Attention Michigan owners of commercial real estate; conduit lending has made a dramatic comeback from the crash of 2008. It took some time but conduit loans have been readily available for qualified projects, not just trophy properties, even in Michigan. Conduit mortgage loans provide better rates in exchange for pre-approved "standardized" documents and underwriting that allows for a minimum of negotiation with respect to loans in excess of $1,000,000. These loans also generally require individual guaranties for certain carve-out "bad" acts such as distributing income before taxes are paid or failing to file tax returns. Once closed the "standardized loan" is then pooled with other similar loans and sold on the secondary market to investors.
Most are aware of the recent housing bubble in the U.S., which caused strife across the nation's economy. However, there may be many in Michigan and other states who do not realize that an entire portion of the real estate sector was able to avoid the negative effects of the real estate boom and bust. Commercial real estate did not experience the same boom and bust effect witnessed in the housing market.
People place significant importance on historical landmarks and will create public policies geared toward preserving these landmarks if possible.
However, due to the nature of historical landmarks, it can be costly to maintain the properties, especially if a property has been neglected for an extended amount of time in Michigan or in any other state. This is why one commercial real estate development company is looking to demolish a particular historic building.
A sale is pending on a business property that has been vacant for many years. The Michigan property was previously known as the Farmer Jack Building. Now, the building may become a retail store.
Companies are always looking for ways to expand their business in order to increase profits. One of the best ways to do this is through collaboration with another company, which will help pool resources and networks of the two companies in order to better capitalize on the market. This is what two commercial real estate firms had recently decided to do when they decided to merge the two Michigan companies.
One of the signs that the real estate market may be growing is when the market starts seeing banks lending heavily to consumers for real estate financing . The lending power of banks had been temporarily stifled as a result of the recent recession. However, it seems that banks in West Michigan are reporting more lending in the second quarter, according to recently released data.
It is unfortunate when a business is forced to close up shop, since this usually means people will be losing their jobs as a result. However, when one opportunity closes, many times another opportunity opens up in its place. This seems to have been the case after one Michigan steel company filed for bankruptcy, which resulted in its commercial real estate property being put up for auction.
Successful businesses are always looking for ways to expand their market and potential customer base. One way to do this is to merge with another company which may have resources that would be complimentary with the business. Bradley Co., a major commercial real estate firm in Michigan, recently announced that it has decided to take this route and merge with NAI Harding Dahm, another real estate firm.
There is certain infrastructure which is required to make a condo development a viable endeavor as well as a profitable investment. Since individuals and families will be living in any proposed residential development or complex, they will need proper roads, lighting and other types of infrastructure needed for everyday living. One city in Michigan recognizes this and has promised to pay for this essential infrastructure in order to help a multimillion dollar condo development project move forward.
When a company purchases a large piece of commercial property, it has to conform to the rules and regulations of the city government. However, many times the city government will also proactively help the new owner of commercial real estate make the transition, since it will help stimulate the local economy. This may be what is happening with the new owners of property in Michigan which was purchased from Ford Motor Co.