Mixed Bag

Commercial Real Estate Resilient Despite Volatility

downtown Omaha, as developers capitalize on civic improvements in the area.

“The dynamic redevelopment of Gene Leahy Mall, and the planned Omaha streetcar, has reconnected and revitalized the link between downtown and the riverfront,” he said. “The Mercantile project on 10th and Harney will deliver T3, a timber-constructed office building. It is a vintage concept built new. The idea links the nostalgia of the past with modern innovation and the efficiencies of today.”

Within the Mercantile development, but separate, Fleming said the Brickline offers multifamily living and retail that extends the Old Market to Heartland of America Park Lake.

In all, Fleming’s outlook for the next 12 months and beyond remains sunny.

“Despite the rising interest rate environment, Omaha continues to have a low unemployment rate and continues to add new employees,” he explained. “That really creates a strong tailwind for all commercial real estate types.

“During a time of higher interest rates and construction costs, Omaha has a healthy real estate community with responsible real estate developers/landlords and business owners.”

NAI NP Dodge’s Sotolongo expects “more of the same” for the next 12-plus months.

“ … increasing interest rates, scarcity in the market, less sales and more leasing,” he said.

Sotolongo, an Omaha Planning Board member, said it was encouraging to see the number of impactful projects occurring in the metro.

“Downtown redevelopment, suburban growth, public infrastructure and transportation — I see these projects every month,” he said. “Despite economic challenges, Omaha continues to grow, densify and push forward.”

Secor said The Lund Co. has been working on the La Vista City Centre project off 84th Street between Harrison and Giles roads.

“We are very excited about this City Ventures development,” he said. “The main attraction at the development will be The Astro, an outdoor/indoor amphitheater which is set to open this summer.”

Additionally, he alluded to many retail tenants “on the same timeline.”

“We know this is going to be a fantastic addition to La Vista and the surrounding metro,” he added.

Secor, too, expects the next 12 months to be similar to the last 12 months.

“As everyone continues to get used to the new normal, we can expect deal volume to pick up,” he said.

Optimism Ahead

The Lerner Co.’s Maurer spoke to “muchneeded” inventory in various stages of construction across the metro.