Stephenson:While many of the trends are market specific, we are seeing a steady increase in activity for the small, entrepreneurial firms that occupy 1,500-square-foot to 3,000-square-foot industrial spaces. This is a testament to overall improvements in the economy and our ability to provide lease-ready units proactively that are available for immediate occupancy. Our asset class of niche, multi-tenant business parks is evolving into an institutional asset class, very similar to the way the mini-storage units and student-housing asset classes have matured and evolved in the last decade.

For us, quick reaction time and an easy process make all the difference in getting deals done today.

GlobeSt.com: BKM focuses its investment in the Western U.S. Where are you seeing the most opportunity in this region?

Stephenson: We have been most active in the Las Vegas and Phoenix markets most recently, where we see more runway in the cycle and yields than, say, California, where yields are being driven down by the abundance of capital that seeks the increased stability and strength of that marketplace. Given our focus on value-add opportunities and the yield profile associated with that, we generally see these markets as a better fit at the moment. That said, we are constantly looking for deals in all primary markets Denver west, and we work hard to uncover opportunities (often off market) that others may not see.

GlobeSt.com: What are your predictions for the rest of this year?

Stephenson:We are optimistic for the rest of 2015 and see a steady pipeline of potential acquisitions across the West. Our firm is closing on a $200+-million fund by year-end 2015 with $100 million of assets under contract, so we anticipate being quite active in the Western U.S. for the remainder of the year.