MULTI will take you right to the area or room you are headedread more..
On February 17, 2015
On Wednesday, February 11th, High Associates Ltd. presented its annual economic forecast for the Lancaster County commercial/industrial real estate market for year 2014/2015. The presentation is part of the monthly lecture series offered by the C&I Council, a part of the Lancaster County Association of Realtors (LCAR). The meeting was held at the Lancaster County Convention Center and was attended by more than 130 real estate professionals and interested community members. Each year, High Associates surveys Lancaster County to determine the health of the commercial/industrial real estate …read more..
On January 05, 2015
Most real estate locations are subject to a flood risk exposure. If the property is mortgaged witha lender, it is likely that flood insurance must be maintained on the property while it is financed.Flood insurance is typically available through commercial property insurance policies if theproperty is NOT located in a Special Flood Hazard or Coastal High Hazard area as designatedin the flood zone maps. These maps are developed by the Federal Emergency ManagementAgency (FEMA). Flood insurance can be obtained from the National Flood Insurance Program(NFIP) for low-to-moderate
On December 19, 2014
After nearly twenty years in the commercial construction industry, I’m rarely surprised by the outcome of a project. Project success or failure is predictable nearly from its inception. Successful projects develop from proactive, communicative, project-first teams and processes; and failed projects suffer from ill-conceived, compartmentalized, and disjointed processes and team dysfunction. What’s important to a project after the team is organized for success? Traditionally, the team focuses on establishing and clearly articulating project goals which are then supported by effective and timely decision-making. The degree of success is determined by how early you …read more..
On October 09, 2014
The time to develop an owner’s performance requirements (OPR) document is in pre-design. The design team uses the OPR to evaluate the Basis of Design. Construction drawings also need to be checked for compliance with the OPR. According to ASHRAE Guideline 0, and LEED, the OPR is the basis of all commissioning work for the project answering the question: does the project meet the OPR requirements? The intent is to provide a guideline that informs the thinking of designers. To ensure that the design complies with the …read more..
On October 06, 2014
Sometimes, how things are done in the real world of construction may be surprising even to people who do it for a living. One such circumstance is the practice of defining how a building is to perform—and waiting until after it is already designed and then reverse engineering the building performance requirements from the final design or even after the building is completed and occupied. It happens more often than you might think. To ensure that their buildings perform as required and their construction investments are optimized, …read more..
On August 20, 2014
As an architect, rarely do I find myself at lunch with a client that one of us doesn’t start to sketch on the back of a napkin. The ideas seem to flow a little faster, we both can contribute, and we have a record of what we did to remember later. Napkin sketches are idea-generating and inspirational; and the foundation for future development. It’s always flattering when a client asks if he can keep it, but I have yet to be asked to sign one. The back-of-the-napkin …read more..
On August 04, 2014
Real Estate Matters interviews Brad Mowbray, Senior Vice President & Managing Director for High Associates Ltd. Click the links at the left for the latest issue of our award-winning publication. REM: What is your background? Brad Mowbray: I was born and raised in Baltimore and I’m a die-hard Orioles and Ravens fan. I graduated from the University of Richmond with a BS in Business Administration and got my start with Legg Mason in investment banking where my focus was on raising equity and debt for public and private real …read more..
On July 22, 2014
For our blog post this week, we welcome and thank contributor Rashyna Banzhof of Cerrado Abstract, LLC, a member of the Landmark Abstract Group of Title Agencies.
Let’s start with a legal definition of what title insurance is: Insuring, guaranteeing, or indemnifying against loss or damage suffered by owners of real property, or by others with an interest therein, by reason of liens, encumbrances upon, defects in, or the unmarketability of the title to said real propertyread more..
Building 105 in Rossmoyne Business Center, Harrisburg, Pa.
On June 25, 2014
In April the U.S. Environmental Protection Agency (EPA) announced that High Associates Ltd.’s Building 105 office building in Rossmoyne Business Center placed fifth overall in the EPA’s 2013 Battle of the Buildings. The fourth annual national competition recognized buildings that improved energy efficiency, lowered utility costs, and protected health and the environment throughout the calendar year. More than 3,000 buildings participated. John B. Hayden, Director of Engineering Solutions for High Construction Energy Solutions Group, explains how Building 105 was improved to earn the recognition. Participation in theread more..
On June 24, 2014
Last week the Urban Land Institute Philadelphia (ULI Philadelphia District Council) announced the winners of the 2014 inaugural Willard G. “Bill” Rouse Awards for Excellence. The award honors projects that demonstrate ULI’s mission to provide leadership in the responsible use of land and to help create and sustain thriving communities. Among the nine winners was the integrated Lancaster County Convention Center and Lancaster Marriott at Penn Square facility, a regionally significant urban infill project created by a public/private partnership in Lancaster, Pennsylvania—and one of Lancaster County’s mostread more..
On June 20, 2014
The public/private partnership was recognized as a facility that “demonstrates responsible land use and sustains a thriving community.”
