If you’re looking for information about where to invest in commercial real estate, PricewaterhouseCoopers (PWC) has published its "Emerging Trends in Real Estate" report for over 35 years. In its recently released forecast, the following trends are among those expected to emerge:

Real Estate’s Love/Hate Relationship with Technology Intensifies

Real estate will continue to have a love/hate relationship with technology. Fear of technical disruption is easing, though, which is a good thing, considering that no form of real estate is exempt from the expansion of technology.

Survey respondents see technology opening new business paths, even when traditional industries may be lagging. It’s pushing change in space use, locations, and demand levels. Fear of technology is subsiding somewhat.

Office demand, which was once driven by financial firms, is expected to be driven by technology and media industries. Tech companies once impacted suburban communities, but now the focus is more urban.

Some respondents think we don’t yet know what the result of current changes will be. The sharing economy, in which groups such as millennials are comfortable sharing rather than owning, is already disrupting taxi and hotel industries and may also affect office properties. Excess space could be offered to other companies, by either the landlord or the tenant.

A Darwinian Market Keeps the Squeeze on Companies

Unrelenting competition makes the need for a clear "brand identity" increasingly important. Efficiency and effectiveness will not only be what investors expect -- they’ll also filter down to service providers.

Institutional investment is expected to be influenced by a desire for more control on the part of the largest investors. Capital sources will expect more services for less money.

The ongoing trend toward outsourcing could be somewhat replaced by bringing real estate talent in-house, reducing costs and improving accountability. Consolidation could increase if this trend grows.

Capital raising, already difficult for mid-tier managers, has become more difficult in Europe with the Alternative Investment Fund Managers Directive (AIFMD). These regulations increase reporting and compliance requirements. Some firms may not be able to afford these conditions, so the number of private equity and hedge fund firms seeking capital in Europe may decline. The field may become overpopulated as more players looked toward Europe for cash, followed by an inevitable winnowing.

Housing Steps off the Roller Coaster

The real estate bubble and the ensuing collapse seem to be put in the past. Residential real estate is expected to return to the classic principles of supply and demand. Confidence in residential real estate should increase -- a positive trend for the entire economy.

This hopeful outlook is due to the fact that the number of U.S. households has grown steadily, even as the housing market struggled. Demand for rental housing rose, while single-family-home construction fell markedly. Over several years, this translates into a huge shortfall in new for-sale units. The shortfall is now 9 million homes, which has enabled the "months of supply" figure to stay around five months since late 2012. Existing-home sales averaged about 2.1 million during the same period. This point of balance for single-family residential has stayed steady.

Disposable income growth has lagged for households, and prices aren’t re-inflating to bubble levels. Moderate price increases are anticipated, with only minor ups and downs in existing-home sales.

It’s a healthy, boring market that’s anticipated -- a welcome relief from the huge swings in housing over the past decade.

Andrew Jubelt, a principal at Avant Capital Partners, can advise you on commercial real estate investing and provide you with the funding you need. Contact him at ajubelt@avant-capital.com, or call 212-231-9779

Investors looking for commercial real estate opportunities in 2015 should turn their eyes toward Texas. Three of the five cities expected to be the hottest markets this year are in the Lone Star state. They benefit from having low costs of living and low costs of doing business, combined with excellent livability and employment.

Experts generally regard the following cities as the top five for commercial real estate investing opportunities in 2015:

1. Houston

Houston’s energy, education and health industries are expected to drive demand for commercial real estate, although energy has been somewhat slowed by the decline in oil prices. Trade and transportation job growth was strong last year, and it’s expected to continue to support demand for industrial space. The city has very high investment, development, and housing market expectations. It’s strong across the board, with high expectations in the industrial, retail, office, multifamily, and hotel sectors. Houston is attractive to a wide variety of real estate investors, particularly those interested in institutional investing. Real estate capital availability is predicted to be strong, as is the local economy.

2. Austin

Austin has a strong industrial base, and it's a city that enjoys a low cost of doing business. The area is thriving in the office, retail, and single-family housing sectors. It’s a popular destination for millennials and has a diverse, thriving population that attracts potential employees. It also has a relatively low cost of living. Austin is ranked a little lower than others in the top five for investment in industrial, hotels, and the multifamily sector, since it’s not a distribution hub. Locals have confidence in the strength of Austin’s economy, however, and there’s a strong level of market participation by local owners and developers.

