Pittsburgh, PA - (October 23, 2009) - NAI Pittsburgh Commercial is pleased to announce it has represented Duquesne Light Company in an 86,265 SF lease renewal at the Chamber of Commerce Building in downtown Pittsburgh.
Patrick J. Sentner, SIOR of NAI Pittsburgh Commercial represented Duquesne Light Company in this transaction while Jeremy Z. Kronman & Andrew Miller of CB Richard Ellis represented the landlord.
NAI Pittsburgh Commercial is a Pittsburgh proud locally owned and operated company. To see some of the investment and development opportunities available in the Pittsburgh region CLICK HERE
Tuesday, October 27, 2009
Friday, October 23, 2009
NAI Pittsburgh Commercial Ranked #1 out of 72 Companies for the "Best Places to Work" in Western Pennsylvania
On Thursday, October 22, 2009, the Pittsburgh Business Times invited 72 of the “Best Places to Work in Western Pennsylvania” to an award ceremony held at the Omni William Penn Hotel in Downtown Pittsburgh.
Paired up with Quantum Market Research, The Pittsburgh Business Times conducted an online study of employee satisfaction in order to identify the 72 Best Places to Work. This compilation of data served as a foundation for the overall top 72 rankings, along with individual rankings in three additional categories: small companies (up to 50 employees); medium companies (51 to 150 employees); and large companies (151 and above).
NAI Pittsburgh Commercial not only received the rating of the number one (#1) Best Places to Work in the small company division (the largest of the three categories), but they were also the number one (#1) of the overall Best Places to Work in Western Pennsylvania!
NAI Pittsburgh Commercial is proud to be included amongst the companies that were recognized with this commendable award
NAI Pittsburgh Commercial is a Pittsburgh proud locally owned and operated company. To see some of the investment and development opportunities available in the Pittsburgh region CLICK HERE
Paired up with Quantum Market Research, The Pittsburgh Business Times conducted an online study of employee satisfaction in order to identify the 72 Best Places to Work. This compilation of data served as a foundation for the overall top 72 rankings, along with individual rankings in three additional categories: small companies (up to 50 employees); medium companies (51 to 150 employees); and large companies (151 and above).
NAI Pittsburgh Commercial not only received the rating of the number one (#1) Best Places to Work in the small company division (the largest of the three categories), but they were also the number one (#1) of the overall Best Places to Work in Western Pennsylvania!
NAI Pittsburgh Commercial is proud to be included amongst the companies that were recognized with this commendable award
NAI Pittsburgh Commercial is a Pittsburgh proud locally owned and operated company. To see some of the investment and development opportunities available in the Pittsburgh region CLICK HERE
Friday, October 16, 2009
3510-90 Smallman Street - 16,500 SF Lease Signing
Pittsburgh, PA - (October 16, 2009) -
NAI Pittsburgh Commercial is pleased to announce the 16,500 square foot lease signing of Fudgie Wudgie Fudge & Chocolate Company at the 3510-3590 Smallman Street property located in Pittsburgh’s Strip District. Fudgie Wudgie has been hand crafting premium fudge and chocolate since 1983.
3510-90 Smallman Street is a 33,000 square foot building recently constructed by locally owned Real Estate Enterprises. There is 16,500 square feet remaining.
John Bilyak, Principal & Director of Industrial Brokerage represented the owner in the transaction while Herky Pollock of CB Richard Ellis represented the tenant.
NAI Pittsburgh Commercial is a Pittsburgh proud locally owned and operated company. To see some of the investment and development opportunities available in the Pittsburgh region CLICK HERE
NAI Pittsburgh Commercial is pleased to announce the 16,500 square foot lease signing of Fudgie Wudgie Fudge & Chocolate Company at the 3510-3590 Smallman Street property located in Pittsburgh’s Strip District. Fudgie Wudgie has been hand crafting premium fudge and chocolate since 1983.
3510-90 Smallman Street is a 33,000 square foot building recently constructed by locally owned Real Estate Enterprises. There is 16,500 square feet remaining.
