And the
winners are ...
The
most significant real esate projects of 2001.
-
All aboard — Roanoke's downtown
renovation preserves its past
- Developer unsnarls traffic congestion
as part of the deal
- Sensitive project tests broker's
deal-making skills
- Shipbuilding complex boosts
downtown Newport News
- Turning Basin project could
be turning point for Canal Walk
- Other Nominees
by Paula C. Squires
What
were the most significant commercial real estate projects
in 2001? To find out, Virginia Business once again teamed
up with the Virginia chapter of Certified Commercial
Investment Members. A panel of nine judges selected
five winners from among 17 entries submitted from around
the state. What caught their eye? Creative deal-making
that overcame obstacles, complex negotiations and projects
that influenced communities in a big way. "We were
looking for projects that made significant contributions
whether it was in terms of employment or a stimulant
for more development or redevelopment," says C.
Lee Hilbert, president of Grubb & Ellis/Harrison
& Bates in Richmond and leader of this year's judging
committee.
The
winners cast a sunny glow on a pretty glum year for
commercial real estate. A recession and the terrorist
attacks of Sept. 11 slowed business in much of the state.
In Northern Virginia, a technology bust dumped millions
of square feet of sublet office space back on the market.
In the Washington suburbs and Richmond, vacancy rates
climbed into the double digits and rental rates fell
as brokers braced for the worst downturn since the 1980s.
This time around the drop was more tenant than landlord
driven, with tech companies failing to renew leases
or going under. Hampton Roads, with a smaller technology
community, escaped the huge dumping of space.
Prospects
look brighter in 2002. With Washington fighting a war
on terrorism, government defense contractors are expecting
new, fat procurement contracts. More work translates
into expanded operations, and companies are expected
to absorb some of the empty office space - a trend that
could boost markets in Northern Virginia and military-dependent
Hampton Roads.
Looking
into his crystal ball, Scott Price, director of research
for Delta Associates, a real estate research firm in
Alexandria, says, "Conditions are still soft, but
we expect to see increased activity this year - a demand
of 5 million square feet as a result of the ramp-up
in defense and spending for procurement." In the
meantime, a toast to the exciting projects of 2001.
Return
to Virginia Business - April 2002
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