3. San Francisco

San Francisco was also a popular commercial real estate hot spot last year, and it’s not expected to slow down in 2015. It has a strong local economy and improved domestic and international travel. San Francisco is particularly strong in hotel investment, as well as in the office and retail markets. The industrial sector is ranked somewhat lower. It also shares something in common with several other cities on the top five list – it’s popular with millennials. Housing – both multifamily and single-family sectors – are expected to be strong. A high level of available capital should keep San Francisco’s investor interest high.

4. Denver

Denver is also popular with millennials and has thriving energy and technology industries. It also has strong retail and office investment. The industrial sector is ranked somewhat lower than others, but has shown improvement. The multifamily sector is ranked somewhat lower amidst concerns of a cooling-off period, but single-family housing is stronger. Public and private investors are strongly attracted to Denver, and its strong local economy and local development community continue to work in its favor.

5. Dallas/Fort Worth

This area benefits from economic diversity that’s likely to sustain a high level of job growth. Dallas/Fort Worth has a low cost of living and doing business, both of which help fuel job growth as well as the single-family housing market. Among the top five cities, it has the highest ranked industrial sector. The multifamily housing and retail sectors are not expected to do quite as well, due to supply concerns. The market is attractive to local and institutional commercial and home developers. It has a strong local economy, available capital, and an active development community.

Andrew Jubelt, a principal at Avant Capital Partners, can advise you on commercial real estate investing and provide you with the funding you need. Contact Andrew Jubelt at ajubelt@avant-capital.com, or call 212-231-9779.

What is the current state of the real estate market?

This is a question that anybody interested in commercial real estate should be asking themselves constantly. Why? Because CRE is a constantly shifting industry, and one that is dominated by trends.

That being said, here are the top five commercial real estate trends that are both defining and reshaping the industry right now:

1. Telecommuting is in the Rise

Computers are making everything easier, including people's jobs. They are making jobs so much easier to do, in fact, that many professionals can now work from the comfort of their own homes. This, combined with the fact that many companies see a reduction in office space as an effective cost cutter, has led to a significant increase in the amount of telecommuters. Some companies are even paying employees' rent, decreasing the need for roommates.

Because of this change, one can expect that there will be a reduction in office space use, with an increased demand for residential properties.

2. Fewer Flyers, More Online Ads

Studies have shown that online marketing can produce better results at a lower cost than offline marketing. Studies have shown that a helpful blog post, for example, is 63 percent more likely to influence a purchase than a print magazine ad. This rule applies to just about every industry, including commercial real estate. Adept CRE investors are recognizing this trend, and spending their marketing dollars on online strategies instead of traditional 'interruption' marketing campaigns.

3. The Impending Millennial Surge

The Millennial generation is so numerous that they outnumber even the baby boomers, which were once the largest generation the United States had ever seen. This generation also rents a lot. They rent so often, in fact, that some people believe the widespread notion of home ownership will fade away with the Millennials. Commercial real estate experts, however, expect there to be a huge surge in millennial home purchases in the 2020s, when a large portion of this generation will be ready to settle down.

4. Small Cities are Becoming Metropolises

Many people love big cities such as New York and Los Angeles -- they have incredibly diverse cultures and they seem to operate 24 hours per day. There is just one problem: These cities are extremely expensive to live in.

However, the high demand for the easy access of an urban lifestyle -- especially by the millennial generation -- has led to interesting shifts in the culture of smaller, less bustling cities. Many small cities are transforming into 18-hour cities, which are microcosms of their much larger 24-hour counterparts. As a result, commercial real estate investments are surging in these areas.

5. A Spike in High-Tech Photography

Just about every industry, including commercial real estate, has succumbed to the influence of the web. As such, a high percentage of commercial real estate transactions begin via an online interaction. This increased use of the web has led to a high level of competition to attract the interest buyers, renters, investors, etc., especially on listing websites. In order to stand out from the crowd, people are taking better pictures of their properties. And this doesn't just mean HD photos with the latest smartphone, either. High-tech photography solutions, including DSLRs and even drones (for aerial shots) and 3-D virtual tours are becoming the norm.