John Bilyak, Principal & Director of Industrial Brokerage represented the owner in the transaction while Herky Pollock of CB Richard Ellis represented the tenant.
NAI Pittsburgh Commercial is a Pittsburgh proud locally owned and operated company. To see some of the investment and development opportunities available in the Pittsburgh region CLICK HERE
New Shareholder and Principal of NAI Pittsburgh Commercial
NAI Pittsburgh Commercial is pleased to announce that John C. Bilyak has been named as shareholder and Principal.Mr. Bilyak has over twenty (20) years of commercial real estate and business experience. His career in real estate has been primarily focused on the disposition and leasing of land and industrial oriented property. Mr. Bilyak also concentrates on the sale of investment grade office and industrial buildings.
Since joining NAI Pittsburgh Commercial in January 2007, as the Director of Industrial Brokerage for the North-Shore based firm, Mr. Bilyak has completed some of the largest industrial transactions in Western Pennsylvania.
Bill Leone, Managing Principal of NAI Pittsburgh Commercial said adding Mr. Bilyak as a new shareholder reflects the firm’s commitment to its clients and to its business philosophy. “John has made an outstanding contribution to his clients, his colleagues, and the firm, while also demonstrating the values embodied in our founding principles,” stated Leone. “Our goal is to retain and add talent while providing our clientele with the highest level of service. Each Principal brings unique attributes to NAI Pittsburgh Commercial.”
NAI Pittsburgh Commercial, locally owned company and established leader of Western Pennsylvania’s Commercial Real Estate Industry, provides results-oriented brokerage, consulting, marketing and research services to businesses and investors throughout the world.
NAI Global is the world's leading managed network of commercial real estate firms. With over 325 offices in 55 countries worldwide, we bring together people and resources to deliver results for our clients wherever needed. Our clients come to us for our deep local knowledge. They build their businesses on the power of our global managed network.
NAI Pittsburgh Commercial is a Pittsburgh proud locally owned and operated company. To see some of the investment and development opportunities available in the Pittsburgh region CLICK HERE
Thursday, October 8, 2009
Feds Frets About Commercial Real Estate
With Banks Slow to Take Losses, Fears of a Residential-Bust Repeat; 'More Pain Likely Lies Ahead'
The Washington Post
By Lingling Wei and Maurice Tamman
Bakns in the U.S. "are slow" to take losses on their commercial real-estate loans being battered by slumping property values and rental payments, according to a Federal Reserve presentation to banking regulators last month.
The remarks suggest that banking regulators are girding for a rerun of the housing-related losses now slamming thousands of banks that failed to set aside enough capital during the boom to cushion themselves when the bubble burst. "Banks will be slow to recognize the severity of the loss - just as they were in residential," according to the Fed presentation, which was reviewed by The Wall Street Journal.
A Fed official confirmed the authenticity of the document, prepared by an Atlantic Fed real-estate expert who is part of the central bank's Rapid Response program to spread information about emerging problem areas to federal and state banking examiners throughout the U.S.
While the Sept. 29 presentation by K.C. Conway doesn't represent the central bank's formal opinion, worries about the banking industry's commercial real-estate exposure have been building inside the Fed for months. "More pain likely lies ahead for this sector and for those banks with heavy commercial real estate composure," New York Fed President Bill Dudley said in a speech Monday.
In another sign that many U.S. financial institutions are inadequately protected against potential losses on commercial real-estate loans, banks with heavy exposure to such loans set aside just 38 cents in reserves during the second quarter for every $1 in bad loans, according to an analysis of regulatory filings by The Wall Street Journal. That is a sharp decline from $1.58 in reserves for every $1 in bad loans from the beginning of 2007.
The Journal's analysis includes more than 800 banks that reported haveing more half of their loans tied up in commercial real-estate, ranging from apartments to office buildings to warehouses.
Loan-loss reserves typically rise and fall during any credic cycle, being drawn down as losses mount. Some analysts and investors say the recession combined with inadequate loan-loss provisions when times were good have left banks dangerously vulnerable to the deteriorating commercial real-estate market.
