Trbo Commercial Real Estate – News You Can Use
With all the news centered around the Coronavirus, it’s hard to focus on anything else these days. Many of us are wondering what this will do to our economy, the small businesses and the real estate market. But, there is hope coming our way.
Payment Protection Program
This week, the federal government approved an additional $370 billion in additional pandemic-relief funding for small businesses through the Paycheck Protection Program. This should help out the many companies that didn’t get initial funding when funds quickly ran out after the first approval of the program.
Another big announcement occurred when Governor Ducey decided that on May 1, 2020, elective surgeries will, once again, be allowed to proceed. This is huge for the medical industry who has, believe it or not, been hit hard by the impact of the virus. Dental offices, Orthopedics and many others will open back up. This is a positive leap forward to helping bring the economy back into play. I’m sure many MOB owners are also relieved to hear this news as they may be worried about the impact this may have on their tenant’s businesses.
KTAR interviewed Gov. Ducey and this is what he had to say….
So, What’s Next?
Many investors are asking themselves where they should go next. It is apparent that warehousing and ecommerce sales are on the rise. With the substantial increase of online shopping in recent years and the ever-increasing boom of it ever still since the oncoming of the pandemic, the need for warehouse space has only escalated.
While retailers may be struggling through the closure of the state, they are not expected to go away once the economy returns to normal. In fact, it is thought that experiential retail trends will likely accelerate as consumers will be itching for entertainment and dining experiences.
Prior to the shut-down, CoStar’s Phoenix market report stated, “E-commerce, third-party logistics and manufacturing firms are capitalizing on Phoenix’s fast-growing population, strong economic and demographic trends, and proximity to major markets, particularly those in California.” I’m looking forward to picking up where we left off!
If you’d like more information on what is going on with the economy and how the virus has impacted your sector of the market, please do not hesitate to contact me.