. . . . . . . . . .

Commercial real estate has undoubtedly become a part of the tech boom.

As this article has shown, most of the current commercial real estate trends revolve around our burgeoning reliance on modern technology, and the digital natives who are most likely to use it (Millennials). Anybody who wants to keep up has to take technology seriously, and figure out how it can benefit their commercial real estate endeavors.

Want to learn more about how the latest CRE trends should be influencing your investment decisions? Contact Andrew Jubelt at ajubelt@avant-capital.com or 212-231-9779.

Anyone who deals professionally with commercial real estate understands the cyclical nature of the industry. In fact, it is the combination of years of experience and comprehensive knowledge that provides the right advisors with the right opportunities in both up and down markets.

The success of Avant Capital Partners is a prime example of such ongoing success. Principals such as Andrew Jubelt bring a combination of insights, experience, and market knowledge to each project evaluated. Andy Jubelt understands the essential elements of all successful real estate projects, including timing, financing, contracting and development.

Rather than theoretical knowledge, Andy is himself a successful owner and operator of multiple commercial and residential real estate transactions and projects. These include more than 10,000 senior housing and multifamily units throughout the market area.

As a principal at Avant Capital Partners, Andrew Jubelt brings his organization’s extensive financing expertise and capacity to projects throughout the nation. In addition to a broad understanding of all aspects of the commercial financing process, Avant and Jubelt specialize in creative financing approaches to unique market situations. From restructuring to improve current cash flow, to recapitalizing underwater and distressed properties, to new acquisitions, the Avant team is known for getting the job done for a wide range of clients.

Projects that require the innovative approaches dictated by New York’s one-of-a-kind market — or any need nationwide — are undertaken with relish by the professionals at Avant Capital Partners. Andy Jubelt likes to remind his clients that he never faces a problem where financing is concerned, but rather an opportunity to bring his expertise to the game, and to come up with attractive solutions in the process.

Knowledge Plus Experience Equals Profits

Many clients, both new to the market and those with many projects under the belt, learn quickly that the specialized knowledge of the Avant team brings a fresh perspective to every job. Additionally, the extensive proprietary accumulated knowledge of the New York market allows the company to prepare highly individualized reports and analysis for each of the market’s primary neighborhoods.

As a direct commercial lender, Avant Capital Partners facilitates long-term principals such as Andrew Jubelt to recommend, assemble and execute the right financing package for stabilized and transitional commercial real estate projects. This approach maximizes the probability of completing any transaction and achieving the desired financial results.

Flexible and Responsive Underwriting

Whether a project requires short-term bridge financing or long-term conventional funding, Andrew Jubelt can access the resources required with flexible underwriting options. Avant Capital Partners provides services as both a real estate investment bank and as a correspondent lender for several institutional investors. Additionally, the firm’s role as an advisor on many significant real estate ventures allows it to bring unique insights to each funding assignment.

The seasoned professionals at Avant provide a national network of experts that assist in deals that range in size from $500,000 to $30 million. The diversity of this team brings to bear expertise in all aspects of the real estate transaction, including brokerage, lending, banking, and real estate investing. These capabilities make the origination and underwriting process much smoother. It also puts a powerful ally in the corner of Avant's clients.

As a recognized underwriter, Avant Capital Partners is known for the professionalism of its principals, such as Andrew Jubelt. Whether a project requires a simple review of the numbers or a comprehensive evaluation of a detailed project proposal, lenders turn to Avant to arrive at a final loan approval.

Andrew’s capabilities often provide the important link between the needs of specific clients and the requirements of potential lenders. By developing innovative and flexible capital solutions, Andy seeks to provide the proverbial win-win solution to each project.

Contact Andrew Jubelt at ajubelt@avant-capital.com or at 212-231-9779 to discuss financing for land acquisition and development, as well as construction of residential housing and commercial properties.

Andrew Jubelt is a Principal at Avant Capital Partners. Avant Capital offers bridge loans to meet the needs of borrowers purchasing or holding properties that are being repositioned, re-tenanted, improved or otherwise redeveloped and has recently originated a $3,275,000 bridge loan secured by a property located at the corner of Flatbush Avenue and Lincoln Road in the Prospect Lefferts Gardens neighborhood of Brooklyn, New York. The interest-only 24-month loan carries an interest rate of 8.00% and refinanced the first mortgage. 

