About Tim Reamer
Tim Reamer provides commercial real estate brokerage and consulting services specializing in investment property (multifamily | commercial | NNN), retail/restaurant site selection, and general commercial representation.
He has worked with national and regional brands to identify sites through lease and purchase negotiations; net lease investment transactions, and was recognized in 2012 for being in Top 5% of all agents.
Tim draws on his nine years in economic development; education in real estate finance and analysis; and practical experience in CRE investment to ensure clients are always well informed and aggressively represented.
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From a seller’s perspective, the title of this post likely represents the two most pressing questions related to the sale of a commercial property. Of course, the answer, given so many variables, is a very definitive “it depends.” And so it does, on the location, use, condition, and countless other factors that your commercial representation should discuss with you.
However, generally speaking, you will see from the chart below (taken from the Harrisonburg Rockingham Association of Realtors), the commercial property realizes a sales price of approximately 86% of the original list price in roughly seven and a half months. (Note: reported sales listed for comparison purposes were removed).
| Commercial Sales Previous 12 Months (June 09-June 10) | |||||
| Low | High | Average | Median | Total | |
| List Price | $20,000 | $2,750,000 | $525,859 | $314,000 | $11,568,900 |
| Selling Price | $10,000 | $2,300,000 | $454,250 | $285,000 | $9,993,500 |
| Sold/List(%) | 50.00% | 100.00% | 84.09% | 85.65% | – |
| Days on Market | 28 | 523 | 233 | 227 | – |
This begs the questions…what about my property or my town and how does this compare to previous years. The answer to these questions will be the topic of future posts in which individual communities, property types, and year-over-year comparisons will be detailed.
Of course, if you can’t wait or have suggestions for future posts, feel free to contact me (tim.reamer@cottonwood.com or 540-271-7525). I look forward to hearing from you.
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