The commercial real estate market in the Grand Valley continues to try to strengthen. Local real estate activity has remained quite busy, and 2013 has seen investor purchases for the first time since 2008. However, it’s commercial leasing activity that’s kept local commercial brokers busy into the holidays.
It happens toward the end of each calendar year. Companies large and small reassess their progress and plan for expansion in the new year. It’s also the time that small businesses renew their work contracts for the coming year. Some find that new contracts must be obtained to make up for those lost to changes in a particular market.
Following the economic upheaval experienced in the energy business after the third quarter of 2008, many smaller energy contractors were forced to move operations to North Dakota or West Texas — anywhere but Western Colorado. Many companies maintained operations here, but with a skeleton staff while business boomed elsewhere. Some companies consolidated or moved out of the area completely. Regardless of the story, companies were forced to move.
Today, expansion and contraction activities continue in many areas of the local economy. It’s conceivable growing companies in the manufacturing arena will look for additional rental space to house expanded operations. At the same time, other companies could downsize local operations because of changes in their overall business models or heavy demand for their services in other areas. Whatever your perspective, industrial and commercial sector leasing activities continue to be strong.
The fourth quarter of 2013 also has seeing growing demand for new locations in the restaurant sector from national franchises of casual food businesses as well as medium to large locally owned restaurants. Grand Valley residents seem to have a voracious appetite for every type of casual food. As the local economy continues to mature, residents will continue to see new and improved dining choices.
And, finally, the holiday season in Mesa County offers retailers a chance to rid themselves of a glut of products acquired for the Christmas shopping season. If local sales taxes are to continue to rise it will be because residents shop locally and help to build regional sales for our retail stores. This is a great time to give local stores your business. It’s also a great time to thank our neighbors from outlying communities for shopping here in the Grand Valley.