Midtown Atlanta Leads The Way – – 65% Turnaround in Midtown Atlanta Condominium and Townhome Market– Since the start of the Covid19 pandemic, conventional and accurate thinking was that the intown market, specifically Midtown due to its greater population density, would take longer to recover back up to 2019 levels. Midtown Atlanta, indeed showed its recovery in August with a 78% increase in single-family-home sales, and dramatic reversal in the condominium market, up 8%. What? Only 8? Simple, the Midtown Atlanta market was down 73% this July compared to the last one. Bottom line is that people still want to live in Midtown Atlanta, and now they apparently feel more comfortable living in denser spaces.
Buckhead Atlanta remains incredibly strong with a 37% increase in single-family-homes being sold, and 18% for the condominium/townhome market.
James Kobal – Coldwell Banker Commercial Metro Brokers (E) James.Kobal@CBCMetroBrokers.com | (M) 678.993.4951
Great News? Atlanta is stronger than ever, a reality is confined to areas experiencing population growth, even though we deal with the accumulating stress of Covid19 and sheltering in place. Here in Atlanta we can do commercial real estate transactions in which both parties simultaneously win.
Reality Snapshot – Bad News Now – Great News Future This morning, I caught up with a property manager of a well-known development in Metro Atlanta. Great news is that none of the tenants have asked for rent relief, and new ones have not postponed moving into the space. Bad news is that there are no pending deals, or at least that ones they can disclose. Such hesitancy in moving into new office mirrors what is happening in the residential condominium market, people are afraid to move into new confined quarters, but will do so once they feel the environment is safe. Although the office market for new leasing activity has slowed, it does not mean buyers can purchase or lease office properties at bargain properties. Demand for office space remains, as New York Magazine reported on July 29th.
Winning for Buyers and Sellers – How 1. Reasonable Expectations – Sellers need to understand that we are not pre-Covid19 levels, and thus cannot ask for such prices. Buyers need to understand that, except in distressed situations, sellers do not need to sell. 2. Educating Out-of-Georgia Buyers – Georgia’s economy continues to grow, unlike some other states. Atlanta is the strongest city in the state for corporate relocation and one of top-5 nationally for it. Therefore, low offers will probably be dismissed out of hand. 3. Analyzing the Market Situation – Before putting a property on the market or buying one, thoroughly know what is happening. Ask your commercial realtor to do their homework on comparable and neighboring properties. Contact me, James Kobal at Coldwell Banker Commercial Metro Brokers, James.Kobal@CBCMetrobrokers.com, (M) 678.993.4951. 4. Value for Buyer and Seller – Show the financial benefit for the buyer and seller, and what is the cost of waiting.
“Atlanta is putting a smile on its face.” A friend told me that when we met at an Urban Land Institute meeting. Just looking at the map, you could see the smile as the BeltLine continues to grow on its southern and western corridors. The eyes could be the neighborhoods of Buckhead in the northwest and and DeKalb neighborhoods along the I-85 corridor. The nose would be Midtown, with the upper lip being downtown and lower one the BeltLine.
I wrote the following message to a Berkshire Hathaway HomeServices Georgia Properties colleague in the New York City office who inquired about the state of the market. It starts at “Atlanta Market -“
Atlanta Market – Starting Point Stat – City of Atlanta population will soon return to its 1970 level, and is expected to double in the next 10 years. Overall, Companies are either relocating or expanding their corporate office size here. Commercial real estate is active that way, and that means more residential business.
Area around Emory continues to do well, along with its neighbors in downtown Decatur and East Lake.
The BeltLine is another huge driver in the Atlanta market. As the name suggests, this project is connecting the city like it has not been for over 40 years. This desire for walkability has impacted Buckhead Atlanta with the continue growth of Path 400.
West Side of Atlanta is just starting to take off, and will be a key player in the next 5 years. Two new parks are driving the growth. One will immediately accelerate the re-vitalization of the area, next 10-12 months. The other, Bellwood Quarry Park, provides well-founded optimism. This one will be TWICE as big as Piedmont Park. (I have been working this area for the past few years.)
Brave Stadium – The Atlanta Braves’ relocation has meant the growth of the old Turner Field as Georgia State University moves the focus of its campus to there. Simultaneously, Vinings, where the Braves now play, is seeing unprecedented growth.
Thank you for taking the time to read the inaugural blog post of AtlantaRealEstate.buzz by James Kobal, a REALTOR with Berkshire Hathaway HomeServices Georgia Properties in its Midtown Atlanta office.
Atlanta Real Estate Relocation Consultants? We at the Silverman & Associates team recognize that the vast majority of real estate transactions involve “relocation.” People usually associate this term transferring from one state to another. We know, especially here in Atlanta, that you can just as easily experience a dramatic change by moving from a northern suburb to inside the Perimeter (I-285).