Quarterly: Winter 2001 - GWCAR - Greater Washington Commercial Association of REALTORS

CBQ >> Winter 2001 Issue

GWCAR State of the Market Attracts Record Crowd

This year's State of the Market, held February 15th at the St. Regis Hotel in Washington, was a sold-out event. GWCAR President Scott Johnston of Spaulding & Slye introduced the program speakers and acknowledged the outstanding contributions of the staff for putting together the event and the research committee for producing the 2000 Year-End Market Report. This report on construction, absorption and vacancy statistics for the Washington, DC area has been a traditional feature of the event.

Dave Bevirt of Cassidy & Pinkard led the first panel of speakers that included Steven Gewirz, Potomac Investment Properties; Tom Carr, President of Carr Real Estate; and Adam Bernstein, Bernstein Properties and Consortium Capital. The panel members shared insight on their investment plans and new development projects.

The second group was led by Phillip Thomas, also of Carr Real Estate, and featured Sam Rose, principal of Greenebaum and Rose; Michael Jacoby of Core Location LLC; and David Hannah of Teleplace, Inc. The group described their pioneering approach to the market by promoting technology-based development in the NOMA (North of Massacheusetts Avenue) area and neglected, industrial areas in other cities.

Adam Bernstein described his company as an investor that will underwrite technology companies. Tom Carr, who heads Carr Real Estate, a national REIT, said the office outlook throughout the country is slowing, but the D.C. region remains positive, particularly downtown. He expects construction costs to ease and a continuing healthy demand for class A space.

Sam Rose gave his perspective on entrepreneurial development and Michael Jacoby predicted that technology facility demand will grow to more than 150 million square feet in five years.

A data center project in NOMA that was discussed is the transformation of a former bakery and then storage warehouse at 175 R Street, N.E. by Teleplace, Inc. David Hannah described how Teleplace was able to get the appropriate zoning approved by the city government and will be open for business soon to rent out the floors to Internet service providers and other prospects. The Washington D.C. area is a major hub for world Internet traffic and locating near downtown gives companies like Teleplace and others a strategic advantage. The benefits to the city of recycling defunct real estate and encouraging new investment help diversify the economy and maintain the area as a global center for government, business and information.

View the 2000 Year-End Market Report