Real Estate Markets May Fade, But Marketing Efforts Should Not

Given the indicators (and instigators) of an impending recession, how can real estate companies combine past lessons with new approaches to weather the next downturn?

Street sign that says "CHANGE AHEAD" indicating a possible recession.

Real estate developers enjoying a period of economic expansion approaching the longest in history have started to see troubling signs in 2019. The inversion of the bond yield curve, when long-term rates sink lower than short-term ones as they did in March, has been a reliable predictor in the past of decline. The trade war with China is certainly not helping matters either, with farmers, manufacturers and many others licking their wounds.

Economists gauging the causes of a recession look to real GDP, real income, employment, industrial production and wholesale-retail sales. And obviously real estate, the places in which we work, live, play, spend and more, is connected to everything. 

What should real estate firms do to protect themselves late in this economic cycle? Having a detailed plan is always a good idea, one that focuses on preserving income and limiting exposure. It is also important to maintain critical business connections and relationships through a smart, consistent marketing platform.

New Regulations Affects on a Recession

While new regulations in reaction to the Great Recession last decade have made large-scale systemic failures in the U.S economy less likely, the nature of capitalism, that of risk, expansion and often times pushing boundaries, remains the same. Easy debt and debt securitization were major contributors to the financial fever triggering the last downturn. According to TriStar Real Estate Investment, a tremendous amount of private capital has replaced the lenders constrained by the last round of regulatory checks and balances. It’s a creative response to a capital need, but it’s also unregulated. “Private debt funds may be the next CMBS type of crisis in the making,” said TriStar’s Duncan Gibbs.

Real estate players can’t control market moves, only their own. While no two economic cycles are the same, some things should remain constant. What should real estate firms do to protect themselves late in this economic cycle?  CRE companies must stay on top of market conditions and industry trends, of course, but they also should be committed to leveraging the best partners and marketing practices to help them stay on course when the economic seas get rough.

New Technology for Marketing During a Recession

The old days of abandoning a CRE firm’s marketing budget when times get tough constitutes an egregious error in today’s business world. That’s because there are very knowledgeable marketing partners out there that understand the ins and outs of digital strategy and are enabled by the latest game-changing tech tools — display advertising, mobile advertising (e.g. geofencing), paid search, targeting/retargeting and more —to help them be more efficient and spend more wisely to connect with highly targeted prospects. When others cut and run in a down economy, there’s not only less competition, but also more opportunity to direct connect and sow the seeds of future success.

At infinitee, we’re INto tracking trends that impact our clients. For nearly 30 years, our Atlanta-based agency has helped clients capitalize on trends with branding, marketing, strategy, print and digital media, video and photography services. To learn how we can help your company, call Jocelyn Smith, Founder & CEO at 404-231-3481, x119.

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Accesso Client Grid

AT A GLANCE

Hallandale Beach, FL

Accesso, with offices in 10 metropolitan offices across the US, is a full-service, vertically-integrated commercial real estate investment manager, owner, and operator. In 2019, they celebrate 15 years in business with $3 billion in assets and the management of 15 million square feet of commercial office space.

Partner since 2018

Hines

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The Avenue Murfreesboro

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Murfreesboro, Tennessee

Need new copy here

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Miramar Beach, Florida

Owned by Howard Group and Merchant’s Retail Partners

$500 million lifestyle Town Center

650,000 square feet of existing specialty retail and signature restaurants, 170,000 square feet of existing Class A office space, 509 existing and planned full and select service hotel rooms and suites, 500 planned luxury residential units

Flagship Tenants: Publix, Anthropologie, Pottery Barn, Kinnucan’s Specialty Outfitter, Emeril’s Coastal Italian, New Vision Boulevard 10 Theatre

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Atlanta, Georgia

Founded in 2011

National real estate investment manager focused on the U.S. rental housing sector

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Disciplined investment approach providing private investors with a fully transparent real estate portfolio

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Greensboro, North Carolina

Tanger Factory Outlet Centers, Inc. is a is a publicly-traded REIT with more than 36 years of experience in the outlet industry

Operate and own a portfolio of 43 upscale outlet shopping centers located in 22 states coast to coast and in Canada

The portfolio totals approximately 14.8 million square feet and leases to over 3,100 stores operated by more than 500 different brand name companies

Attracts more than 188 million shoppers annually

Partner since 1997

Tanger 2017 Campaign

AT A GLANCE

Greensboro, North Carolina

Tanger Factory Outlet Centers, Inc. is a publicly-traded REIT with more than 36 years of experience in the outlet industry

Operate and own a portfolio of 43 upscale outlet shopping centers located in 22 states coast to coast and in Canada

The portfolio totals approximately 14.8 million square feet and leases to over 3,100 stores operated by more than 500 different brand name companies

