Q2 Newsletter 2020

Dear Friends and Clients,

Q2 has passed and while the world at large has been going through some tough times, we’re excited to share some glimmers of positive news in Southwest Florida. While the service industry has taken quite a hit we’ve seen the office sector remain stable and the market as a whole is showing signs of recovery.

No matter what the future brings you can rest easy knowing that we’ll be here to help you navigate it. We’ll continue analyzing the data and providing you with our expert assessments of trends so you can make the most informed choices possible. Thank you for being a part of our network and feel free to call or email any time with questions about commercial real estate in our region.

Sincerely,
Gary Tasman
CEO & Principal Broker

Q2 MARKETBEAT ANALYTICS

Navigating the Southwest Florida commercial real estate market and economic indicators affecting its performance can be a challenging task. Cushman & Wakefield | Commercial Property Southwest Florida offers quarterly MarketBeat reports to help you stay ahead of the real estate curve.

MarketBeat reports offer trends, insights and forecasts on all segments of the commercial real estate market in the region. They provide answers to questions such as the current state of the market, and where the real estate market is going. Q2 2020 reports are now available.

OFFICE Q2 2020

The situation remains very fluid. The Southwest Florida MSA had an total unemployment rate of 14.5%. Perhaps this being because the leisure and hospitality sector still account for an outsized portion of the entire economy at roughly 15%, and was the most exposed to the pandemic. However, office-using employment in Fort Myers has been one of the biggest job growth areas over recent years, reflecting the office sectors emergence.

INDUSTRIAL Q2 2020

While the coronavirus pandemic has already caused economic disruption in Fort Myers, the industrial sector has proven resilient and appears the best positioned among commercial real estate property types to withstand the crisis. Industrial investment activity in Fort Myers has been historically strong and was on pace in early 2020 for a third consecutive year of over $100 million in sales volume. While the pandemic has stalled transactions since March, the market has such a strong start to the year, that even a moderate second half could still make it three in a row.

RETAIL Q2 2020

Fort Myers’ retail investment activity has long been one of the market’s biggest success stories. Commercial real estate investors have preferred retail assets in Fort Myers over all other property types for thirteen consecutive years. Sales volume reached an all- time high in 2019 with just shy of $450 million and has remained well above the historical average for six consecutive years. The market was well on track to make it seven in a row in 2020, with a strong first quarter. However, the pandemic has cast some doubt on the number of retail trades that will close over the remainder of the year.

LOCAL NEWS

THE SAFE SIX CHECKLIST

The migration from furloughed and Work From Home (WFH) workforce back to places of business will look different for every organization. How can real estate owners most effectively prepare their assets for the return of building occupants?

And how can employers make sure they are prepared to receive their workforce—and make sure their employees are prepared? Faced with many of the same challenges, owners and occupiers have a unique opportunity to come together, following a handful of operational guiding principles to help navigate the return to the workplace.

2020 TENANT PREPAREDNESS FOR HURRICANES

Obtain a copy of a Hurricane Preparedness information sheet such as FEMA Hurricane Hazards. We can fax you a copy upon request.
Make sure that your flood and contents insurance policies are in place. NOTE: If a hurricane is in the cone, the insurance companies will not insure you. It is too late!
Tenants on the ground floor should bring any loose outdoor items inside.
Place a towel along your front door since the sills are usually lower and wind driven rains can enter your unit.

GLOBAL NEWS

CUSHMAN & WAKEFIELD RELEASES 2019 CORPORATE SOCIAL RESPONSIBILITY REPORT

“Our CSR Report showcases how our organization impacted our people, clients, business, shareholders, communities and the environment in 2019,” said Brett White, Executive Chairman & CEO of Cushman & Wakefield. “Our 53,000 employees around the world continue to make an impact in 2020 and have demonstrated extraordinary leadership and dedication through the pandemic. The health and safety of our people, clients and communities will remain our top priority in this challenging time.”

CUSHMAN & WAKEFIELD AND PLACER.AI PARTNER TO DELIVER RETAIL ANALYTICS

Cushman & Wakefield announced an agreement with Placer.ai, the world’s most advanced foot traffic analytics platform, which will enhance the firm’s ability to help clients make data-driven decisions about their portfolios, particularly in the retail sector.

By adopting Placer.ai, Cushman & Wakefield will equip the firm’s professionals to demonstrate key statistics about a property and its tenants to clients…

EMPLOYEE SPOTLIGHT

Tamara Giarruso

Tamara Giarrusso joined Cushman and Wakefield | Commercial Property Southwest Florida in January of 2018. Tamara started as a Marketing Assistant and advanced to Office and Communications Administrator in 2019.

Most recently, Tamara was promoted to Facilities Manager. She is responsible to drive facilities business and lead the maintenance staff. With 25 years combined experience in the corporate and government arena, and a highly successful track record for identifying opportunities and delivering significant results, she has done an exceptional job developing the facilities division.

Tamara’s background will give her the skills she needs to grow the facilities department into the largest real estate facilities service line in Southwest Florida. When Tamara isn’t working, she is spending time with her husband, Anthony and her family. She enjoys time at the beach, sampling local craft brewery creations and the experiencing the regional cuisine Southwest Florida offers.

