Nashville State Of The Market: Watch That Absorption Closely
How much longer can Nashville boom? We'll delve into that question at the first-ever Nashville State of the Market event by Bisnow in July. But we got a preview from Holladay Properties partner Allen Arender, one of the commercial real estate experts who'll be presenting.
"The underlying strong fundamentals in Nashville that brought us out of the recession early and quickly still exist, and will continue to exist for the foreseeable future," Allen tells us.
"However, the hyper-absorption that we've seen across all property types is beginning to be met with new supply." In office, industrial and retail properties, there's probably still pent-up demand for quality space, but users are having to adapt to a different pricing environment from their last lease.
"In the multifamily and hospitality sectors, the amount of supply scheduled to come online has most investors watching carefully to see how the next round of deliveries are absorbed," Allen adds. With all the deliveries in those asset classes, he believes it's likely absorption will moderate to a more "normal" pace over the next few years.
The Nashville State of the Market will be held July 19 beginning at 7:30am at the Doubletree by Hilton. Other speakers will be from Bristol Development Group, Colliers International, Crosland Southeast, SouthStar and SWH Residential Partners. It's never too early to sign up.