Demand for residential and commercial real estate in Brooklyn is strong with high occupancy and increasing rents. Under-priced land and room for upward growth in rents is the magic formula that developers seek in the next hot neighborhood.  

“Prospect-Lefferts Gardens Is ‘On the Map’” ― New York Times, March 13, 2014

Prospect Lefferts Gardens, like much of Brooklyn, is undergoing a rapid demographic change. New residential developments are attracting residents from Manhattan who enjoy more affordable rents, proximity to the 585-acre Prospect Park and public transposition access to Manhattan via the B, Q, 2 and 5 trains. Residential rents in Prospect Lefferts Gardens are about 50% lower than in Manhattan. 

Residents often cite the area as “Brooklyn’s best-kept secret,” bordering the east side of Prospect Park and down the road from the Brooklyn Botanic Garden, with a substantial and attractive historic district, and subway stops for three express trains. It’s also a community with no hard-and-fast height limits on development, and its real estate can cost as little as half that on the other side of the park 

How Andrew Jubelt can help: 

Avant Capital Partners offers a broad range of loan programs that can provide you with the commercial real estate funding you need. Contact Andrew Julbelt at ajubelt@avant-capital.com or call at (212) 231-9779 for more information about how a balance sheet lending program can offer you competitive bridge loan rates, interest only payments and quick closings. 

Capabilities of Andrew Jubelt and Avant Capital Partners include: 

• Quick closings for acquisitions 

• Refinance unencumbered real estate quickly to access equity 

• Discounted note purchases and/or recapitalizations 

• Construction completion 

• Condo inventory loans 

• Development site acquisition 

• Other non-bankable transactions

Are you interested in securing a commercial bridge loan? Contact Andrew Jubelt at (212) 231-9779 or email him at ajubelt@avant-capital.com for more information.

Andy Jubelt is an experienced developer, owner and operator of commercial real estate including more than 10,000 multifamily and senior housing units.  As a Principal at Avant Capital Partners, Mr. Jubelt specializes in creative and innovative strategies to provide value-added services and enhance long-term value for numerous complex transactions. Such transactions include:

AVANT Small Business & Owner Occupied Program (SBA-504)

Avant Capital Partners offers mortgages for stabilized owner occupied real estate from $500,000 to $10,000,000 nationwide. This program offers competitive fixed rates for business oriented real estate and high leverage.

What is a SBA 504 Loan?

The US Small Business Administration 504 Loan or Certified Development Company program is designed to provide financing for the purchase of fixed assets, which usually means real estate, buildings and machinery, at below market rates.

Property types under consideration include retail, industrial, office, medical office, dental office, commercial condominium, hotels, self storage, marina, health clubs, funeral homes, movie theaters, grocery stores, convenience stores, gas stations, truck stops, restaurants, banquet halls, auto dealerships, lube & oil change centers, tire care centers auto repair facilities and other special use business oriented real estate.

The following is a standard checklist of items that will be required for underwriting and loan committee:

1. Transaction Information

             Brief Description of Loan Request

•  Loan amount desired?
• Purchase or refinance?
• Purchase Price (if applicable)
• Copies of existing mortgage(s) (if applicable)
• Desired loan term?
• Desired interest rate?
• Other critical information timing/deadlines, property or borrower issues, background, etc.).

2. Property Information

• Property Address
• Property Type Description (square footage, occupancy, year built, number of units, etc.)
• Property History
•  Original purchase price and date acquired
• Total spent on capital improvements since acquisition
• Color photos (exterior and interior) 
• Copy of all leases
• Current rent roll
• If property is owned by a real estate holding company:
• Most recent years tax returns for real estate holding company
• Previous two years’ tax returns for real estate holding company
• Most recent Year-End Financial Statement (balance sheet and P&L statement)
• Previous two years’ Year-End Financial Statements (balance sheet and P&L statement)
• Interim financials (balance sheet and P&L statement)
• Debt Schedule
• Copies of existing third-party reports

