Stillwater Business Park – Commercial Broker Meeting
Stillwater Business Park continues to be touted as an asset for the Redding area and will bring economic prosperity once demand increases for large commercial parcels. A few Friday’s ago, I attended an informational meeting for commercial brokers on the Stillwater Business Park. I hoped that the meeting would be an educational experience to provide the factual data to help me be a proponent for Stillwater Business Park.
From the individuals that spoke, it was evident they believed strongly that when a user does move forward with relocating/expanding into the park that it will be an economic boom to the local area. I cannot disagree with these thoughts and love the determination, but it would be much more powerful to have factual numbers and figures to support these dreams.
Data drives the daily activities of the commercial real estate professional. Understanding the comparable sales, feedback from prospects, demand for these types of parcels, and a cost analysis will make any listener an expert in the Stillwater Business Park. From attending this meeting, I am not sure this information is even known by the City or the Listing Agents. We need to know the answers to the following questions;
Of the previous interest in Stillwater that selected competing sites, what sites did we lose to and why? Can we mitigate these outcomes?
- How many jobs in the local economy are created with one new job in Stillwater? How much more cash is generated in the local economy with one new job created in Stillwater?
- What is the total cost of improving a typical building and does it compete with other competitive locations?
- What is the target market and why are they choosing California?
- What are the competing properties and how many are “shovel ready”?
- What is “shovel ready”?
- What is the elevator pitch for Stillwater with factual numbers and data?
Overall the meeting was poorly attended, questions were off-topic, and the presentation lacked substance. Until provided otherwise, it appears that the only selling point is the quality of life, which is mostly personal opinion. The listing brokers commented that they recommend that Stillwater is considered for marijuana production, meaning manufacturing of products or edibles related to this industry, or other by products of this industry. Maybe this is the only demand? The problem is no one knows. The bottom line is that every single citizen of Redding needs to be an expert of Stillwater. Each one of us should be the best salesperson, and the City with the listing broker should love for this exposure by people that already enjoy living in Redding. At the same time, I think we need to expose our listing brokers to the quality of life; have they ever floated the river for trophy trout in the middle of Redding? Have they ever ridden the amazing trail system in Redding? Or jumped into the crystal blue waters of Whiskeytown Lake? Hopefully, they have.
The Stillwater Business Park is a lottery ticket that Redding continues to hold tightly, but unlike a lottery ticket, the community or the leaders have no idea what is the probability of winning. Hopefully, we don’t continue to increase the costs of holding this asset until we know the probability and then determine if it is even an asset.
About Ryan Haedrich
In 2006 Ryan Haedrich joined Haedrich & Co., Inc. after working for three years in the commercial lending industry. He is a graduate of the California Bankers Association Commercial Lending School. Ryan is knowledgeable about all areas of commercial financing, commercial appraisal reviews, and title and escrow. He is an alumnus of University of California, Santa Barbara and received a B.A. in Business/Economics with an emphasis in accounting. Go Gauchos! Ryan holds the Certified Commercial Investment Member designation (CCIM), which recognizes him as an expert in the commercial and investment real estate industry. Aside from exceeding clients' expectations in commercial real estate, he loves to spend time with his wife and two little boys, which is most important.