In celebration of GlobeSt.com's 15th anniversary, we chatted with Jereme Snyder, EVP of the Colliers International Triple Net group, Snyder Carlton, who says that 15 years ago, the bursting of the dot com bubble was indicative of a sluggish economy with fear of the equities markets. “The dramatic liquidity that would later be generated by CMBS loans and overall cheap debt had not yet truly hit its stride.”
In retrospect, he tells GlobeSt.com, “we can see today that the outpouring of cheap capital spurred widespread development at rents that were thought to be market but, in reality, were certainly not as the market went through a tough downturn.”
Retail, he says, emerged from this recession more disciplined, careful to keep rents at a level which the general economy could support, and focused on quality of location, use and sales because loans were tough to come by.
“Today, capital is much more plentiful, leading to a boosting of asset prices and a gradual increase in development.” And NNN assets, he adds, “have become extremely popular, as the combination of cheaper debt, accessibility, and the emergence of real estate as a more viable alternative asset class has pushed demand far beyond supply.”
Unless a critical, fundamental shock to our economy occurs in the near future, Snyder does not see the activity in the net lease space slowing down. “Even with higher interest rates, the demand for these assets will continue.”
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