On June 04, 2014
Named top performer, the Harrisburg, Pa.-area Rossmoyne Business Center building in Mechanicsburg reduced energy use by 39.2 percent in 2013.
Harrisburg, PA June 04, 2014
High Associates Ltd. announced that its Building 105 office building in Rossmoyne Business Center placed fifth overall in the EPA’s 2013 Battle of the Buildings.
On June 02, 2014
In my previous post I discussed High Performance Buildings and Resilient Design as new sustainability concepts that are really reinterpretations of fundamental elements of sustainable design. Here’s how we see these concepts being applied. Sustainable Design in New Buildings New construction and major renovations are required to conform to minimum code requirements for building systems and equipment selection. However, performance is not often mandated. In most cases, an owner can and should communicate a level of building performance through an Owners Performance Requirement (OPR) document. Created by …read more..
On May 28, 2014
Managers tasked with reducing their companies’ carbon footprints are getting a boost from the natural gas boom as gas becomes the preferred fuel for power generation. Many plants are planning to convert if they haven’t done so already. In south central Pennsylvania the effects are evident in lower CO2 and particulate levels, which improves health as well as the impact on the bottom line. With more than 20 percent of anthropogenic greenhouse gases originating in the heating and cooling of buildings, we’ll happily take the benefit and …
On May 14, 2014
For companies that choose to lease long term assets, the accounting for those leases can have an impact on their balance sheet as well as their bottom line. Currently, leases can be accounted for in one of two ways—operating vs. capital. Many real estate leases are accounted for as operating leases, which is typically preferable to lessees who do not want to show the leased asset on their balance sheet, since only the right to use the asset is transferred. In addition, lessors keep the asset onread more..
On March 10, 2014
On March 04, 2014
As I am channel surfing on a Saturday afternoon, I stop at a scene in which a character named Franco says, “My friend, the first-a rule of Italian driving ….” He then rips off the rear-view mirror and throws it out of the car. “What’s-a behind me is not important.” The scene is from the 1976 movie Gumball Rally. This movie is cut from the same cloth as other greats such as Smokey and the Bandit, Cannon Ball Run, and Convoy. It is amazing what we findread more..
On January 30, 2014
We follow a standard set of procedures in almost everything we do, whether it’s changing a tire to baking a cake. Appraising property follows a standard set of procedures as well. It is known as The Valuation Process. A major component in the valuation process involves the approaches to value. These “approaches” include the sales comparison approach, the income capitalization approach, and the cost approach. The cost approach is described in this article. In the cost approach, the value of a property is derived by adding the …read more..
On January 08, 2014
When it’s all said and done, an appraisal report provides the appraiser’s opinion of value. But how does the appraiser reach that opinion? Remember back to one of your high school science classes when you were in a laboratory creating concoctions, boiling them into steam until they condensed and flowed into a funnel and magically, at the end of the funnel, was the product of your work. You had to follow a set of standard procedures for each experiment and document each step and each result that was made. Well, appraising …read more..
On December 30, 2013
Few authors have influenced my personal and professional life as much as Herb Cohen. A key member of the team that ended the US Embassy hostage crisis in Iran, Cohen distills the essence of win-win transactions in business and in life in his no-nonsense book, “You Can Negotiate Anything.” For Cohen, negotiation is a field of knowledge and endeavor that focuses on gaining the favor of people from whom we want things. It’s as simple as that. In fact, each of us is negotiating all the time …read more..
On November 25, 2013
In a humorous piece for the Central Penn Business Journal, McNees Wallace & Nurick attorney Shaun Eisenhauer sets up the seemingly impossible: how just having your name associated with an email, text, or other piece of electronic communication can be held as a legally binding contract. Long a staple of corporate communications, email lets us dash off a note of confirmation of just the right length, with just the right amount of information to keep the ball rolling without getting into the details plus a sidebar about …read more..
On November 12, 2013
High Associates Ltd. is pleased to announce that Linford L. Good, SIOR, CCIM, was elected president of the Philadelphia Chapter of the Society of Industrial and Office REALTORS® (SIOR) effective August, 2013. Good is senior vice president, brokerage services, for High Associates.read more..
On November 12, 2013
We welcome and thank Scott D. Butcher, FSMPS, CPSM, from jdb engineering, inc., in York Pa., who offered the following energy facts and tips for this week’s blog. In the United States, 72% of electricity consumption generated by power plants is for buildings. In terms of overall energy consumption, buildings account for 40% of it. 48% of greenhouse gas emissions are caused by buildings. So you can feel bad about driving your car to work, then feel bad about the building you are in. Energy costs businesses …read more..
On November 08, 2013
It’s common practice in commercial real estate for landlords to collect a security deposit when a tenant leases a property. The purpose of security deposits is to assure that a tenant pays rent on time and keeps the property in good condition. There are often limitations on how much a security deposit can be and how a security deposit can be used by a landlord, which vary by location. The exact provisions should be clearly defined in the lease agreement. However, the amount is usually between one …
On October 29, 2013
When leasing a commercial/industrial facility, the rent you are quoted may not be your only lease-related expense. Most commercial or industrial leases are structured either as “gross” or “triple net” when addressing operating expenses. Before you sign either type of lease, be sure to understand how their characteristics and nuances may affect your budget and the operation of your facility. In a gross lease arrangement, the quoted rent typically includes all other building operating expenses. These expenses would include all utilities such as water, sewer, electricity and …read more..
