By Chris Macke | CoStar

Despite the fact that our legislators in Washington are having a difficult time finding a way forward on a mutually acceptable agreement to raise the nation’s debt ceiling, almost everyone in Washington agrees that federal spending must be reduced.

Although this article speaks about commercial real estate markets in Manhattan, it’s a good article on the differences of office properties.

By JULIE SATOW | New York Times

Traditionally, four classifications are used for office buildings: trophy properties, which are mostly new construction that offer tenants the latest technologies, best locations and most exclusive tenancies; Class A, where the vintage may be somewhat older but the location or landmark architecture demands above-average rents; and Class B, mostly on Midtown side streets or peripheral locations, with average rents, services and building systems. Rounding it out are Class C properties, which are often simply Class B buildings that lack services. Often, Class C buildings will be upgraded to achieve higher rents and make better use of valuable real estate or be converted into residential units.

The commercial real estate market in southwest Florida has many vacancies to fill. Few new businesses are moving here and when combined with layoffs and hiring freezes, commercial landlords are left to chase each other’s tenants for relocation leasing. This activity has pushed commercial rental rates and values into the basement since lowest rent often wins the hearts and wallets of local tenants with expiring leases.

Recent video on Globest.com

LAS VEGAS-The big flow of distressed assets in the industry never took off, says Jerry Anderson, an executive managing director at Sperry Van Ness who specializes in the Florida market. But that could change, he told GlobeSt.com’s Ian Ritter here at the recent ICSC RECon show.

Residential markets are always an indication of commercial real estate markets. Florida’s residential markets seem to be a good indication for our commercial real estate markets.

Home sales rise, prices may be flattening in South Florida
By TOLUSE OLORUNNIPA | Miami Herald
tolorunnipa@MiamiHerald.com

South Florida home sales continued to soar in May, while prices slowed their declines overall, and actually rose in parts of Broward County’s market, according to data released Tuesday by the Miami Association of Realtors.