“Are you sure I’m getting a good deal at $20.00 per square foot?”
My longtime friend and client was about to sign the purchase agreement on a 22,760-square-foot industrial building for his growing business. Though it needed some work, the bones of the building fit what he was looking for—showroom, office and bullpen area, shipping/staging area, and a high-bay warehouse.
This was in 2014. The industrial market was sluggish, to say the least. I nodded and said, “You won’t regret it.”
Fast-forward to 2022, we listed the building for sale. After a few months of marketing and showing the building, we negotiated a cash offer very close to the asking price with a national residential roofing company looking for a Detroit-area sales office and warehouse.
The closing price: $95.00 per square foot.
Did we get lucky? Perhaps. No one can predict exactly what the market will do.
But, make no mistake, good luck is something you earn. Twenty-five years of experience in Commercial Real Estate in Southeast Michigan have earned me a keen eye for trends and indicators in the market. I offer the honest advice of that eye to every client, whether longtime friend or new acquaintance. I would be happy to help you with your property needs.
Please call me at (248) 476-3700 or email me at svalli@thomsduke.com.