On October 08, 2013
Lancaster, Pa.-based High Hotels Ltd. celebrated the groundbreaking recently of its 13th hotel, a TownePlace Suites by Marriott slated to open in the fall of 2014 in the Rossmoyne Business Center on Harrisburg’s West Shore. The moderately priced hotel is designed to meet the needs of the growing segment of “do-it-yourself” travelers – guests who want more than a place to stay when they’re away from home; they want a place to live.read more..
On October 01, 2013
For our blog post this week, we welcome and thank contributor Bernadette M. Hohenadel, Esq., Partner at Nikolaus & Hohenadel, LLP. The first, and probably most important, step to take when contemplating either commercial or residential development, is to determine whether what you want to do at a given property is allowed. Reviewing a zoning ordinance will inform you if what you propose to do is a permitted use, and if not, whether it is designated as a special exception or conditional use. If none of these … READ MOREread more..
On August 26, 2013
H. Stephen Evans, senior vice president and managing director — retail division for High Real Estate Group LLC, will participate in a panel discussion September 3 at the Central Penn Business Journal’s annual Real Estate & Development Symposium. The discussion topic is “What’s Hot & What’s Not.”read more..
On August 19, 2013
For our blog post this week, we welcome and thank contributor Rashyna Banzhof of Cerrado Abstract, LLC, a member of the Landmark Abstract Group of Title Agencies. (Don’t miss parts one and two of this three-part series on title insurance.) I’m often asked why borrowers are required to buy title insurance on a refinance transaction. Here’s the scoop: Let’s say you purchased a property in 2008. You most likely financed the purchase with a bank that required title insurance on the mortgage. The title insurance would have been …read more..
On August 01, 2013
For our blog post this week, we welcome and thank contributor Rashyna Banzhof of Cerrado Abstract, LLC, a member of the Landmark Abstract Group of Title Agencies. Last week I discussed what title insurance is, along with its statutory creation in 1876 when the Governor of Pennsylvania granted the first ever franchise for a title insurance company. But to fully understand the origins of title insurance, we have to go back a few more years, to 1681. At that time, King Charles II of England was indebted … READ MOREread more..
On July 11, 2013
Whether you lease or own your facility, it’s important to have a full understanding of exactly what level of preventive maintenance is included in your lease or vendor contract, and what’s not included. This is particularly true of HVAC systems. The efficient operation of your HVAC system, and the effect it has on the comfort and productivity of your building’s occupants, longevity of the equipment and potential health concerns, is of real importance. As asset manager for a large commercial/industrial portfolio, I can tell you first-hand that …read more..
On June 19, 2013
"Within the next five years, the United States is expected to experience a manufacturing renaissance as the wage gap with China shrinks and certain U.S. states become some of the cheapest locations for manufacturing in the developed world," predicted global business strategy firm The Boston Consulting Group (BCG) in May 2011. An upcoming reversal in the flow of North American natural gas pipeline indicates that the Northeast indeed is the epicenter of this rebirth as predicted by BCG. The Northeast US is fast becoming a natural …read more..
On May 20, 2013
“What’s the cap rate?” “What cap rate should I use?” “What was the cap rate on that property?” “How do I get the cap rate?” These are questions typically asked by real property developers, brokers and salespersons, appraisers, attorneys… almost everyone in the real estate business. The first question to be answered is, “What is a cap rate?” Simply put, a capitalization rate is any rate used to convert income into value. It’s an investment metric or a tool that measures a property’s investment potential. It’s equivalent …read more..
On April 02, 2013
The High® companies are pleased to announce they will host a community-wide walk at Greenfield Corporate Center in support of Lighten Up Lancaster County (LULC). The organization is encouraging Lancaster County residents to get out of their chairs and start moving toward a healthier future for the American Heart Association’s National Walking Day on Wednesday, April 3.read more..
On March 07, 2013
As of 2008, the Environmental Protection Agency (EPA) ENERGY STAR® program estimated that 30 percent of energy in commercial and industrial buildings is used inefficiently or unnecessarily. Since all buildings account for 40 percent of the total energy used in the US, according to EPA, this represents a huge opportunity for conservation and savings. The very best way to save energy is not to use it at all. The people who use your building every day have a big impact on its energy use. Examples of actions …read more..
On January 28, 2013
On January 14, 2012
A key component of every retail business plan is determining who your customer is, where they live, and what their shopping and spending habits are. Then you need to find the greatest concentration of them and determine if it’s enough to generate the sales you need to do a great business. Determining who your customer is and where they shop Demographic and psychographic data and mapping can help you do so. Once you know where your customers live, the roads they travel, and where they usually shop, you …read more..