Commentary with Hidrock Realty's Abraham Hidary

Our friends who work in the financial world seem to be looking over their shoulders constantly. We asked our loyal GlobeSt.com readers what the results of all the layoffs in financial services will bring and almost half (49%) think this will shatter the market. Nearly a third (29%) don’t believe layoffs will have much impact. An optimistic 22% think the empty spaces will create expansion opportunities for other tenants. Abraham Hidary, president of Hidrock Realty, spoke to GlobeSt.com about how the layoff situation could influence the market.

“I disagree with those 49%, but I’m not surprised that 49% say that. There’s so much negative sentiment in the market nowadays that people are constantly perceiving the glass as half empty. Rents will come down, yes, but are they going to come down to where the market will be destroyed? No. Rents will come down 10% or 15%, which makes it significantly easier for tenants to lease space. It’s not destroying the market. Destroying the market is when rents are cut in half. There’s not enough layoffs or potential vacancies to make that happen.

“I think the market is more complicated. It’s not so black and white. I think it depends on two things: A) how big your building is and B) where your building is located. When you’re talking about the market, it’s a little too broad.