MARKET SPOTLIGHT: CUMBERLAND CID

By Peyton McWhirter, SIOR

The Cumberland submarket, although only 6.5 square miles, contains over $4.3 billion in total real estate assets and continues to have an enormous impact on Georgia’s economy. Located in Cobb County, the submarket is headquarters to many Fortune 500 companies including the Braves, Home Depot and The Weather Channel. Cumberland has four major interchanges that provide unparalleled access to the market and has one of the best circular road systems of any Atlanta submarket.

 

Seventeen percent of Cobb County’s jobs reside in the Cumberland submarket. The area is evolving into a community that offers upscale hospitality, diverse leisure and entertainment, attractive housing and fast-paced businesses. More than 5,600 residential units are in varying planning stages, including Galleria 800 Apartments, a multi-family Childress Klein development delivering 284 units. While development opportunities continue, the market is maintaining a commitment to the environment and recently announced that it tripled its greenspace from 264 to 840 acres.

 

There are 27.2 million square feet of office space in the market, with an average rental rate of $25.41 per square foot. In 2019, the market saw overall positive absorption. McWhirter Realty Partners has various listings in the market for either sale or lease

 

UNDERSTANDING LEASES

By Susan Dorr, CCIM, CPM

Commercial leases are complex and can be confusing to a prospective tenant. Not only are there multiple types of leases, but they vary by market and property. In a Gross Lease, the tenant pays a flat rate which includes all operating expenses associated with the property. In a Net Lease, the tenant pays a base rental rate and all or a portion of the operating expenses to the landlord. Some Net Leases also require the tenant to pay portions of capital expenditures, either directly or amortized.  Variations to Gross and Net Leases (i.e. Triple Net, Modified Gross or Absolute Net) all affect the responsibility of the tenant for payment of operating expenses and capital expenses.

 

The terminology for repayment of operating expenses varies in lease documents (i.e. pass-throughs, CAM reimbursement, operating expenses recovery).  Additionally, there may be caps on controllable or non-controllable expenses and base year or operating stops which add to the confusion.  In addition, some leases may be expressed on rentable square footage while others are expressed on useable square footage.

 

The trend is for landlords to shift as much cost as possible to the tenant. Therefore, when comparing options for leasing a property, the prospective tenant should request an operating expense history of each property, dissect the operating recovery language in each lease and prepare a side-by-side analysis to determine the best rate. 

 

COMMERCIAL LANDSCAPING IS MORE THAN JUST CURB APPEAL

By Greer Hughes

 

Landscaping your commercial property creates a welcoming appearance but it can also help reduce utility bills, conserve water and add functionality for employees.

 

Energy efficient landscaping can protect your property from extreme weather while also lowering heating and cooling bills. For example, planting shelters buildings which can make hot summers and cold winters more bearable and less expensive. Tall trees and shrubs protect the property from wind, provide shade and can even lessen sound from traffic. This all makes landscaping pretty and practical.

 

Incorporating water management ideas into commercial landscaping can help during Georgia’s frequent droughts. Landscapers often rely on native plants which require less water, incorporate more low-water plants and improve irrigation methods to keep landscapes green and healthy. Hardscaping is another method that cuts down on water use and is less ex- pensive to maintain.

 

Functional landscape design that include bike paths, outdoor cooking areas, gardens and even outdoor workspace entice both customers and employees, making your property an even bigger asset. Georgia is fortunate to enjoy all four seasons and this is an attractive way to make the outdoor space useful year-round.

Property Spotlight

FOR LEASE:

75 Canton Professional Park 1335-1343 Canton Rd.

Marietta, GA 30066

PROPERTY DETAILS:

  • A 5 Building, 98,650sf Full Service Office Park
  • 1.4 Miles from WellStar Kennestone Regional Medical Center
  • 500sf to 10,000sf available for lease
  • Lease rate: $15.95sf full service
  • Tenant controlled utilities
  • Generous 3.5/1000 parking ratio
  • Tenant mix includes legal, medical, educational and corporate offices
  • AlsoforsaleorBTS:1.87+/-acregradedpadapprovedfora20,000sfofficebuilding

BESSEMER, AL: UPDATE

By Tanya Shubert

The increased demand for medical leasing in Bessemer, Alabama, continues due to the stimulation of growth in retail, restaurants and housing to support the new Amazon Fulfillment Center.

 

McWhirter Realty Partners was successfully negotiated a new 18,613 square foot lease at the UAB MedWest Campus to house Cahaba Medical Care.

 

Cahaba Medical Care is partnering with the University of Alabama at Birmingham to enhance the future number of primary care physicians and to minimize the current shortage. The UAB Campus location will allow Cahaba to consolidate other locations and provide a training center for primary care physicians.



Cahaba Medical Care currently has over 50 physicians serving Alabama communities

REAL ESTATE DESIGNATIONS

By Susan Dorr and Peyton McWhirter

 

CCIM stands for Certified Commercial Investment Member. The CCIM lapel pin denotes that the wearer has completed advanced coursework in financial and market analysis, and demonstrated extensive experience in the commercial real estate industry. CCIM designees are recognized as leading experts in commercial investment real estate. For more information, click here.

 

The SOCIETY OF INDUSTRIAL AND OFFICE REALTORS® is the leading global professional office and industrial real estate association. With more than 3,400 members in 686 cities and 38 countries, SIOR represents today’s most knowledgeable, experienced, and suc- cessful commercial real estate broker- age specialists. For more information, click here.

 

CERTIFIED PROPERTY MANAG- ERS® (CPM®) are recognized as experts in real estate management, and they are at the top of the profession. 70 percent of those who hold the CPM® desig- nation hold the highest management positions in their offices (owner/partner/ officer/director). For more information, click here.