Austin, Texas...Why or Why Not?

The demand for more office space from various industries is driving the construction of over 750,000 square feet of office space in downtown Austin. The pre-leasing is on fire and is what is driving the development of these five spaces. The only problem is that they all are already almost 100% leased meaning there will not be an increase in office space supply. This could help the market see even more growth and show an increase the basic employment in the area which would stimulate the economy. 

With this tremendous increase Austin it is now on the verge on competing on occupancy rates with San Fransisco and New York City. Its occupancy rate has increased by 4% in the past two years. "Austin's rate rose faster than any of the top 20 U.S. markets over that period, CBRE researchers found" (Hudgins). 

The "demand for office space comes from a more diverse group of companies and industries, some migrating to the central business district from the suburbs and others arriving from locations around the nation and globe"(Hudgins), instead of them being just Texas companies. 

Overall, the increase in the space and the tenants that will fill them are from all sorts of different industries making this historical area a very attractive place to set up shop. The population will only grow, increasing employment and driving the need for office space supply. 

Works Cited: Hudgins, Matt. "Austin Office Space: More Supply, Less Demand? Guess Again." The Wall Street Journal. Dow Jones & Company, 23 Sept. 2014. Web. 30 Nov. 2015. <http://online.wsj.com/articles/austin-office-space-more-supply-less-demand-guess-again-1411507470>.

Wood is gold!

Hines L.P. is trying to break a new barrier in construction with the development of a office building that is made out of wood. It is not only environmentally friendly but something that is extremely innovative with an old-fashioned appeal. The project will be called T3, "for timber, technology and transit" (Taves). This building will be located in a popular district in Minneapolis. "If the building is approved by the city's preservation and planning agencies, T3 would be the tallest modern all-timer structure in the U.S." It will not be the only all wood building in Minneapolis, but will be the largest. 

This building would not only reduce the cost of construction but it would also impose an increase in energy efficiency. Wood has the ability to hold heat opposed to buildings constructed of steel. This is not a new concept but for a project of this size, it is setting a new precedent. "But with financial support from the timber industries and political support from the U.S. Agriculture Department, which is currently sponsoring the Tall Wood Building Prize Competition, architecture firms are hoping to reclaim wood for commercial construction" (Taves). 

Although the larger wood needed to sustain the weight for the building is not available, it can be made by forging small pieces of wood together. This could not only increase jobs in the lumber companies in the future but help bring back a style of construction that is not as prevalent in modern times. 

There are many potential problems with having a wood made building. Many cities have multiple concerns about its stability therefore they put limits on the size and height of wood made buildings. Architects and engineers are now approaching the city with remedies that can make wood extremely durable and a feasible alternative to steel and concrete. "In the end, the use of timber in construction will largely be dictated by environmentally minded landlords and tenants looking for buildings that emit less carbon to create and consume less energy to operate" (Taves).

Could this be the next big trend in development in the future? Only time will tell. 

Works Cited: Taves, Max. "Towering Ambition: Tallest Wood Office Building." The Wall Street Journal. Dow Jones & Company, 12 Nov. 2014. Web. 30 Nov. 2015. <http://online.wsj.com/articles/towering-ambition-tallest-wood-office-building-deal-of-the-week-1415755448>.

Texas is Growing...Where?

Looking at the current real estate market, the next big emerging cities with a current population under 150,000 could be almost anywhere. The correct way to get a proper estimate in order to analyze the market would be to calculate and understand cap rates, basic jobs versus nonbasic jobs, location quotients, and future population growth among other things.

If we want to find a growing city, we need to identify the basic jobs because those are fundamental to its growth. Basic jobs will provide income to the community from outside sources rather than a nonbasic jobs which will facilitate an internal revenue stream from existing dollars. To put it simply, you do not want to have money recycling in your city, rather have money coming in from elsewhere and drawing people in.

Location quotients will help us identify these basic jobs. When conducting this analysis you want to identify a location quotient greater than 1. Numbers that are greater than 1 mean that it is a basic job and that it is bringing external dollars into the market. This also means that when we comare the national to local employment in a specific industry its influence on that city or market and it's future population growth will be evident.  

Also, understanding cap rates and their effect on the current marketplace is important. The higher the cap rate the lower the prices and the lower the cap rate the higher the prices. Understanding why this would occur and how this could help a cities growth is imperative. 

We need to look at the city and say: what is going on currently and how is it changing? The more we know the more accurate our assumptions will be. 

I believe that the next big city in Texas will be Conroe in Montgomery County. This city lies due north of Houston and the Woodlands. The basic industries in this area are: mining, quarrying, and oil and gas extraction, construction, retail trade, accommodation and food services and finally other services, except public administration. These are the industries that bring new money into the economy and stimulate it. 