Attracts more than 188 million shoppers annually

Partner since 1997

AT A GLANCE

Atlanta, Georgia

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Real estate development firm specializing in urban retail mixed-use supercenters

Major developments in Atlanta, Denver, Florida, South Carolina, and Canada

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Partner since 2015

Stafford Properties

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Tifton, Georgia

Commercial real estate firm focused on retail and hospitality industries operating in three divisions: Management, Development and Investment

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South Walton Food & Wine Festival

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Miramar Beach, Florida

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Over 800 wines, celebrity winemakers, chefs, craft beer brewmasters and special guests

Performances by Nashville singer/songwriters and first-class wine and food seminars led by special guests

Benefits Destin Charity Wine Auction (DCWAF), supporting children’s charities in Northwest Florida

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River Oaks Shopping Center

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Houston, Texas

322,000 square foot center owned and managed by Weingarten Realty REIT

One of Houston’s most prestigious and historic specialty centers offering a wide variety of national retailers, upscale restaurants and unique local retailers

Serves some of Houston’s most affluent neighborhoods

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Founded in 1954

Commercial real estate firm offering a spectrum of services including property and facility management, leasing, marketing, development, investment sale, construction management and engineering

Strategic presence in 30 markets serving over 20,000 tenants every day

Lease and manage over 190 million square feet

Total portfolio value of over $35 billion

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Promenade at Coconut Creek

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Coconut Creek, Florida

Developed in 2008 and acquired by Hill Partners, Inc. in 2016 when it became a LEED pre-certified development

23-acre open-air shopping center with over 45 brand name stores, local boutiques and restaurants

250,000 total SF encompassing retail, restaurant and class-A office space

Serves 742,000 people within a 5-mile radius

Partner since 2016

New Market Properties

AT A GLANCE

Atlanta, Georgia

Owns and operates 36 grocery-anchored shopping centers across seven states in the Southeast

Wholly-owned indirect subsidiary of Preferred Apartment Communities, Inc. (NYSE: APTS)

Targets centers that have market dominant grocery anchors that maintain a #1 or #2 market share in that particular market

Partner since 2016

Milagros Jewelry

AT A GLANCE

Chicago, Illinois

Non-profit company that works on behalf of Casa Hogar, a home for 120 abused, abandoned and indigent girls, ages 3-21 years, in Jalapa, Guatemala

Gracia Entrepreneur Training Program (G.E.T.) provides opportunities and resources needed to actualize economic empowerment, self-confidence, business skills, relationship and communication expertise to create a permanent shift in the way the girls of Casa Hogar think about each other and their future

Milagros is the product arm of G.E.T. where the girls earn income through one-of-a-kind jewelry sales made of 99.9% pure silver and precious stones handcrafted and sold by the girls themselves

Partner since 2017

Hill Partners

AT A GLANCE

Coconut Creek, Florida

Developed in 2008 and acquired by Hill Partners, Inc. in 2016 when it became a LEED pre-certified development

23-acre open-air shopping center with over 45 brand name stores, local boutiques and restaurants

250,000 total SF encompassing retail, restaurant and class-A office space

Serves 742,000 people within a 5-mile radius

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Tampa, Florida

21-story contemporary luxury high-rise multifamily building managed by Gables Residential

Studio, 1 and 2 bedroom apartment homes and townhomes featuring granite countertops, stainless appliances, keyless entry and more

Best-in-class amenities, top-notch security, outdoor amenity deck with bocci court and infinity edge pool, fitness center, spa and treatment rooms, and more

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Atlanta, Georgia

Privately-held commercial real estate development firm

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Genesis Industrial Group

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Privately held energy and infrastructure company with offices in New York, Houston, Texas and Portland, Maine

Family energy business comprised of wealth development knowledge and experience in the energy sector with an investment committee that affords the ability to move quickly

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Partner since 2017

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Coral Gables, Florida

Contemporary luxury high-rise community managed by Gables Residential.

1, 2, 3 and penthouse apartment homes featuring oversized windows, balconies, and extensive terraces.

Best in class amenities including concierge service, fitness center, penthouse lounge, pool & terrace, electronic vehicle charging stations and more.

Partner since 2014

AT A GLANCE

Miramar Beach, Florida

Owned by Howard Group

$500 million lifestyle Town Center

650,000 square feet of existing specialty retail and signature restaurants, 170,000 square feet of existing Class-A office space, 625 existing and planned full and select service hotel rooms and suites, 500 planned luxury residential units

Flagship Tenants: Publix, Anthropologie, Pottery Barn, Kinnucan’s, Emeril’s Coastal Italian, New Vision Boulevard 10 Theatre

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Avison Young Client Grid

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Toronto, Canada

Founded in 1978

Fastest-growing commercial real estate services firm in the world comprised of 2,200 real estate professionals in 77 offices

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