Blog Assignment #6

Blog Assignment #6

• Which property type should you invest in?
• The summer of 2013 I would like to invest in retail real estate in Houston Texas.
• I believe this is a good idea due to data I've found to back up my premise.
• Vacancy rates:
• Houston’s retail vacancy rate decreased from 7.2% to 7.0% between quarters aswell as over-the-year. Due to the large amount of new inventory deliveries,Houston’s retail vacancy only decreased 2% between quarters, despite thesignificant positive absorption
• Rental rates:
• The citywide average quoted rental rate for all property types is $14.34 per squarefoot; however, rental rates vary widely from $10.00 to $70.00 per square footdepending on location and property type and class.
• Absorption rates:
• Houston’s retail market posted 1.1M square feet of positive net absorption in Q4,bringing the year-end 2012 total to 1.2M SF.