Message from the President
COPPERWOOD’S genuine interest in learning about you and your business will lead to a more comprehensive real estate plan for you. It also serves to lay the groundwork for a
relationship we know will continue throughout the years.
Business is just the playground for adults.
It is also important to have fun while
working. Enjoy it, work together........
and success will follow.
We guarantee it.
Mark Steingas
P R E S I D E N T
Featured content from Copperwood
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Most important aspects of Copperwood
Honest. Ethical. Professional…...
……Words used to describe relationships with Copperwood Real Estate, everyday. Our solid gold reputation is the most important asset we will have for the rest of our lives. With this goal in mind, we strive for fairness and dependability in every deal and to make each person involved see a win-win scenario. |
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Are the investment opportunities looming?
The opportunities should be coming….but they are not.....yet. We have heard that the mass of commercial foreclosures are just around the corner. Everyone seems to be waiting for those good deals. When loans written five years ago come up for renewal and the property’s value has dropped, due to a drop in occupancy or rents, everyone assumes that these properties will be foreclosed upon and that the lenders will dispose of the properties for 70% of previous debt. Unfortunately for investors, the lenders are in no hurry to foreclose and take possession of a vacant property or accept the potential huge loss to the face value of their loan. The property owners are sure that they still have equity and it will be just a manner of time before the market comes back to their asset that may even back other debt. The owners will continue to manage, maintain, attempt to lease out, or even occupy, while covering all of the carry costs, as long as the bank is patient and does not call the loan. Investors will continue to wait. |
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What is a Bargain today?
Remember…income producing real estate is only worth the income it is producing. If it is owner occupied property, it is worth what a user is willing to pay, but the real value should be calculated by comparing what the cost would be lease a similar property and that cost valued at a smooth 10% capitalization rate to determine a estimated market value. Real estate is unique in that its value can be influenced by numerous factors such and future use, future adjacent uses, specific benefits, income stream, available financing (leverage) or beneficial tax treatments. To me, the description of a bargain today is something that actually makes financial sense to purchase. You know, you can purchase it for 60% of what the cost of new construction has been over the last 3 years (inflated). This would mean that realistic market rents (after all concessions) will support the cost of the project and return 12% per annum on the equity invested or a simple 10% if paid entirely in cash. The problem in this market becomes……….is there anyone left to lease the property that has the financial stability required to create a bargain? |
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Searchings commercial listings cannot be done on this web site due to the rules set by the association which governs the listings. Thus, we encourage you to use the link on above which provides the data via the Minnesota Commercial Association of Realtors.
That search tool a powerful way to begin your inquiry and begin to understand the consistencies about the listings currently available that you may be interested in.
Search properties from all agents!
Demo Owners Login
In an effort to use technology to improve our business, Copperwood has implemented a simple “Owners Login” section on our web site. This section allows owners to see all the activity on their listing. Ads we post on their behalf, when showings happen, any offers that have been made, etc.
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