3. Business Information

• Business name and description
• Most recent years’ tax returns for business and all affiliates
• Previous two years’ tax returns for business and all affiliates
• Most recent Year-End Financial Statements (balance sheet and P&L statement)
• Previous two years’ Year-End Financial Statements (balance sheet and P&L statement)
• Interim financials (balance sheet and P&L statement)
• Debt Schedule

4. Principal/Guarantor Information (anyone who owns 20% or more of the Business)

• Personal Financial Statement
• Schedule of Real Estate Owned  
• Resume
• Signed credit authorization
• Most recent years’ personal tax returns 
• Previous two years’ personal tax returns

Please contact Andy Jubelt at (212) 23109779 or email Avant Capital Partners at info@avcapital.net to learn more about AVANT Capital’s Premier Conventional and SBA 504 Lending Programs are focused on owner- occupied and investor real estate loans.

There are a number of companies and individuals, like Andrew Jubelt, that offer commercial real estate investing services to lessees, property developers and others. If you are looking to flip a property or get out from an underwater development, here are some key things you should look for before you sign a contract.

Skill in Financing Various Types of Properties 

Most commercial real estate firms can provide financing to cover costs of improving properties or as a stopgap during lease turnovers on properties with strong ratings. However, if you need flexibility or are looking to make significant repairs, funding can dry up quickly.

Investors like Andy Jubelt have decades of working not just with banks but other financial outlets and interested individuals to offer the best options for funding at more attractive rates. This can speed up the time to sale, or improve forecasts on capitalization of earnings due to increased growth possible on "value add" properties that increase in value. Experience in looking for money is also key, and Jubelt has used debt and equity on more than $1,000,000,000 in funding.

In-House Subsidiaries for Property Management 

Working with a commercial real estate developer can open the door to a wide variety of investment opportunities. However, many have to work with outside property management firms, so you have to pay that company in addition to someone like Jubelt and Avant Capital Partners. They have relationships with property managers so that you have one-stop investment options with people who know what properties are worth researching up and down the East Coast.

If you do decide to work with a company that contracts out management services, then be sure to look at what kind of terms they offer to lessees in each contract. The most adept groups are willing to be flexible with tenants on certain aspects of a transaction without affecting the bottom line of investors and property owners.

Experience Turning Around Less Desirable Properties and Complex Transactions

It's a lot easier to make a good property better, but the return on investment can also be a lot lower because of the reduced risk. Top commercial real estate developers know where to find the slightly distressed properties that just need a little bit of work. Along with skills in financing, look for companies that can show examples of improvements that generate dividends for investors.

For most commercial real estate properties, the goal is to have the net operating income (gross income minus operating expenses) positive in the first year, but that might not be possible depending on a number of factors from existing debts to volatility in the local real estate market. Understanding what steps one can take that account for those factors is a key selling point for an investor looking for the best fit.

They should also make sure that whatever plan for development is offered by a company, that it is tailored to their needs and financial capabilities. There are some cookie cutter property investment opportunities, but there can be a significant difference in trying to make them work if you want to cash out after five years or after 10.

Excellent References and Testimonials

As with any major contract or agreement, it is important to find out a commercial real estate firm's track record. While it does not have to be spotless, it helps if the principals can point you to successful projects, happy tenants and/or significant returns on investment. This is especially true for those who deal with complex transactions. If they do not know how to explain what will happen in plain English, you may not be able to make a decision that accounts for any risks or benefits of going down a specific path.

In terms of references, there should also be some among each group of people that a firm works with on a day-to-day basis. That can range from commercial tenants or seniors at a retirement community to investors who help support projects of developers like Andrew D Jubelt. If every stakeholder is satisfied, then it offers a strong likelihood that your own project will have success.

Whether you are a newcomer to real estate investment or a seasoned professional, you will want to be able to bounce ideas off of the firm's principals from time to time. Find out how often you can contact staff and gauge their answers to any initial questions that you may have to see if it fits your personal style before you sign on the dotted line.

Andrew Jubelt is an experienced developer, owner and operator of commercial estate and is a Principal at AVANT Capital Partners. He brings his years of broad based experience to the process of acquisition financing and recapitalization of under-water projects to this real estate advisory firm and lender.

AVANT Capital prefers land entitled for residential-focused, mixed-use developments in gateway markets. Loans are $2M to $10M and 9% to 11% rates. Leverage is between 50% and 60%.

