Jackson Hole, Wyoming Commercial Real Estate Report

It’s been a while now since I’ve used this forum to address any topic directly relevant to our Industry. There’s a simple reason for this, day after day I see, I read, I hear reports from various sources providing commentary and projections on the future of the market and the industry, so the last thing the world needs is another wind bag blowing smoke.

Here are the facts for 2009 in the Jackson Hole Commercial Real Estate Market;

Total No. Leases: 7
Total No. Building Sales: 4
Total No. Lot Sales: 1
Total No. Transactions: 12
Total Volume: $17.9m

Notes:

1. Transactions include commercial leases, commercial building sales and commercially zoned land sales as reported in the MLS.

2. Wyoming is a non-disclosure state so not all transactions are reported.

3. The majority of lease transactions are conducted outside of the MLS directly between the Landlord and the Tenant.

What does this mean? Truthfully - Not very much. By the numbers 2009 was a more ‘normal’ year in the context of the past decade. 2005, 2006, 2007, 2008 were ridiculously high, 2000, 2001, 2002, 2003, 2004 were generally on par with 2009.

However, coming off a 4 year sugar high, 2009 felt like detox for our industry and for our city and county revenue streams. Less permit activity, less fees paid for applications etc.

As we know, perception is reality. 2009’s perception was pain. 2010’s forecast…you’re not going to get one here, try the hundreds of commercial commentating windbags, take the average of the forecasts, divide by your age and then stand on your head. That should give it some clarity.

Seriously, what we do know is that there is little to no commercial lending available at present and nationally the CMBS market will face many new challenges in 2010 as existing loans fall due without a new vehicle to pick them up. Until the national CMBS picture gains some clarity and direction, we don't expect to see any significant recovery in the Commercial Real Estate market.

Meagan Hill is a Commercial Real Estate Investments Specialist and Principal of NAI Jackson Hole servicing the Jackson Hole WY and Teton Valley ID markets.

For further information, contact Meagan at (307) 734-8700 or meagan@naijacksonhole.com

Wyoming Tax Benefits for Investors

By Meagan Hill

Happy New Year! We know that many of you are spending the time between Christmas and New Year trying to reconcile your records and finalize $ before the end of the Tax Year. As you wrestle with these challenges, take a minute to consider the Tax Benefits of Investing or Residing in Wyoming;

No State Income Tax;

If you’re unfortunate enough to still be working, no state income tax

= more disposable income

No State Company Tax;

If you’re an entrepreneur, no state company tax
= more profit

No State Excise Tax;
If you buy groceries or gas, no state excise tax
= more disposable income

No Tax on the Sale of Real Estate;
If you sell Real Estate in Wyoming, no tax on the sale of real estate
= more capital gain for You

No State Gift Tax;
If you are a generous soul, no state gift tax means you can gift real estate to your heirs without paying gift tax
= more inheritance for your heirs

No State Inheritance Tax;
Wyoming’s estate tax is tied to the federal tax credit and applies only to those with substantial estates.
= more inheritance for your heirs

No Tax on Out of State Retirement Income;
= more disposable income

Set up a Dynasty Trust
protect your assets from federal estate taxes for up to 1,000 years;
= more inheritance for your heirs

No Tax on Mineral Ownership;
a ‘hidden’ property tax that does not exist in Wyoming
= more disposable income

No Intangible Taxes;
no taxes on stocks and bonds
= more disposable income

Low Property Taxes.
2009 mill levy is 57.32 for teton county, WY
= more disposable income

When you’re done counting your $ and realizing the opportunity that Wyoming presents, take a minute to remind yourself of the ‘work-life’ balance benefits;
• Grand Teton + Yellowstone National Parks;
• Fly Fishing + Big Game Hunting;
• Skiing, Hiking, Mountain Biking; Rafting; Golf.

Still questioning my logic? Is the devil inside arguing with you? Look at the numbers.

Commercial Office + Retail suites or entire buildings are down 20-25%.

Start small - use your IRA to Invest in a Commercial Office or Retail suite for $500,000-700,000; or

Go for it - Leverage the opportunity presented by the economy with the rare offering of several landmark buildings in Jackson Hole.

To maximize all the tax benefits you will need to become a resident of our fine county. Lucky You! Right now, the Median Home Price is down 25% from 12 months ago.

Still unsure, give us a call.

Meagan Hill is a Commercial Real Estate Investments Specialist and Principal of NAI Jackson Hole servicing the Jackson Hole WY and Teton Valley ID markets.


For further information, contact Meagan at (307) 734-8700 or meagan@naijacksonhole.com

Routine Building Maintenance...and...The SWAT Team

By NAI Jackson Hole broker Meagan Hill


Now that you have your Building Audit complete and you’ve separated your Routine Maintenance from your Long Term Replacement schedule, do not file these papers in the drawer. It’s time to do a little short term planning and preparation.

Routine Building Maintenance provides an exceptional income stream for many Contractors in our area. With a little forward planning, you can find the best Contractor for the best price AND why not secure this service for the future?

