THIS IS QUEENSBOROUGH
queenschamber.org
QUEENS CHAMBER NEWS & EVENTS
EXPERTS DISCUSS STATE OF REAL ESTATE BY BENJAMIN FANG The Queens real estate market is starting to gain momentum again. That analysis was made by broker, landlord and data experts who spoke on a panel hosted by the Queens Chamber of Commerce last month. Stephen Preuss, vice chairman at Cushman & Wakefield, said compared to March, April and May, the Queens market is in a “much more favorable position” overall. “I hope that will continue through September,” he said, “which will be a real time of consequence for the last two quarters of the year.” According to Jerry Pi, chairman of Pi Capital Partners, which is a landlord for retail, office and residential units throughout Queens Michael Wang, co-chair of the Real Estate Committee, said he is optimistic about the borough’s future. and Manhattan, collections have also been “pretty stellar.” in the first few months of the the market are currently perform- Wang, founder of Project Queens Although rent collection is pandemic, Preuss said, because ing. The top performer is the and co-chair of the Queens down overall, in July residen- lending was not available as the industrial sector, which Preuss Chamber’s Real Estate Comtial rent collection was about 95 liquidity market shut down. said is the only asset class where mittee, noted that the borough’s percent. On the retail end, Pi As a commercial landlord, Pi pricing and availability have not retail sector does well due to an said every retail store they have, said he worked out most of his changed. abundance of mom-and-pop busiwhether it’s in Jackson Heights, company’s renegotiations back in According to the Cushman & nesses. Elmhurst or FlushWakefield executive, “There’s so much density ing, has opened. vacancy rates for indus- because franchises also want to YOU’LL SEE MORE NEW The weakest pertrial properties are just be here,” said Wang, who moderforming sector for 3 to 4 percent. ated the panel discussion. “PostCONSTRUCTION IN QUEENS Pi’s company is the Although mixed- pandemic, it seems like the qualCATERING TO WHAT WE THINK office sector, with use and smaller mul- ity companies, whether a Fortune most employees tifamily homes, which 500 or mom-and-pop, are looking THE NEW OFFICE ENVIRONMENT working from home. are the “prototypical for space.” WILL BE. I’M BULLISH ON WHAT Preuss said small Queens assets,” were As for office buildings, despite to mid-cap priorities, initially hard hit by the the downturn Preuss said he COULD HAPPEN AS THE NEW between a few milpandemic, buyers are believes companies will look for MARKET FOR OFFICES GROWS. lion dollars to $25 coming back around more boutique types of spaces million, are startbecause they’re usually that are closer to home. - STEPHEN PREUSS ing to transact. The safe havens for inves“You’ll see more new construchigher-price prodtors, Preuss said. tion in Queens catering to what ucts, meanwhile, are The hardest hit sector we think the new office environstagnant and not seeing the trac- March and April. As a result, their of all is hotels, which has been ment will be,” he said. “I’m bulltion as pre-COVID. storefronts reopened. so affected that some owners are ish on what could happen as the “The institutional buyers are “The most important thing for starting to convert them into other new market for offices grows in really stuck in the mud,” he said. landlords to do is keep our spaces uses like homeless shelters. Queens.” “They aren’t able to navigate the occupied,” he said. “We’re just “As of last month, we have Preuss added that he thinks the red tape and steps to get that trying to keep businesses to stay. more hotels in construction than borough will come out of the ecocapital.” I’m not trying to put people out hotels that exist in Queens,” Pre- nomic downturn a lot stronger. Commercial real estate was of business.” uss said. “We were at saturation “I get the feeling it’s Queens’ heavily impacted by the pandemThe real estate experts also dis- already.” turn to shine,” Wang said. “I’m ic as well. There was no volume cussed how different sectors of Real estate broker Michael optimistic about Queens.”
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