PERSPECTIVES RE A L ES TAT E+C ONS T RUCTION
Brighter Days Ahead? Local real estate and construction professionals share their expectations for 2022. BY JA M E S SE B ASTIE N
T H E PA S T T W O Y E A R S H AV E H A D T H E I R
ups and downs, perhaps more downs. Drew Brees retired, ZZ Top is now one man short, and COVID-19 is still hanging around. However, there have been some bright spots. ‘Keeping up with the Kardashians’ ended, The United Nations declared 2021 the international year for fruits and vegetables, and the mask mandate has come to an end — at least for now. One word comes to mind above all others when describing 2020 and 2021 — survival. With a global pandemic and natural disasters, life has made most days a tough go for us all. People lost their jobs, businesses and spirit at times. “Any South Louisiana small business still standing in the last quarter of 2021 deserves commendation given the pandemic, the 2020 and 2021 hurricane seasons, the questionable state of New Orleans leadership, the supply chain hang-ups and the labor woes,” says Ryan D. Mayer, owner of Mayer Building Company. “I would consider my company’s success has more to do with internal reflection than project completions or profits earned this year.” In order to survive the past two years, Mayer’s team placed an emphasis on three things: leadership, effort and patience. “In any business, leadership must be present, and effort and patience must be employed, or the business will not thrive or last,” he says. “This year, all three are being tested, here, and likely everywhere. As the owner, I am the leader, sure, but the courage to demonstrate leadership in every superintendent, technician and manager is worthy of attention. We are being patient with ourselves, with the collapsing supply chain, the vendors and stakeholders. Our efforts are based in
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customer advocacy, pushing against labor shortages, prevailing human angst and uncertainty.” ROBUST RESIDENTIAL MARKET
I would consider my company’s success has more to do with internal reflection than project completions or profits earned this year. Ryan D. Mayer, owner, Mayer Building Company
Despite shutdowns, Hurricane Ida and a general fear of instability, the real estate market held strong in 2021 with further success predicted in 2022. “2021 was robust despite Covid, [and] a temporary slowdown due to Hurricane Ida,” says Gigi Burk, owner of Burk Brokerage Real Estate. “The lack of inventory created a strong seller’s market in 2021. This seller’s advantage is projected to continue into 2022, but at a less aggressive pace. Our 2022 market is looking very strong, with a 10-15% increase in values within a more balanced market for buyers and sellers.” Burk Construction and Development, owned by Burk’s husband, Billy Burk, has several new luxury projects slated for Lakeview and Old Metairie. “The company expects to see continued demand in its top tier of luxury homes, where price points start at $1.25 million,” Gigi Burk adds. “High buying power, enabled by low interest rates and confidence in continued market value increases, has created the perfect incentive to buy or sell. This is framing up to be a once-in-alifetime opportunity, one that we are sure to reflect on for years to come.”
CONSTRUCTION ON THE RISE, ONE SHINGLE AT A TIME
Material shortages and limited selection have not stopped Earl J. Mackie of Mackie One Construction from flourishing in 2021. Mackie says his company has already doubled its gross revenue from 2020, with sales exceeding $1 million. Mackie One construction also increased its workforce by 50%. Mackie believes his company’s success will continue to grow in 2022. “We strive to be the most reliable and respected roofing company in our market,” he says. “We will also continuously strive to provide a high level of value and customer service to our clients throughout the New Orleans metropolitan region.” The company’s new projects include a Treme location of Ma Mommas House of Cornbread and Chicken & Waffles. Mackie also plans to “dig deeper into the residential home improvement market and penetrate into the small commercial roofing industry.” LEASE DEALS VS. SALES
Richard E. Juge, CCIM, SIOR, president of RE/MAX Commercial Brokers, says most of his team’s success has resulted from lease deals vs. sales in 2021. “We see a lot of office tenants rethinking their office needs, and still doing longer-