COMMUNITY OUTREACH

Cushman & Wakefield Employees Clean Up

Cushman & Wakefield | Commercial Property Southwest Florida volunteers recently showed their pride in the City of Fort Myers with clean-up efforts along the portion of the road we sponsor – Summerlin Road corridor from Brantley Road to College Parkway – through the Adopt A Road program. Volunteers braved the heat to reduce the amount of trash, while sharing stories of the best trash picked and developing a profound camaraderie.

TOP LISTINGS AND CLOSED DEALS – Q2

SALES

Closed on 5/8/2020 – GiGa Ventures, LLC: 12501 World Plaza Ln., Fort Myers for $645,000 from FineMark National Bank & Trust, 8,026 SF free standing office building (Gary Tasman and Shawn Stoneburner represented the Seller)

LEASING

Winslow Marine Products Corp. leased 30,750 square feet of industrial/flex space for a term of 5 years at 11700 SW Winslow Dr. Punta Gorda from Ringo Ranch LLC; (Gary Tasman and Shawn Stoneburner represented the Tenant)

Global HR Research, LLC leased 22,553 square feet of office space for a term of 51 months at 9530 Marketplace Rd., Suite 300, Fort Myers from Brookwood SFL II, LLC (Gary Tasman and Shawn Stoneburner represented the Tenant)

Arietis Health, LLC leased 10,000 square feet of office space for a lease term of 62 months at 13500 Powers Court, Fort Myers from Powerscourt, LLC (Gary Tasman and Shawn Stoneburner represented the Tenant)

Stifel, Nicolaus & Company, Inc. leased 5,499 square feet of office space for a term of 64 months at 12800 University Dr., Suite 300 Fort Myers from VCCello University, LLC (Gary Tasman and Shawn Stoneburner represented the Tenant)

Trulieve, Inc. leased 4,740 square feet of retail space for a term of 10 years at 12575 S. Cleveland Ave., Unit 1 Fort Myers from JN Investments, LLC (Gary Tasman and Gretchen Smith represented the Tenant)

National Valley Bank leased 4,375 square feet of office/bank space for a lease term of 36 months at 5220 Summerlin Commons Blvd., Suite 108, Fort Myers from Vorbeck Industries (Gary Tasman and Shawn Stoneburner represented the Landlord)

Community Redevelopment Agency leased 3,045 square feet of office space for a lease term of 60 months at 1400 Jackson St, Unit 102, Fort Myers from Bradford Arcade Properties, (Gary Tasman and Gretchen Smith represented the Landlord and the Tenant)

VitaRide, LLC & Vitashot Cape, LLC leased 1,775 square feet of retail space for a lease term of 3 years, 3 months at 2378-2384 Surfside Blvd., Cape Coral from J McGraw, LLC (Gretchen Smith)

NEW LISTING ASSIGNMENTS

15245 S Tamiami Trl., Ft Myers, FL 33908 – Jamaica Bay – Leasing – Retail strip center – $20.00 NNN $7.25 CAM – Gary Tasman and Gretchen

11595 Kelly Rd., Ft. Myers, FL 33908 -Kelly Carlos Office Center – Leasing – Office/Executive Suites –- $20.00 Gross – Gary Tasman and John Albion

5811 Pelican Bay Blvd., Suite 201, Naples, FL 34108 – Sublease – Office – 1,933 SF – $26.52 PSF $15.94 CAM – Gary Tasman and Shawn Stoneburner

1612 Cape Coral Pkwy E., Cape Coral FL 33904 – Sale – Office Building – 35,118 SF – Zoning C1 – $3,100,000 – Gary Tasman and Shawn Stoneburner

75 Vineyards Blvd., Naples, FL 34119 – Leasing – Office – 8,000 SF one floor – $18 NNN – Gary Tasman and Shawn Stoneburner

5911 Country Lakes Dr., Ft. Myers, FL 33905 – Sublease – Flex space – 6,200 SF – $7.43 Sf + $3.60 CAM – Gary Tasman and Shawn Stoneburner

9990-9994 University Plaza Dr., FTM FL 33913, Leasing – Retail – 2,400 SF former Tijuana Flat Restaurant space – $19.95 NNN CAM $15.61 SF – Gary Tasman & Gretchen Smith

10500 Metro Pkwy., FTM FL 33966 – Sale – Land – 31 Acres – $2,000,000 – Gary Tasman and Shawn Stoneburner

PROPERTY MANAGEMENT ASSIGNMENTS

Portfolio of 4 Medical Office Properties for Ironsides Investments – Single tenant properties, 34,613 SF total – Aileen Scavo-Barahona Property Manager

3769 / 3777 Ironbridge Blvd, Fort Myers; Central Line Properties, LLC; Two single story industrial flex/warehouse properties, 19,600 SF Total – Tonya Pitstick – Property Manager

Plaza 41 – 12575 Cleveland Ave, S., Fort Myers; JN Investments, LLC; Single Story retail strip center. 14,560 SF total. Deb Hill – Property Manager