Commercial Real Estate Services The excellence of our service lies in the strength and depth of our professionals. Our clients can draw on the abilities and talents of one of the most experienced groups of real estate professionals in Atlanta ... or in the world.
Colliers International | Atlanta ownership:
> CAPITAL MARKETS Office, Medical Office, Industrial, Retail, Multifamily & Hospitality
> CORPORATE SOLUTIONS
> LAND | PROPERTY CONSULTING Office, Industrial, Retail, Multifamily, Institutional & Special Purpose Use
> LANDLORD SERVICES Office, Industrial, Retail & Medical Office
> INVESTMENT SERVICES Office, Industrial, Retail, Multifamily, Seniors Housing & Government-Leased
> OCCUPIER & TENANT REPRESENTATION Office, Industrial, Retail & Education
> PROJECT & CONSTRUCTION MANAGEMENT
> PROPERTY, FACILITY & ASSET MANAGEMENT Office, Industrial & Retail
> TECHNOLOGY / DATA CENTER SOLUTIONS
> TRANSIT ORIENTED DEVELOPMENT
> VALUATION & ADVISORY SERVICES
COLLIERS INTERNATIONAL 2015 PERFORMANCE ATLANTA USA GLOBAL
TOTAL TRANSACTION VOLUME (in Billions) $2.95 $50.1 $112
NUMBER OF LEASE/ SALE TRANSACTIONS 1,055 26,094 82,273
NUMBER OF PROFESSIONALS 238 5,380 16,146
SQUARE FEET MANAGED (in Millions) 102 491.1 1,909
2015 TRANSACTIONAL SUMMARY | ATLANTA
SALE VOLUME (in Millions) $595.1
LEASE VOLUME (in Millions) $1,400.7
MORTGAGE ORIGINATIONS (in Millions) $483.8
CONSULTING / OTHER (in Millions) $785.7
70%CIGI
30%CIA HOLDCO
APTS CIGI
554 16,000
CIGNYSE NASDAQ
OFFICES in 66 countires
PROFESSIONALS300 IN ATLNATA
TSX
PREFERRED APARTMENT COMMUNITIES | COLLIERS INTERNATIONAL
Company overviews
AL GA FL NC SC TN TX
11 7 2 2 7
1 11 4 1 5 5 3
COLLIERS INTERNATIONAL coverage ü ü ü ü ü ü ü
OFFICE LEASING
Class A office rents the last two years have increased by 16%. We forecast those rents will continue
to rise, but at a slower pace in 2017. Over 3 million SF under construction (67% pre-leased)
delivering in 2017/2018.
CAPITAL MARKETS
Long-term debt capital will be readily available with
competitive rates, while access to construction debt will be limited
and highly valued.
LAND & DEVELOPMENT
The developers with the best access to capital (not just the
highest bidder) are going to see the best deals from the land
brokers in 2017.
RETAIL INVESTMENT SALES
Dominant grocery chains seek landlord efficiencies –
Bigger is Better.
OFFICE INVESTMENT SALES
Strongest fundamentals in decades. Main contributor is
limited spec development due to rising costs and regulatory
lending. Slow start to 2016 sales, but 3Q volume strong. Pricing
remains stable.
SENIORS HOUSING
Investment in seniors housing has remained strong in 2016
as the segment provides buyers with favorable spreads compared
to other traditional multifamily properties.
RETAIL LEASING
Even with the disruptive factors like online shopping, retail is still about location. Owners
are finding success with better management and emphasis on “place making” to generate foot
traffic.
MULTIFAMILY & STUDENT HOUSING
Greater capital requirements for banks limit their ability to
lend at higher levels of leverage. Alternative lenders like private
equity funds and Mortgage REITs could pick up some of the slack.
PREFERRED APARTMENT COMMUNITIES | COLLIERS INTERNATIONAL
Market Conditions & trends
NATIONAL trends
WE’VE NEVER BEEN IN A REAL ESTATE CYCLE LIKE THIS > Transaction volume has rebounded from downturn > But development remains below historic norms for most
property types > Real estate will not be the trigger for a business cycle
recession this time around
THE DEVELOPER/FINANCIER THAT UNDERSTANDS OPTIONALITY IN THEIR PROJECTS WILL BE THE WINNER AS IT WILL BE OF GREAT VALUE OVER THE NEXT GENERATION > Optionality allows for the adjustment of space needs to vary
in terms of size, location and use on an as-needed basis > Gig workers, sole proprietors, and co-working spaces all
examples of beneficiaries > Gives owners the ability to maximize highest and best use,
based on immediate tenant demand in market
SOUTHERN SUBURBAN MIGRATION TO CONTINUE > The southern regions where 42% of Americans currently
live will receive 62% of the household growth in US over next decade
> Suburban office demand will return as millennials move into more management roles and begin families.