Mr. Conway's presentation painted a bleak picture of the slideing real-estate vales and enormous debt that will need to be refinanced in the next few years. Vacancy rates in the apartment, retail and warehouse sectors already have exceeded those seen during the real-estate collapse of the early 1990's, Mr. Conway noted. His report also predicted that commercial real-estate losses would reach roughly 45% next year. Valuing real estate has always been tricky for banks, and the problem is particularly acute now because sales activity is practically nonexistent.
NAI Pittsburgh Commercial is a Pittsburgh proud locally owned and operated company. To see some of the investment and development opportunities available in the Pittsburgh region CLICK HERE
Office Rents Dive as Vacancies Rise
The Wall Street Journal
by Christina S.N. Lewis
Rent for office space is falling at the fastest pace in more than a decade as vacancies create a glut and landlords slash prices to attract tenants.
Nationwide, effective office rents fell 8.5% in the third quarter compared with the same period a year ago, the steepest year-over-year decline since 1995, according to Reis Inc., a New York real-estate research firm.
The decline came as companies returned a net 19.6 million square feet of space to landlords in the third quarter, slightly more than in the second quarter. For the first three quarters of this year, the net decline in occupied space totaled a record 64.2 million square feet, the highest so-called negative absorption recorded since Reis began tracking the data in 1980. (That doesn't count space that left the market as a result of the 2001 terrorist attacks.)
The vacancy rate, meanwhile, hit 16.5%, a five-year high, according to Reis.
Declining rents and rising vacancies in the office sector signal more woes for the commercial-real-estate market, which already faces a lack of credit and plummeting property values. With landlords more likely to default, financial institutions, which hold trillions of dollars in commercial-real-estate debt also face more pain. "It means more losses for the banks, because they will have to write off more bad debt," said Victor Calanog, director of research for Reis.
For tenants, however, falling rents represent opportunities to save. Landlords are offering concessions, in the form of free rent and build-out costs. "There's a recognition [from some companies] that this is probably a bottom, let me lock in long term," said Mary Ann Tighe, a New York-based leasing broker with CB Richard Ellis, who has negotiated corporate relocations for tenants including advertising firm Ogilvy & Mather and retailer Limited Brands.
As bad as the current environment is for landlords, analysts say it will worsen as unemployment continues to rise. "Even though the technical recession may be over, the labor market typically takes anywhere from 18 to 24 months to bounce back in a consistent way," said Mr. Calanog, who predicts vacancy will rise through 2010 and may not peak until 2011. "If employers are still shedding jobs, they are also going to shed space."
Vacancies are highest in areas with poor housing markets and industrial cities. They are approaching historic highs in Southern California; Las Vegas; Phoenix; southwest Florida; Detroit; Dayton, Ohio; and Hartford, Conn. Other cities, including Dallas and other parts of Texas, and Atlanta, are seeing high vacancy rates largely as a result of overbuilding.
Rent declines were steepest in big cities with large financial sectors, which saw the greatest run-up in rents in 2006 and 2007. They include Seattle, which has been slammed by the failure of Washington Mutual Inc., New York and San Francisco. But the office market deteriorated broadly across virtually all regions: Of the 79 metro areas that Reis tracks, office vacancies rose in 72 of them and effective rents declined in 68 of them.
In Boston, intellectual-property law firm Fish & Richardson PC recently signed a lease for 124,000 square feet of space in a new development under construction on the South Boston waterfront, paying about $48 a foot with about $85 a foot in tenant improvements from the landlord, according to a person familiar with the deal -- compared with the roughly $55 a foot the firm is paying now to landlord Equity Office.
In its attempt to persuade the tenant to stay, Equity Office, which is owned by private-equity firm The Blackstone Group, initially offered the firm $84.50 a foot in December 2007, but dropped the price over time to stay competitive and sent wine and champagne gift baskets to all of the firm's 45 principals, according to Tim French, Fish & Richardson's Boston managing principal.
"We were like the belle of the ball," said Mr. French.
