Stock Market Not Affecting Deals Yet, Area Brokers Say

"The stock market, in a way, seems separate and apart" from the commercial real estate markets at the moment, notes Dean Fritchen, senior broker at Arvida Realty Services Commercial Division in suburban Winter Park, FL. "Some of the landlords and sellers are appearing more negotiable," but Fritchen isn't certain if the bearish stock market has anything to do with that phenomenon.

So far, the broker says, four deals he is currently working on are not being affected by the sliding stock performance. "Contrary to past experience, it is interesting that none of the clients seem to be letting the perception of the bearish stock market deter them in their business progress," says Fritchen, a former corporate public affairs director at New York's Madison Square Garden.

His colleague, broker Paul Hoffman, notes: "Most are disappointed and may have a much lower portfolio value but view it as an adjustment and believe our economy remains strong."

Tom D. Cook, vice president of development in the Orlando office of Carter & Associates-ONCOR, tells GlobeSt.com he sees "a shakeout of high techs and new startups of high tech because of the tightness of venture capital money," but doesn't attribute that scenario to the gyrating stock market.

However, he says "it stands to reason more and more managers will slow down or cancel expansion opportunities until things get on a more even plain." But Cook feels if that happens, "it may be due to the overall economy, not just the stock market."

He says his colleagues in Atlanta "are seeing more fallout than here in Orlando" when it comes to expanding business space. Cook says he doesn't know what the overall effect will be on the real estate industry if the stock market continues its downward trend but if there is a real estate pullback, he says it will be from "more of a mindset" than anything happening on Wall Street. "Orlando will weather the storm well in my opinion," he tells GlobeSt.com.