May 2011 - ECONOMY

Source: Property Management & Managing Risk
              Robert C. Kyle & Floyd M. Baird, RPA/SMA

A neighborhood that has a diverse business sector is in better economic condition than an area that depends on a single major industry for its support.  The Property Manager can draw on several sources of statistical information for help in assessing the economic health of a neighborhood.  Brokers, Appraisers and local newspapers are fruitful sources, as is the local Chamber of Commerce, which should be able to supply data on the number and type of business in the area, the volume of their activity, and the general trend of growth in the past and for the future.  Rental rates currently being charged in the neighborhood are another sound indicator of the present economic strength of the real estate market.  When space is in short supply, rents are high.

Return to prior page

This web page was updated on 04/27/2011.