Cleveland's Industrial Space - Demand For 24' Clear Buildings
It should come as no surprise that a significant portion of industrial space in Cleveland is outdated. Old buildings, a legacy to the manufacturing of the early 20th Century, make up a large percentage of Cleveland's industrial space. There are many newly constructed and refitted buildings available in the Northeast Ohio area. These buildings, suitable to modern distribution and manufacturing, have ceiling heights at or greater than 24 feet. These buildings, which make up less than 25% of the market, are in high demand.Overall, the vacancy rate in 24' clear buildings is 3.35%. Because high ceiling height is relatively rare, there is great demand for properties with this feature. Storage racks can be built higher, saving on the per square foot costs of storing inventory. The Southeast submarket has the largest percentage of buildings over 24' clear: the Southeast makes up nearly one-third of all 24' clear space in Cleveland, and about 25% of all Southeast space is 24' clear. Some 24' clear buildings have additional features that set them apart from the others. ESFR sprinklers, which allow for higher racking, as well as racking of more flammable materials, are one of these key features. Although very few 24' clear buildings have the ESFR sprinkler system, those buildings that do are in demand. The overall vacancy rate of 24' clear buildings with ESFR is just 0.54%. Although these spaces command larger rental rates than properties without these features, companies requiring high ceilings and advanced sprinklers are willing to take on higher rents. Read more >>
CoyneReport - 2011 Year-End Wrap Up
While looking back at the 2011 commercial real estate market, we first need to look at prior years to spot trends which may have occurred. Utilizing CoyneReport.com, we have reviewed the past several years in terms of trends and sales and report the following:The total value of sales over $1,000,000 has increased every year since 2008. Large sales in 2011 topped $700,000,000, for an increase of over $200,000,000 when compared to 2010. The years 2010 and 2009 also recorded an increased value of sales year-over-year. Although past events are not a perfect predictor of the future, it is safe to say that the economic recovery has started in Cleveland's commercial real estate market. The numbers were boosted by a handful of large transactions, including Rock Ohio Caesars' purchases of land and the Ritz, Duke Realty's sale of its North Olmsted office building, and the purchase of the former Chrysler Stamping Plant in Twinsburg. Although these large sales can skew the numbers, their presence does signal that some investors are willing to risk a great deal of capital in Northeast Ohio. Read more >>
CoyneReport Reveals Trends/Changes in Value Across Cuyahoga County Communities
Since the Cuyahoga County Assessor's Office has last updated property values, almost 1,000 commercial sales have taken place. Utilizing the search power of the CoyneReport.com, we have compiled a list of all these transactions. Since the Assessor and the Board of Revision use sales comps to determine property values, we thought we'd take a look to see whether local communities can expect their commercial property values to increase or decrease in the 2012 reassessment. Commercial property values provide a significant portion of many cities' property tax revenues, so this data is relevant to school boards, town halls, and concerned citizens alike. Our study revealed some surprising results.The City of Cleveland has had the largest positive difference in property values, with buyers paying more than $26 million over the assessed values. Other cities that saw large increases were Berea ($9,734,301), Richmond Heights ($7,891,800) and Bedford ($4,740,971). Woodmere, Parma, Beachwood, Lakewood and North Royalton also saw significant gains. Read more >>
It should come as no surprise that a significant portion of industrial space in Cleveland is outdated. Old buildings, a legacy to the manufacturing of the early 20th Century, make up a large percentage of Cleveland's industrial space. There are many newly constructed and refitted buildings available in the Northeast Ohio area. These buildings, suitable to modern distribution and manufacturing, have ceiling heights at or greater than 24 feet. These buildings, which make up less than 25% of the market, are in high demand.Overall, the vacancy rate in 24' clear buildings is 3.35%. Because high ceiling height is relatively rare, there is great demand for properties with this feature. Storage racks can be built higher, saving on the per square foot costs of storing inventory. The Southeast submarket has the largest percentage of buildings over 24' clear: the Southeast makes up nearly one-third of all 24' clear space in Cleveland, and about 25% of all Southeast space is 24' clear. Some 24' clear buildings have additional features that set them apart from the others. ESFR sprinklers, which allow for higher racking, as well as racking of more flammable materials, are one of these key features. Although very few 24' clear buildings have the ESFR sprinkler system, those buildings that do are in demand. The overall vacancy rate of 24' clear buildings with ESFR is just 0.54%. Although these spaces command larger rental rates than properties without these features, companies requiring high ceilings and advanced sprinklers are willing to take on higher rents. Read more >>
CoyneReport - 2011 Year-End Wrap Up
While looking back at the 2011 commercial real estate market, we first need to look at prior years to spot trends which may have occurred. Utilizing CoyneReport.com, we have reviewed the past several years in terms of trends and sales and report the following:The total value of sales over $1,000,000 has increased every year since 2008. Large sales in 2011 topped $700,000,000, for an increase of over $200,000,000 when compared to 2010. The years 2010 and 2009 also recorded an increased value of sales year-over-year. Although past events are not a perfect predictor of the future, it is safe to say that the economic recovery has started in Cleveland's commercial real estate market. The numbers were boosted by a handful of large transactions, including Rock Ohio Caesars' purchases of land and the Ritz, Duke Realty's sale of its North Olmsted office building, and the purchase of the former Chrysler Stamping Plant in Twinsburg. Although these large sales can skew the numbers, their presence does signal that some investors are willing to risk a great deal of capital in Northeast Ohio. Read more >>
CoyneReport Reveals Trends/Changes in Value Across Cuyahoga County Communities
Since the Cuyahoga County Assessor's Office has last updated property values, almost 1,000 commercial sales have taken place. Utilizing the search power of the CoyneReport.com, we have compiled a list of all these transactions. Since the Assessor and the Board of Revision use sales comps to determine property values, we thought we'd take a look to see whether local communities can expect their commercial property values to increase or decrease in the 2012 reassessment. Commercial property values provide a significant portion of many cities' property tax revenues, so this data is relevant to school boards, town halls, and concerned citizens alike. Our study revealed some surprising results.The City of Cleveland has had the largest positive difference in property values, with buyers paying more than $26 million over the assessed values. Other cities that saw large increases were Berea ($9,734,301), Richmond Heights ($7,891,800) and Bedford ($4,740,971). Woodmere, Parma, Beachwood, Lakewood and North Royalton also saw significant gains. Read more >>
Coyne Report Video Archive
Chrysler Stamping Plant Update
About 9 years ago, Chrysler invested about 300 Million in the Twinsburg facility, helping to make it the most efficient stamping plant in the world. Two years ago, as part of the reorganization of Chrysler, the plant was shuttered and sold. In this month's report, Terry discusses the possible future uses of this facility and what it means for the surrounding communities.
