Commercial CONVERSATION
TERE BLANCA
Cushman & Wakefield
Tere Blanca is senior
managing director of
Cushman & Wakefield
of Florida and recently became chair of the Beacon
Council economic development partnership in Miami.
A challenging real estate
market in South Florida
doesn’t faze Blanca, who says
enthusiasm and energy are
contagious within the industry, and urges professionals
to stay focused on the times
ahead.
Blanca, who has earned a
spot on this year’s Real Estate
Florida Women of Influence
(see page 27), maintains an
upbeat attitude while com-
ing face to face with the challenges in the South Florida commercial sectors. She recently sat down with Associate Editor
Crystal Proenza to share her views and advice on the subject.
As head of C&W’s South Florida operations, you know better
than most what this market is going through. Which sectors are
currently affected by the economic downturn and the residential crisis, and in what way?
I think all commercial sectors have been affected, some more
than others. The financial credit markets started impacting investment sales during the latter part of last year, and this credit
crisis in the capital markets has continued throughout this year.
Until there is more alignment between sellers and buyers in
terms of value expectations, and until the credit side of the
business opens up, we won’t recover the vibrant activity that we
experienced in past years.
What has happened is that we are going through a very organized process of de-leveraging. That had to happen because
real estate was never meant to be over-leveraged. The time of
the highly leveraged player in real estate is gone.
What direct effect has the housing downturn had on the market?
Other than investment sales, as a result of the housing downturn the industrial sector has felt a significant impact given that
there are large users that were tied to the residential housing
boom here. Demand for drywall, furnishings and supplies directly tied to housing are gone. Major industrial users have had
to contract operations, some have gone out of business and
some have had to sublease significant portions of space. However, Miami-Dade County has been somewhat protected by the
international trade activity that has allowed us to maintain a
healthy market.
What about the retail sector? Is there any upside to these daunting economic conditions?
We’ve had very robust activity in the retail side of the business
in Miami with continued interest from outside retailers wanting
to come into our market. Certainly more opportunities are
available, because some of the retailers that have been present
here have felt the impact of the slowdown in the economy and
have put spaces on the market.
South Florida still remains under-retailed. We think the region in general might be impacted for the short term, but we
have great opportunities going forward to continue to satisfy
retail demand and service the local community.
What can brokers do to make it through this time of slowed
transactions?
Clients are looking for communication, particularly during
times like these. From our perspective at Cushman & Wakefield, we see ourselves as advisors. Be sure to communicate at
all levels, and overcommunicate. Be consistent in the way you
approach projects. We are strategic and proactive as opposed
to reactive. We have been collaborating across teams to bring
to bear a higher percent of available talent. Navigating through
a challenging time, there’s always opportunity.
In the coming year, you will play a big part in the Beacon Council’s plans to bring more business to Miami. What is your vision
for Miami’s future?
We are a young city that has grown very fast. The last three years
has brought big change to our communities. We’re working
through maturing and becoming a world-class city, and I think
we have incredible potential and opportunity ahead of us. I
picture Miami as a global business community, or the model
global community. —REFLA
You can read about more of the Beacon Council’s plans
for South Florida on GlobeSt.com at www.globest.com/
refla/1011_08/ beaconcouncilplans.html.