NAI Pittsburgh Commercial is a Pittsburgh proud locally owned and operated company. To see some of the investment and development opportunities available in the Pittsburgh region CLICK HERE
by Christina S.N. Lewis
Rent for office space is falling at the fastest pace in more than a decade as vacancies create a glut and landlords slash prices to attract tenants.
Nationwide, effective office rents fell 8.5% in the third quarter compared with the same period a year ago, the steepest year-over-year decline since 1995, according to Reis Inc., a New York real-estate research firm.
The decline came as companies returned a net 19.6 million square feet of space to landlords in the third quarter, slightly more than in the second quarter. For the first three quarters of this year, the net decline in occupied space totaled a record 64.2 million square feet, the highest so-called negative absorption recorded since Reis began tracking the data in 1980. (That doesn't count space that left the market as a result of the 2001 terrorist attacks.)
The vacancy rate, meanwhile, hit 16.5%, a five-year high, according to Reis.
Declining rents and rising vacancies in the office sector signal more woes for the commercial-real-estate market, which already faces a lack of credit and plummeting property values. With landlords more likely to default, financial institutions, which hold trillions of dollars in commercial-real-estate debt also face more pain. "It means more losses for the banks, because they will have to write off more bad debt," said Victor Calanog, director of research for Reis.
For tenants, however, falling rents represent opportunities to save. Landlords are offering concessions, in the form of free rent and build-out costs. "There's a recognition [from some companies] that this is probably a bottom, let me lock in long term," said Mary Ann Tighe, a New York-based leasing broker with CB Richard Ellis, who has negotiated corporate relocations for tenants including advertising firm Ogilvy & Mather and retailer Limited Brands.
As bad as the current environment is for landlords, analysts say it will worsen as unemployment continues to rise. "Even though the technical recession may be over, the labor market typically takes anywhere from 18 to 24 months to bounce back in a consistent way," said Mr. Calanog, who predicts vacancy will rise through 2010 and may not peak until 2011. "If employers are still shedding jobs, they are also going to shed space."
Vacancies are highest in areas with poor housing markets and industrial cities. They are approaching historic highs in Southern California; Las Vegas; Phoenix; southwest Florida; Detroit; Dayton, Ohio; and Hartford, Conn. Other cities, including Dallas and other parts of Texas, and Atlanta, are seeing high vacancy rates largely as a result of overbuilding.
Rent declines were steepest in big cities with large financial sectors, which saw the greatest run-up in rents in 2006 and 2007. They include Seattle, which has been slammed by the failure of Washington Mutual Inc., New York and San Francisco. But the office market deteriorated broadly across virtually all regions: Of the 79 metro areas that Reis tracks, office vacancies rose in 72 of them and effective rents declined in 68 of them.
In Boston, intellectual-property law firm Fish & Richardson PC recently signed a lease for 124,000 square feet of space in a new development under construction on the South Boston waterfront, paying about $48 a foot with about $85 a foot in tenant improvements from the landlord, according to a person familiar with the deal -- compared with the roughly $55 a foot the firm is paying now to landlord Equity Office.
In its attempt to persuade the tenant to stay, Equity Office, which is owned by private-equity firm The Blackstone Group, initially offered the firm $84.50 a foot in December 2007, but dropped the price over time to stay competitive and sent wine and champagne gift baskets to all of the firm's 45 principals, according to Tim French, Fish & Richardson's Boston managing principal.
"We were like the belle of the ball," said Mr. French.
NAI Pittsburgh Commercial is a Pittsburgh proud locally owned and operated company. To see some of the investment and development opportunities available in the Pittsburgh region CLICK HERE
Tuesday, October 6, 2009
NAI Global President & CEO Jeffrey M. Finn was featured in Real Estate Forum
Discussing opportunities we can find in a frozen credit market and challenges for the year ahead. Chief Economist Dr. Peter Linneman offers his perspective on economic recovery.
NAI Pittsburgh Commercial is a Pittsburgh proud locally owned and operated company. To see some of the Office and development opportunities available in the Pittsburgh region CLICK HERE.
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