Yep, You DO Need a North Carolina Commercial Real Estate Broker to Sell Your Land!
Commercial land transactions that did not end well are a leading contributor to the use of error and omissions insurance claims! There are so many variables in a land transaction that it pays to have someone experienced leading, guiding, educating and closing the sale for you. In the state of North Carolina we have seen far too many agents not educated in the potential intricacies associated with the purchase or sale of land. Often times the broker is a residential only agent that see dollar signs in front of them. We all understand this and many have been down this road. Heck, we know great land brokers today that once started that way and came through unscathed. But we also know brokers that have gotten in over their heads and ended up regretting the fact that they attempted. In many cases the client just moved on and a relationship was damaged. Often times the Broker has waited too long and the damage has been done. In which case, hopefully the Broker has good E&O insurance.
Land? Help me sell it!
Of course we want to determine the highest and best use of the property in question. But there are so many questions to be asked! Does the land have access to public utilities? Who manages those utilities? Are they onsite? Which utilities? How far from the subject property are the water main taps? Does the water line need to be extended? Are we are on a well? Commercial septic? Private septic? Ingress and egress? What will the municipality require? How is the topography? Are there wetlands? What is the current zoning? What is the tenor of the municipality regarding rezoning? Special use permit needed? What are the setbacks? Do you know about any upcoming road changes? What is DOT requiring? Turning lanes? Road widening? Traffic signals? Will you need curb and gutter? Of course many of these questions are more about the end user developing the land if indeed the highest and best use is to develop it for commercial or residential purposes. What about the things like the timber? Is the land being used or leased for agricultural purposes? Do you own the surface rights only? Do you own all of the mineral rights? Is any of the land in a floodplain? Will it perk? What about the impact of neighboring tracts? Has anyone done a Phase I environmental study? Is there rock on the land? Does the property need to be annexed? Are there cemeteries on the land? Are they of historical significance? Is there historical significance of any kind on the property? Easements and right of ways – have any been granted?
We recently sold and closed on a tract of land that experienced a delay in the process due to the fact that there was a small old (barely can find it) cemetery on the property. When the state took a look they recommended that the state historical and anthropology department take a closer look. For the next 30 days, while the Seller and Buyer waited anxiously, the anthropologists worked the soil to determine if there was additional historical significance. Thankfully for us, we are now closed. It is the unexpected contingencies that can cause stress if the buyer or seller are not prepared in advance.
Do not be blown away by Big Brokerages and/or Big Named agents. While they may be the answer you are looking for and be a great fit, they may not be? Ask them about the things above. Ask them if they have ever sold any land and how those transactions went. Ask them about the various contingencies that may present themselves. The pint here is. Find someone that will put the time in to “walk the land” and get to know it. Someone that will help identify the various Highest and Best Uses. Find someone with “reach” to investors and and users alike. Someone that wants to list AND sell your property. Not just list it.
Mineral Rights versus Surface Rights
If you have commercial real estate needs, please contact our team here at Kima Commercial @ KW Commercial. Our team is ready to assist you in the pursuit of your real estate needs.
- Raleigh commercial real estate
- Wake Forest commercial real estate
- Cary commercial real estate
- Apex commercial real estate
- Rolesville commercial real estate
- Fuquay Varina commercial real estate
- Morrisville commercial real estate
- Garner commercial real estate
- Holly Springs commercial real estate
- Wendell commercial real estate
- Zebulon commercial real estate
- Youngsville commercial real estate
Triangle Commercial Bits and Pieces…
RTP Getting New Mixed Use Development
The largest research park in America is changing things. Wait, that’s not right, America is changing things for the largest research park. A new concept mixed use development is hitting the park! Durham, NC is welcoming Beacon Properties Group and the mixed use development that will lay right along the busy 15-501 corridor looking to capitalize on new restaurants, variety of office space, hotel(s), and apartments. It will be a walkable mixed us district and the first of it’s kind in the area! Multifamily continues to expand in the Triangle market. Just this week there are several on planning board agendas throughout the region including one on Rogers Branch in Wake Forest, NC.
North Carolina continues to grow quickly and remains on the top or near the top of many lists of best places to live and work! This is a reflection of that very thing.
View of RTP from the south
Featuring 57,000 square feet of retail and 25,200 square feet of office along with 17,000 square feet for restaurants and 300 apartment units, the project name, Oakridge will have major impact in our market. The first of several? We will see.
DOWNTOWN Raleigh By the Numbers….
While residential builders are helping change the face of the market near downtown Raleigh, it is the commercial impact that truly will drive the traffic to these homes! What came first? Chicken? Egg? Smoke? Fire? Residential? Commercial? Twenty nineteen has been a good year for Raleigh. Hemp stores, cocktail lounges, new restaurants, new office space, etc….. Here it is by the numbers according to the TBJ.
37 – Number of businesses closed since Jan 2018.
64 – Number of new businesses since Jan 2018.
15 – Number of storefronts closed in 2019.
20 – Number of new storefronts in 2019. (We call that growth)
Triangle Rental Rates Up
The second quarter showed a boost in Triangle area office rental rates. With the expansion of local businesses and the growth of outside companies coming in to the market, it appears that vacancy rates continue their decline. Average Class A office rental rates climbed in the second quarter to $29 per square foot. That is nearly a 40% increase from earlier in 2019. Rates were holding steady over the previous year as well. Again, we call this growth. The economy continues to flourish! Class A rates exceeded $32 per square foot in submarkets like downtown Durham, Six Forks/Falls of Neuse, and Raleigh. Where would you expect the first over $40 per square foot to be recorded?? Yep, you guessed it, Kane Realty announced earlier that Tower IV at North Hills hit $41.50.
Trending up. What goes up must come down…right? Not in the near future experts say. There are several proposed projects in downtown (remember the smoke versus fire thing earlier in this post?) that are likely to ask similar rental rates.
By the Numbers:
7.5% = Class A vacancy rate across the region
3.1% = Class A vacancy rate in downtown Raleigh
Massive Development Project – Johnston County
Whew, this one took some time. After a year plus of preparation, planning, designing, talking, drinking coffee, more talking, more planning…you get the idea…a new 470 plus acre mixed-use development in Johnston County has officially begun construction.
A 2.8 Million square foot project that will encompass the land running from exits 97 and 98 on I-95 near Selma. Retail? You want retail? Okay, this feature a massive amount fo retail, restaurant, office medical space, hotels, senior living, residential development etc….A total of 1 Million square feet will be created. Wow! This isn’t your parent’s Johnston County!!!
Locals will enjoy a farmer’s market, farm to table dining options and other ways to make the residents and workers feel “grounded”.
What Are You Looking For?
Our team here at Kima Commercial would love to earn your business. Whether you need land to build commercial space on, land for residential development, office, industrial, leasing, etc… our team stands ready and welcomes your business. Our partners are all encompassing. In other words there isn’t a commercial real estate team member we cannot bring to the table for you. Meaning if you need a reputable commercial builder to build or do an upfit or just quote one for you, civil engineers, architects, inspectors, designers, etc…we can help. Please feel free to visit us at one of our two offices. We currently run our day to day operations for our commercial business out of the Brier Creek location in Raleigh and also have an office in Wake Forest. We have sold all across the state of North Carolina and have resources across the country.