The withdrawal of Amazon from one of the most lucrative commercial real estate deals in New York City left many property investors stunned and frustrated. A major corporation coming to NYC stimulates transactions in niche sub-markets, attracts buyers and tenants of all types, and encourages new construction. In the wake of the news about Amazon, many commercial real estate investors are realizing that New York Property markets do not and cannot rely on outside influences to flourish. In fact, many of the opportunities available are going to happen independently of major corporations setting up new headquarters in NYC.
Tax Incentives and Local Development
Instead of waiting on “the next big thing,” New York property investors are thinking locally. Yes, big companies are still opening locations in NYC, but there are a number of small business owners that are looking for space as well. Between opportunity zones in Brooklyn and Queens, and incentives to revitalize vacant retail space in Manhattan, NYC CRE is becoming more locally-focused. By providing space to local entrepreneurs, commercial real estate investors can build up a portfolio of smaller quality properties instead of trying to constantly catch the big fish in the pond.
Opportunities to Renovate New York Properties
New office and apartment building are currently under construction, and there are plans for more on the way. As a stopgap solution, many landlords have been offering major concessions to tenants to retain occupants, because the new structures are going to offer the latest amenities. The concessions are only going to grow if people who own older buildings do not put in the proper renovations. Now is the time to upgrade your existing properties to add the amenities tenants are seeking. New York City is undergoing major construction efforts, and older structures may fall by the wayside if property owners don’t upgrade. Besides, by renovating now, New York Property investors will be able to reduce the number of concessions they offer and increase their revenue. New businesses and residential tenants are converging on NYC for opportunities that exist apart from the Amazon fallout, and CRE investors need to adapt to remain competitive.
Express Capital Financing provides CRE financing solutions throughout NYC. From acquisitions to renovations and new construction, we help New York property investors complete projects and reach their revenue goals. Contact our offices today and put our experience to work for you.