A look back / A look forward

2019 was a good year for CCRB.  We worked with a lot of clients whose leases were expiring and needed assistance renegotiating their leases or needed more space to accommodate their growing businesses, which is always great news.  The year provided us with a good mix of industrial, retail and office transactions for various types of businesses. In other words, business was well diversified.

Since we are nearly through the first quarter of 2020 we are optimistic, from what we have experienced so far, that this year will prove to be just as busy.  It will definitely prove to be a bit more challenging given the unknown long term effect both the Corona virus and the upcoming election will have on business.  We have faced challenges before, 2009 was not exactly a banner year for real estate, and we have not only weathered it but flourished. We expect to do the same for the rest of 2020.

FIRST HALF-NEW BUSINESS-NEW FRIENDS

Here we are just past the half way mark of 2019.  So far it has been a pretty good year, both for new business and for the new friends made through the St. Charles Chamber of Commerce.  The B2B group that we have been a part of since its inception has proven to be a great resource.  Jim DiCiaula has done a phenomenal job of bringing together a group of businesses that provide support, guidance and even referrals to one another. We are happy to be a part of the Chamber and the B2B group.  We are looking forward to a strong second half.  The markets remain good and we look forward to helping more companies find that perfect location where they can become even more successful. 

Thanks for a successful year

2018 is pretty much in the books.  While it has been a challenging year it has also been a successful one. Thanks to all our clients and friends, both new and old for the support you have provided us this year.   We look forward to working with you in 2019 and beyond.

Settling In

It has now been 6 months since we have moved to Geneva and things have moved along well.  We have decided to get back to our original business plan and focus on the buy and leasing side of office, industrial and retail and not take any listings.  At the present time we are just getting our feet wet with the St. Charles Chamber of Commerce and it would appear that this will be a great group to become more involved with.  Our time spent with the Lombard Area Chamber of Commerce was fantastic and we are hoping the same will be true with St. Charles.  Business remains strong as it has been over the last several years and we are confident that this will be as good a year as last.

Serving Chicagoland from a new location

Chicago Commercial Realty Brokerage (CCRB) has moved our office to Geneva, IL. While it may be a little further west we nonetheless service the same areas that we did before- Chicago and suburbs.  Our core value of placing our clients' needs first remains with us no matter where we may have our physical office.  We look forward to continuing to serve you.

Suburban Office Space

I read that vacancy in suburban office buildings have ticked up in the recent period.  Now at a bit over 19% which is up from about 18.5% it is still much better than the 25% it was at around 2010. Even with the not so good news owners still have felt confident enough to raise rates by about 2%.  Our experience in representing tenants has been that there are still aggressive deals to be made with property owners despite rates being a bit higher.  We also take note that many suburban office buildings that were in need of a makeover have indeed either undergone one, are in the process, or are planning that makeover in the very near future.  It's reassuring to know that office building owners have the capital to make these improvements. At the end of the year and so far this year we have had the good fortune of working with  a number of healthcare industry related businesses.  That industry seems to be participating well in this healthy economy.  Thanks for a great 2016 and here's hoping 2017 will continue strong.

Amazon Gets Physical

 I came across a very interesting article by Stephane Kuelian a retail marketing guru.  Below is a summary of why it makes sense for Amazon to establish a brick and mortar presence.

 

"From a strategic standpoint, physical stores are a powerful tool to increase Amazon global

revenues. Here are 9 reasons why Amazon gets physical.

1 – Physical bookstores will help Amazon attract bigger-name authors. What other

publishers can offer that Amazon cannot is coveted placement in physical bookstores.

Those tables you see in a bookstore when you first enter are hot properties in the world of

book marketing. And Amazon can’t compete with that, until it gets its own bookstores.

2 – One of Amazon’s secrets to customer service is that it accepts returns, no questions

asked. Physical stores would make it easy for people to return products.

3 – Amazon physical stores will be massive gateway drug products dealers. The Amazon

devices are super compelling to anyone who tries one. The trouble is, there’s no way to try

them unless you buy them. Retail stores will help. Each Amazon retail store will be much

more than just a gateway drug to Amazon’s products. It will be a gateway drug where

people will buy gateway drug products like the Echo.

4 – Retail locations will help Amazon win on delivery. Retail stores could double as product

pickup locations, distribution warehouses and, eventually, drone airports from which

products are flown to nearby homes and businesses.

5 – It is an opportunity to set-up “outlet corners“. Stores could serve as “outlet” stores to

sell returned merchandise, saving Amazon millions

6 – It is an opportunity to attract new customers. The majority of all retail sales still happen

in physical stores. Those real-world sales are Amazon’s growth opportunity.

7 – It is an opportunity to enrich customers database. One way to get new customers is to

get their credit card information and other personal details. Amazon can do that by

offering killer deals in physical stores. Once Amazon has someone’s credit card, it will be

able to remind that person later that buying more stuff is just a one-click deal now.

8 – Physical Amazon stores can encourage and facilitate showrooming. Another way

Amazon eviscerates traditional retailers is via the practice of showrooming. That’s where

you go to a brick-and-mortar store and find the product you want but then buy it on

Amazon – sometimes standing right there in the store, using Amazon’s mobile app. Once

friendly salespeople from Amazon help you find,install and use the app, you will be able to showroom not only in an Amazon retail store but you can also continue showrooming in other stores.

9 – A retail location acts as a sneaky reminder that Amazon can solve every shopping

issue. An Amazon store in the mall reminds everyone that Amazon.com is the place where

people can find anything and have it wrapped and delivered. Even if shoppers don’t enter

the store, just seeing the store is a reminder that Amazon could be the solution to

any shopping problems.

Let’s wrap it up. Amazon brick and mortar stores can be considered as the gateway to the

“everything store”. They make it easier for the brand to attract new customers and

make them loyal to the brand’s compelling products and services. What every store will make

a day as a turnover does not really matter."