Each year we all need to give our Property some lovin’ – clean windows, clean carpets, sweep chimney, clean outside light fittings, replace light bulbs, snow removal, lawn mowing, painting, handyman repair work, the list goes on. Each of these items are essential to maintaining our Asset Value and maintaining our Tenants.

Instead of making the hurried call in the spring, consider listing out all of these Routine Building Maintenance items and inviting bids from local Contractors to complete this work for you over the next 3 years. Imagine being able to forecast your Maintenance Budget out 3 years with some degree of certainty. Imagine being able to schedule your Maintenance Work in advance with confidence that you will have the right Contractor at the right time for your Property and your Tenants business.

All the planning in the world cannot completely protect you from the inevitable emergency in the middle of the night. This is where your own Property SWAT team comes into play. While many of you probably hold a list of folks you can call at a moment’s notice, few have any idea what it will cost and all of you are terrified of what it will cost in the end. Don’t be. Use the Routine Maintenance Bid process to get a schedule of values from each Contractor so you know what their Call Out Fee and Hourly Rate will be in the middle of the night. Use this information as part of your selection process and then put a Budget forecast aside for Emergencies.

All done? Congratulations, you’ve reached Property Owner Nirvana. Daunted by the thought of the task? Contact our office for further information.

Meagan Hill is a Commercial Real Estate Investments Specialist and Principal of NAI Jackson Hole servicing the Jackson Hole, Wyoming and Teton Valley, Idaho markets.  Check out her commercial real estate blog on ActiveRain by clicking here.

For further information, contact Meagan at (307) 734-8700 or meagan@naijacksonhole.com

The Equestrian Dream: Teton Saddleback Vistas [NAI Global PowerSale Property]

Check out the only first-class equine-specific development in the Teton Valley area:



For more information on Teton Saddleback Vistas, please contact NAI Commerce One / Jackson Hole broker Meagan Hill at (307) 734-8700.

Boom Town, U.S.A.-- Pinedale Wyoming -- ABC World News Report

Where is the best place for job-seekers in the U.S.A.?

According to ABC's World News, Pinedale, Wyoming has the lowest unemployment rate in the country. Charles Gibson reports: http://www.abcnews.go.com/Video/playerIndex?id=7465049

My sister Kirby lives in Pinedale and forwarded me the link to this story. She works at the Pinedale Aquatic Center, a $20 million public facility that is featured in the clip. My brother-in-law works for a gas company in Pinedale. They enjoy living in Wyoming, and my family loves visiting because the Aquatic Center is such a blast. Pinedale is about 75 miles southeast of Jackson Hole.

If you have questions about Pinedale commercial real estate, don't hesitate to give us a call at (307) 734-8700 or email our Wyoming brokers Steven Keim or Meagan Hill.

Interested in Pinedale, Wyoming jobs? Check out the job board at Pinedale Online.

Jackson Hole Ranked in list of Top Ten Adventure Towns

Tourism Review.com recently ranked Jackson Hole third in its list of the Top Ten Adventure Towns of the World, touting it as a place that "lives from adrenaline tourism". Jackson Hole gets 459" of average snowfall! Check out the article here. If you want to talk to a Jackson Hole expert (in adrenaline tourism AND commercial real estate), contact Meagan Hill at the NAI Jackson Hole office!

Jackson Hole News & Guide Article on May 1st PowerSale

Check out the article by by Kevin Huelsmann of the Jackson Hole News & Guide on the upcoming PowerSale!
2 big Victor parcels head to Web auction: 1 is 60 acres; the other is 25 acres.
Jackson Hole, Wyoming, April 8, 2009:
http://www.jhguide.com/article.php?art_id=4456

NAI Jackson Hole Office Set to Open

NAI Commerce One is pleased to announce the opening of its new NAI Jackson Hole, Wyoming Office, located at 320 Broadway in Jackson, Wyoming, in cooperation with Windermere Real Estate of Jackson Hole. NAI Jackson Hole will serve customers in Western Wyoming, covering the market area of Teton County, Sublette County, and Lincoln County. NAI Commerce One is also opening another office in Driggs, Idaho to serve customers in the Teton Valley. Clinton Arnold will be the lead local broker at the new offices.

NAI Commerce One Director Steven Keim said, "We are excited for the opportunity to have an increased local presence in the Jackson Hole market, and we are looking forward to making NAI Global's vast resources available to the Wyoming business and investment community."

NAI Jackson Hole will be the Wyoming flagship office for NAI Global, the premier network of independent commercial real estate firms and one of the largest commercial real estate service providers worldwide.

NAI Global manages a network of over 5,000 professionals with 325 offices in 55 countries throughout the world. NAI professionals work together with our global management team to help our clients strategically optimize their real estate assets. NAI offices around the world completed over $45 billion in transactions in 2007, and managed over 200 million square feet of commercial space.

In 2007-2008, NAI Global received top industry rankings:

Ranked #3 brokerage organization by Real Estate Forum
Ranked #2 brokerage network by Commercial Property News
Ranked #4 Lipsey's Top 25 Real Estate Brands