The static economic base multiplier is 1.39. The dynamic economic base multiplier is 20.48. Given the current employment of 127,042 in Montgomery county, the future forecasted increase in total employment will be 61,444. The forecasted total population increase is 241,408. 

As you can see, this area is on the rise and will continue to grow. The ability to calculate and predict these changes in the economy are key to real estate and the industry as a whole. 

NYC Real Estate and Negotiations

In an attempt to remove their name and assets from international speculation, two Kazakh men used The Flatotel as a scapegoat for parking their money. A New York developer, Joseph Chetrit, co-conspired with the two men who ultimately invested approximately 40 million into the Hotel. He was allegedly aware that they two men were being sough after in international courts for theft.

            In this case a suit is filled upon these three men by Boies, Schiller & Flexner LLP for damages amounting to $18 billion after this occurrence. The bargaining zone is unclear at this moment but Boies, Schiller & Flexner LLP will aspire to recapture all of the damages that have been incurred about this horrible incident.

            A distributive negotiation will most likely be used because the banker and former politician from Kazakhstan and developer Joseph Chetrit will most likely not have much bargaining power. They will hold the lesser position due to their corrupt and malicious actions. Boies, Schiller & Flexner LLP will need to claim a competitive value and recapture what it is ultimately lost from these three men, which will not all be monetary.

            In this article, this case is very centralized on ethics and what is correct and how these three men were able to go around the corporate structures that were in place for foreign investment in real estate. The real estate market is not a very heavily regulated market and this might ignite changes in the laws we see today.

            Due to the intricate nature of this case, there will be a lot of ripple effects that will be caused and seen throughout the real estate industry, international real estate investment realm, international law and so forth. The BATNA for the 3 men is not looking too good at this point in time but Boies, Schiller & Flexner LLP, hold a high position and the upper hand in this case and ultimately, negotiation.

Keeping Your Top Employees

I felt this blog was extremely relevant to what we need to think about upon opening and or running a business. As entrepreneurs one’s mind and thoughts may be all over the place but one thing is clear; you need to think long-term and also see things at face value. This will enable someone to be a successful entrepreneur. If one looks for things that might appear later on or that might be right under ones nose it could help one capitalize on even more opportunities. Also, keeping ones employees happy and treating them with respect and also acknowledging their successes and rewarding them for it will go a long way and speak volumes to one’s character.

I once had a speaker who spoke about the importance of this and also having employees know that if they show that they have put in the time and effort that will have the opportunity to move up in the company. As an entrepreneur, these things go and run full circle and will ultimately pay dividends in the future.   

Emerson, Melinda. "4 Ways to Keep Top Talent at Your Small Business." Small Business Trends. Small Business Trends, 29 Sept. 2015. Web. 29 Sept. 2015. <http://smallbiztrends.com/2015/09/ways-to-keep-top-talent.html>.

Has the Next Recession Already Begun?

Understanding the economy and where we are in the economic cycle is very important for entrepreneurs and for new small business owners. This will help one understand where interest rates will be if they need to acquire equity or if their consumers are willing to spend money on their product or service due to availability of disposable income. There are many different factors that one must take into account and this blog helps us recognize some of the most important ones.

In this blog, they noted that there are five things small business owners should be cognizant of or to do before the next big recession: “1. Grow Profitability […], 2. Preserve Cash […], 3. Get a Bank Credit Line Now […], 4. Boost the Gross Margin […] and finally Cut Costs Even if Revenue is Stable” (Moltz). These steps are quintessential to running a stable and profitable business in the largest and or most rough downturns. If ones prepares for these downturns in a timely manner then they will be ahead of the curve and so will their business. 

Citation:

Moltz, Barry. "Has the Next Recession Already Begun?." Small Business Trends. Small Business Trends, 15 Sept. 2015. Web. 16 Sept. 2015.

http://smallbiztrends.com/2015/09/the-next-recession.html?tr=sm

A Developer Respected and Admired

When asked to write about my favorite developer or someone who I admire, the first person who comes to mind is my Dad. He is someone that has been involved or spearheaded numerous different developments. Whether it be a single family community or the creation of a two surface acre retention pond, he does it to his best ability.

He is someone who develops and creates things out of a passion for the land. His will to create something that will be admired and used for years to come is why he is excellent at what he does.

Over the years he has instilled in me his favorite words of wisdom, “anything that is worth doing, is worth doing right.” This is something that resonates in all that he does. He has always been a developer and a laborer or steward of the land. He has helped in the development of golf courses throughout the Rocky Mountain Region by laying the ground work and placing the sod.

