A recent program held by the Pima County Real Estate Research Council (PCRERC) featured speakers entrenched in commercial real estate and investment south of the Arizona-Sonora border in the state of Sonora, Mexico. Presentations opened many eyes about the opportunities for U.S. companies and individuals to locate and invest in Sonora.
PICOR Connect | Trends in Commercial Real Estate
Compared to 2010, retail property occupancy levels for 2011 were up almost 16% in PICOR's portfolio over the previous year. The average occupancy rate for PICOR’s managed portfolio was 80%, compared to 69% in 2010. While market wide vacancy was 91.6% at year end, PICOR's role in turning around distressed and receivership properties means a lower occupancy in our portfolio; however, year over year gains in traction were significant.
The Tucson medical space market has been dynamic through the economic recession, perhaps more so than any other sector of the commercial real estate market. Recent activity has shifted from the heady days of 2003 through 2008, when the purchase of medical office buildings was all the rage, to the currently more conservative world of leasing office space. To be sure, all activity, sale or lease, has occurred at significantly lower price levels, with prices and rents down 10 to 15% in medical properties, albeit significantly less than declines in the market for general office space.