Commercial real estate market in the municipality of Anchorage is reported to be thriving amid a brewing economic downturn in the state. The Alaska Dispatch News states that large retailers are expected to come or expand their operations in Anchorage this year. Overall, vacancy rates remain modest, and the forecast for the commercial real estate sector is optimistic. This was announced during a meeting with Anchorage’s building owners and managers as they talk about the effects of slumping oil prices to the state’s economy.
Besides the oil industry, the Anchorage commercial real estate market also contributes a lot to its economy, complementing the tourism and convention industry, which is one of the four driving sectors of the city’s economy. Generally, all kinds of property that are used to generate income are considered commercial real estate, such as offices, shopping malls, gas stations, and parks. Condominiums and apartments in Anchorage may also be part of this sector if they are rented out or sold for profit.
Anchorage’s commercial real estate market is expecting more restaurants and retailers to construct and open additional office spaces this 2015, including a few mixed-used centers, an “artisan market”, and new outlets for such retail giants as H&M, Pier 1 Imports, and Nordstrom Rack, all of which are expected to contribute to the continued growth or steadiness of the economy. These point to a significant year in the retail industry, which augurs well for the commercial real estate sector in general, and investment property in Anchorage, AK in particular.
Property owners and investors should take this as an opportune time to work with excellent commercial real estate consultants, such as Graham Commercial Real Estate. These professionals can help market and manage commercial property, taking into consideration the current economic opportunities and weaknesses. Services such as these are proving to be very crucial, given the dynamic economic conditions prevailing in Anchorage at the moment.
By partnering with a seasoned and reliable commercial real estate management firm, property owners and investors increase the chances of profiting from the foreseen growth in the retail sector, while making the necessary preparations for any economic downturn.
(Source: Anchorage attracting new retailers despite big downturn in state revenue, adn.com)