Once he was able, he started to develop small single family communities in our home town. Emerald Reserve is the name of the subdivision and he put in the best drainage system and laid the best ground work in town! All 18 lots have been sold and built on.

He takes on selective projects and loves to develop lakes and water features to accentuate the natural beauty of the land. He has a knack and vision that is unparalleled. His ability to see what can be done and do it, is something most people dream of. If you approached him today he would say he is not a developer, rather a fine tuner. He is the reason why I love real estate and appreciate it.  

Real Estate for Taste: My Nannies Land

"Nannies Land"

The home on the farm that my paternal great-great grandfather purchased in 1909 is recognized as a Recorded Texas Historical Landmark. My paternal great-grandmother, Fannie Mae Stallard (my Nannie), lived in it until her death at the age of 96. Although the home is no longer a part of my family the surrounding land still is. My father owns the remaining 81 acres of land and now a newly acquired parcel of 71 acres which is contiguous to it. It was acquired in May of 2015. This parcel of land and home and its historical background makes it the most fascinating and interesting piece of real estate from my perspective.

The land was gifted to the Horace Yeaman family from the Stephen F. Austin colony for his service in the Texas army during the Texas Revolution. He received Bounty Warrant #1862 for 1/3 leagues of land for his many years of service. He picked a piece of land in which the southeast border of the property runs through Cash’s creek in Matagorda County. My paternal grandmother told me that that they actually started to build the home on this parcel of land prior to the Texas Revolution. The shipwright or carpenter who was building the home requested that they take him to Indianola to catch a ship to go back up north to fight in the war. He promised if he made it out okay he would return to finish the house after the war, which he did.

It is a country style home with a shot gut layout downstairs meaning the rooms flow directly into one another. The upstairs boasts three large bedrooms and a balcony porch. It started as a small single story family home but was renovated a few years after its completion. A second story was added along with and a hand laid red brick chimney that pronounced the front of the home and the main living room. It is built out of cypress and square nails. It still stands north west of the town of Palacios, TX near the intersection of HWY 35 and FM Rd 521.

Pear Tree

What makes this land itself so interesting is that it has two flowing artesian wells, meaning that they did not need to put pumps on them to pump the water from the well. The water comes to the top of the well on its own. It made supplying water to the home, easy and simple.  Also on the property is the Yeamans Cemetery where four children are buried. The fence around it still stands today and is an integral part of this properties history.

In 1909, my great-great-grandfather, William Henry Stallard moved from Alabama to Palacios, TX and purchased the house and the surrounding 150 acres.

The land was eventually split in half during the mid 1900’s to put a road through and the north portion was sold off but the south section (84 acres) stayed with the family.  In 1999, our family sold the home along with three acres, keeping the 81 acres in the family. It has pear trees, which produce an abundance of fruit each year that we love to pick.   

Please open the attached link to see pictures of the home and the historical landmark on it. Also, there is a detailed history of the land and the home included. All information used above has been provided by my Grandmother (Meemaw) who lived in the home until she was married.  

http://www.rootsweb.ancestry.com/~txmatago/rthl_pa_yeamans-stallard.htm

Life and Times of Shelby Cooper

My Family: My Dad receiving the Distinguished Alumnus Award

Being from a small town in a big state makes one different than most. El Campo or "the camp" in Spanish is where I call home. It is an hour south of Houston and a short 40-minute drive to the coast. I grew up raising rabbits, goats and lambs for the Wharton County Fair and some major shows. It taught me responsibility and how to be a leader. On the other hand, volleyball on both a club and High School level was my other passion. I wish I could still play competitively but all good things must come to an end. Some of my current hobbies include: traveling, cooking, baking, weight training, interior decorating, painting, writing, networking, and playing with our families dogs; Harley (French Brittany spaniel - 3 y.o.) and Kaos (boxer -2 y.o.).



Graduation December 2012

After High School, I went on to attend Texas A&M University in the fall of 2009. During my time at Texas A&M I was able to go on two study abroads. The first was in Maastricht, Netherlands where I studied business ethics and the second was the Marketing Study Abroad trip (7 different countries). Both were amazing opportunities and times in my life that I will never forget. In December of 2012, I graduated a semester early and received my Bachelors of Business Administration degree with a major in Marketing and a Certificate in International Business. Instead of jumping right into the workforce, I decided to take a year off to chase my childhood dreams of becoming an actress and a plus size model. I wanted to set a precedent for young women and be a role model. Setting an example and showing them that no matter what size you are, you can still feel and look beautiful on the inside and out. My dream came to fruition and I was represented by Page.713 for modeling and Trinity Talent for acting. Confidence is key. "Walk the walk and talk the talk!" I decided to rescind my contract with Page.713 and was able to be chosen to have Nikki Pederson Talent represent me. In May of 2015, I fulfilled a life long dream and went to New York to meet with multiple agencies and do a photoshoot. It was an eye opening experience that ignited my passion to set a good positive example for young women of all shapes and sizes.







