As we dive head-first into 2021, we’re excited to share this study we co-produced with our partners at ReSquared on the state of tenant demand and leasing trends.
In conjunction with some of the powerful data from ReSquared, here are the highlights of our study.
- Tenant Demand Metrics gleaned from the powerful data within the Resquared platform — What types of businesses are brokers and landlords seeking to fill vacancies?
- Aggregated Application Analytics from Otso on the financial strength and the types of Tenants executing leases right now.
Last year was an enormously challenging year for most tenants and commercial landlords due to the pandemic, especially for retail tenants with space and location as a core part of their ability to serve customers. We saw a massive reduction in leasing activity in 2020, roughly 70-80% vs the previous year. However, some industries saw growth while others are bouncing back.
Restaurants are making a big comeback in search analytics, as is medical retail (dentistry in particular). If you’re hunting for deals in your local market those are two types of businesses to focus on.
This is a 100% increase since Q2 of 2020. So what does this mean? Not only are things picking up, but they’re picking up for some of the industries hit hardest by COVID-19.
At Otso, we strive to track overall market statistics in combination with what we’re seeing in terms of application and guarantee activity for our customers. Commercial real estate is incredibly diverse and location matters. However, we do have some broad trends we can learn from.
Some property types are thriving, industrial is one of those asset classes that continues to grow at a torrid pace while office and retail have been significantly impacted.
We have also found Tenants to be significantly concerned about things like working capital and flexibility of their lease terms as we move into Q2 of 2021.
So what can leasing teams and ownership groups focus on in 2021 to be most successful in both attracting tenants and serving them most effectively?
You can learn more by downloading our full report here.
Visit ReSquared to supercharge your prospecting and targeting efforts for your commercial properties. Resquared offers owners and leasing managers of commercial retail properties to identify, source, and contact prospects for their assets.
Their innovative technology allows for efficiency, convenience, and high-conversion research including marketing tools to improve leasing and data analytics. In 2020, their Re2Recruit application became the #1 tool for finding non-chain retail tenants.
At Otso, we can help bring more deals and better decisions to your assets. We write corporate guarantees on behalf of tenants to provide an alternative to traditional lease securitization. Otso unlocks essential capital for tenants and saves landlords on upfront deal costs while increasing their coverage against tenant default. Otso is an option and does not preclude landlords from using cash, LOC’s, or any other form of collateral securitization on any deal, the choice always lies with the landlord and tenant on every lease
Let’s talk if you’re ready to start closing deals faster, with less risk against default!
Want more exclusive content like this? Check our comprehensive guide to leasing your building in 2021.