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Warning: I was pricing downtown Detroit office space like it was 2015

I was working on a pro forma for a small office building near Grand Circus Park, using the same $18 per square foot rate I'd seen a few years back. A broker I trust finally told me point blank, 'You're about $5 short, the market moved.' That one comment made me go back and look at the actual comps from the last 18 months, and he was totally right. How are other people keeping their rental comps current without getting burned?
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graydavis
graydavis6d ago
Man, that's a tough spot. I've been burned by old comps before too, just on a smaller residential deal. What I do now is set a calendar reminder every six months to pull fresh data from the county recorder's site. I also check those broker market reports, even though they're always a bit optimistic. It's a pain, but it's better than finding out you're way off.
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john650
john6506d ago
Yeah, and those broker reports need a reality check sometimes.
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