Ken Morris spoke with Dave Kustin of ContentBacon about the impact of the COVID-19 pandemic on commercial real estate. They talked about what property owners, landlords, and tenants are doing—and may do—during the current crisis, as well as the CRE outlook in the short and longer terms.
Key Takeaways: What You Need to Know About the Current CRE Climate
- Cashflow is king. Tenants and landlords may work out deals to pay rent.
- Evaluate the “act of God” clause in business interruption insurance policies.
- Business survival is the priority, but commerce never stops. Organizations with strong business plans are already preparing for the aftermath.
- Renegotiations of terms may be possible, based on short-term needs and long-term interests.
- CRE prices may adjust downward but money has been sitting on the sidelines to take advantage. This adjustment could be offset by low interest rates.
- Landlords and owners should adopt a cooperative tone—and communicate.
Our team at Morris Southeast Group is here to help support you during this difficult time if you have any commercial real estate questions or concerns. To learn more about what Morris Southeast Group can do for you, call us at 954.474.1776. You can also reach Ken Morris directly at 954.240.4400 or via email at kenmorris@morrissegroup.com.