Photoshoot in Brooklyn



During this year "sabbatical," I also worked for my Dads' company revamping his website http://emeraldsodfarms.com, working as a ranch hand, configuring spreadsheets, amortization schedules and collecting data and research on Western Water Laws. Ring-Wraps, LLC also became a huge part of my life. http://ring-wraps.com Working at trunk shows alongside a young Aggie entrepreneur, with a phenomenal product is very gratifying and humbling. I became in tune with my passion for sales and capitalized upon it with Ring-Wraps! I am honored to wear their product every day and to have it "embrace the tradition" around my precious Aggie Ring.



In January of 2014, I began looking for something more in life. I stumbled upon a job at an international customs brokerage firm but my time there was short. I realized quickly that it was not what I wanted to do with my life. Being someone or doing something that does not make one happy is not worth the extra stress or the heartache. Everyone should love what they do every minute of every day. I worked hard long hours and gave that job my all but in the end it was a great company that simply did not suit me.

 

Time is precious and as fate would have it, someone had a plan for me. During my year off, I had worked towards getting my Texas Real Estate Salesperson License. I acquired it in December of 2013 but had never activated it due to my job restrictions. With my passion for real estate I began inquiring about the Master of Real Estate program at Texas A&M and in a months time I was admitted to the program for the Fall of 2014. I was ecstatic! I have Dr. Peterson and all the members of the MRE program to thank for all the advice and guidance he gave me in such a short period of time. I will be graduating in December of 2015, ready to hit the ground running with all the knowledge I will have acquired.

 

Fall 2014, I began the real estate program and life was very interesting and it still is. It was full of team work, intense financial problems and the opportunity to meet a lot of influential people in the real estate world. Networking became integral to what the program was about and how it functioned. During this time I helped my Dad with the sale of our company and land in Colorado. It was a huge undertaking while in my Spring semester of the MRE program, but it was for my family, which is of the upmost importance.

 

Now I am in my last semester and have completed my internship with Caldwell Companies. I focused on the brokerage aspects of real estate and after completing my internship I stepped into a role at Aggieland Title Company. I am their Director of Business Development, overseeing anything and everything in regards to internal and external relations. It has been a blast immersing myself in what has been an exciting and intrinsic industry to learn.

Canyoning in Austria

.....When thinking about what I want to do in the short term, I can see myself working at a Consulting firm and traveling all over the world. International Real Estate is something I am truly passionate about. I love other cultures and traveling to new places. Looking further down the road, I hope to open my own multi-faceted Real Estate Company that provides a wide range of services. I do not want to pigeonhole myself. I want to be good at a vast array of things.

In my Development class with Dr. Peterson, I hope to learn a solid foundation for development and its processes. This realm of the Real Estate industry is key and understanding it, makes one more well rounded. In my previous Land Development class I hoped to learn and make correct and applicable market analysis for any and all types of Real Estate. I am able to do that now and I will eventually be able to advise others on what they are buying and the highest and best use of it. My objective is to build a strong backbone of knowledge. After all, "knowledge is power!"

Some things on my bucket list are: hike up to the summit of Mount Kilimanjaro, return to Auckland, New Zealand and do the SkyJump off the Sky Tower, go on an African Safari, run with the bulls in Spain, scuba dive with sharks in the Great Barrier Reef and master a black diamond slope. I am a very adventurous person, therefore, I have many things I would like to do but they are too numerous to list.

Most importantly, I am a driven individual with the mind set of, "anything that is worth doing is worth doing right!" ...... Thanks and Gig'em!

4 Content Writing Mistakes Small Businesses Make

Marketing is something I am very passionate about. This article enables one to see where some of their largest communication mistakes lie. Communication is a key to a successful business, whether it is large or small. In this blog, it depicts the important and key information that one should be aware of and or steer away from when communicating to their audience.

The four main points that this article noted as the mistakes to avoid are: “1. Never use Clichés or Metaphors, […], 2. Cut Out Verb Phrases, […], 3. Needlessly Complicated Words, […], and 4. Words with Private Meaning (Patanker).  

As a small startup company your audience should feel as though they are receiving relevant information. This means that the ability to be precise and concise is of the upmost importance. You want to feed your audience enough information to keep them entertained but not too much that it will be overwhelming or confusing. Finding the happy medium between the two is where successful communication lies.

           

Citation:

Patanker, Vinay. "4 Content Writing Mistakes Small Businesses Make." Small Business Trends. Small    Business Trends, 27 Aug. 2015. Web. 01 Sept. 2015.