For example, this passed summer AVANT Capital Partners originated a $2.5 million bridge loan, secured by a development site, in Manhattan, New York. The site is approved for the development of a seven-story mixed-use condo building. The 18-month loan carries an interest rate of 10%. The site, located on the Lower East Side, lies on Grand Street, between Orchard and Ludlow Streets.

Construction is expected to commence at the site in the very near future, as approved architectural plans were already in place at the time of the procurement. When completed, the site will have two retail units and 20 residential condo units. The property sits on a 4,369 square foot lot and has rights to construct 18,693 buildable square foot.

Are you interested in securing financing for a stabilized or transitional commercial real estate nationwide? Contact Andy Jubelt at (212) 23109779 or email Avant Capital Partners at info@avcapital.net to learn more about refinancing your commercial real estate.

Andrew Jubelt is an experienced developer, owner and operator of commercial real estate including more than 10,000 multifamily and senior housing units. His experience includes over 25 years of financing, development, ground-up construction and property management of medium to large-scale projects nationwide.

Mr. Jubelt is a principal at AVANT Capital Partners, bringing his years of broad based experience to the process of acquisition financing and recapitalization of under-water projects to this a real estate advisory firm and lender.

AVANT Capital Partners is a commercial real estate lending firm that offers bridge and conventional financing from $500,000 to $30,000,000 nationwide, with an origination and underwriting process that protects the interests of investors, correspondents and partners, while also providing flexible capital solutions to borrowers and referral sources.

This fall, AVANT Capital Partners will start rolling out its “NYC Neighborhood Reports”, serving parties to multifamily deals, as well as industrial and office projects. These reports will include:

•  A map of the neighborhood
•  Income metrics of area residents
•  Data on the value of both condominiums and multi-family units

AVANT also will offer up valuation information, showing an area’s average asking rents and average sales figures, on a per-square-foot basis. This information will likely come from brokers and developers in the various communities, who have agreed to share their opinions on the areas.

At this time, NYC Neighborhood Reports, shares data on approximately thirty portions of Manhattan, and slightly more than thirty areas in Brooklyn. Eventually the report will cover the remaining boroughs — along with Fairfield County, Connecticut, and some of the towns within it, as well as the Gold Coast in Florida.

Understanding a vital need for such reports in the recovering real estate market, the company plans to release two such studies every few weeks, for some time to come.

Andrew Jubelt and AVANT Capital Partners specialize in financing real estate that includes development sites, vacant properties, and those being repositioned. Mr. Jubelt can offer his local expertise helping you and your lender to understand your particular property, expediting the financing process.

For more information about the AVANT Capital, or the “NYC Neighborhood Reports”, contact Andrew Julbelt at ajubelt@avant-capital.com or call at (212) 231-9779.

Andrew D. Jubelt is an experienced developer, owner and operator of commercial real estate
including more than 10,000 multifamily and senior housing units, and is a principal Avant Capital Partners. Avant Capital Partners is a commercial real estate lender focused upon
financing stabilized and transitional commercial real estate nationwide. Avant Capital Partners
offers bridge loans to meet the needs of borrowers purchasing or holding properties that are
being repositioned, re-tenanted, improved or otherwise redeveloped, with a clear exit strategy
for loan repayment. This direct lending program offers competitive bridge loan rates, interest-
only payments and quick closings.

Recapitalization is defined as a process in which the amount of debt and assets of a particular entity are rearranged in order to meet a financial goal. The goal may be an attempt to limit the amount of tax owed on assets in hand, or as part of a reorganization to avoid bankruptcy.

• There are several reasons why recapitalization may be an attractive option, for example: To strengthen the business’s financial picture in anticipation of an expansion. This can include something as straightforward as replacing preferred stock options with bond issues in order to minimize the tax burden.
• To reduce future obligations and divert those funds directly into expansion projects that will make the company stronger over time by restructuring the relationship between debt and the equity currently built into the company,

Andrew Jubelt and Avant Capital Partners provides commercial mortgages for stabilized and in-transition investment properties nationwide. They offer permanent financing solutions for stabilized assets and bridge or interim loans for properties that are in-transition. Avant Capital Partners originates commercial mortgages nationwide for multifamily, commercial, and bridge loan transactions.