by Dan Rafter
The holiday season is in full swing, and whether you celebrate Hanukkah, Christmas, Kwanzaa or something else, there’s one event most of us can’t avoid: the making of that New Year’s resolution.
Most resolutions fall apart by mid-January. But let’s hope that the resolutions planned by the top commercial real estate leaders in the Midwest don’t. That’s because many of our top CRE pros have some pretty solid resolutions.
We know this because we’ve been asking real estate executives about the resolutions they want to keep this year. And we’ll present these resolutions here throughout the holidays and into the new year.
Here’s our first, from John Petrovski, managing director and head of commercial real estate with BMO Harris Bank in Chicago, presented in his own words:
“The CRE industry is currently enjoying ‘mid-cycle acceleration’ with performance at the property level improving; new supply picking up, but not excessive; plentiful capital; and very inexpensive debt. Understandably, values are increasing, and not insignificantly.
So my 2015 New Year’s resolution would be: Enjoy yourself at the party, but remember to be disciplined. Serve our clients well, but avoid excessive celebration (ie: leverage getting too high, spreads pushing too low, and weakening covenants).”
That sounds good to us. And we’re looking forward to sharing more resolutions with you throughout the rest of the year.