SECURING THE “LAST MILE” ADVANTAGE IN THE ERA OF E-COMMERCE IS A BEST BET GOING FORWARD
ATLANTA trends
ATLANTA RANKS 15TH IN NATION OF MARKETS TO WATCH IN REGARDS TO OVERALL REAL ESTATE PROSPECTS (OUT OF 78 MARKETS)
PACES OF RECENT ECONOMIC GROWTH COMBINED WITH MODERATE LEVELS OF NEW SUPPLY DURING THE RECOVERY HAS INCREASED INTEREST IN ATLANTA FROM A GROWING NUMBER OF INVESTORS IN MULTIPLE PROPERTY TYPES
KEY ISSUES THAT WILL DRIVE ATLANTA’S FUTURE: > Transportation investment > Local school quality, important to due diligence > Developments focused on urban characteristics
WE’RE (MUCH) CLOSER TO THE END OF THE
EXPANSION THAN THE BEGINNING:
> The uneven, moderate expansion continues.
> Two to three good years left (probably) but . . .
> The economy is cooling (though not cratering).
RISKS ARE WEIGHTED MORE TO THE DOWNSIDE
AND GROWING:
> Global economic slowing, strong dollar; European banks.
> Election jitters; corporate uncertainty.
> Interest rates to rise very modestly and not material.
WE’RE (MUCH) CLOSER TO THE TOP OF THE
PROPERTY MARKET CYCLE THAN THE BOTTOM:
> Financial returns easing as cap rates stabilize / rise.
> But strong investor interest will maintain asset values.
> Strong property fundamentals will drive income returns.
> Leasing and investment sales volumes stay strong but below 2015.
CYCLICAL RECOVERY IS ESSENTIALLY COMPLETE:
> Remaining weakness is structural.
> Bifurcation more important than rising tide, especially in retail.
> Structural changes favor multi-family, industrial over retail, CBD office over suburban
PREFERRED APARTMENT COMMUNITIES | COLLIERS INTERNATIONAL
2017 Us ForeCast ANDREW NELSON, COLLIERS GLOBAL ECONOMIST
2017 Emerging Trends in Real Estate | PWC & ULI Colliers International Research
BOB MATHEWS CEO, President | AtlantaColliers International Atlanta
32 YRSin CRE
25 YRSat Colliers
DEMING FISH Senior Vice President | AtlantaLandlord Services
33 YRSin CRE
5 YRSat Colliers
FRED SHEATSSenior Vice President | AtlantaOffice Services
30 YRSin CRE
25 YRSat Colliers
HANK HALLSenior Vice President | AtlantaCapital Markets
29 YRSin CRE
19 YRSat Colliers
KEVIN TROYSenior Vice President | AtlantaCapital Markets
27 YRSin CRE
4 YRSat Colliers
JOE MONTGOMERYSenior Vice President | AtlantaRetail Investment Sales
31 YRSin CRE
20 YRSat Colliers
ROB JORDANSenior Vice President | AtlantaLand & Development Services
17 YRSin CRE
1/2 YRSat Colliers
TOSH WOLFESenior Vice President | AtlantaRetail Leasing Service
9 YRSin CRE
2 YRSat Colliers
WILL MATHEWSVice President | AtlantaMultifamily & Student Housing
7 YRSin CRE
5 YRSat Colliers
HAYES SWANNSenior Vice President | AtlantaOffice Investment Sales
31 YRSin CRE
7 YRSat Colliers
MARCUS VAN AMERINGENVice President | AtlantaSeniors Housing
15 YRSin CRE
1/2 YRSat Colliers
HUSTON GREENVice President | AtlantaOffice Investment Sales
13 YRSin CRE
9 YRSat Colliers
RON CAMERONSenior Vice President | AtlantaMultifamily & Student Housing
28 YRSin CRE
7 YRSat Colliers
PREFERRED APARTMENT COMMUNITIES | COLLIERS INTERNATIONAL
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