Submitted by Anonymous on Tue, 04/24/2007 - 05:00.
New Wal-Mart changing Tennessee real estate market on U.S. 411 South
"You used to see land on the 411 corridor sell for $2,000 an acre. Now it's selling for $200,000 an acre. There has been a big change in property values on U.S. 411 South," states Jan Cannon, owner of Cannon Realtors.
She has sold real estate in Blount County for 34 years. She said the real estate market has changed dramatically in recent months. "There have been many changes on U.S. 411 South," Cannon said. "For years, the property out there was considered rural, and it's now the hottest property around.
Cannon Realtors, which is known for specializing in commercial real estate, has experienced a recent spike in activity with large companies from other states wanting to see what property is available in the area near the new Wal-Mart.
"We've had people come in from all over the country to see that area. We've had representatives of companies from California, New York and Georgia recently. They don't even bat their eyes at $250,000 an acre — they think it's still reasonably priced property."
Discount Motorsports, which operated in Maryville along U.S. 411 South, for the past five years, has closed. The motorcycle, all-terrain vehicle and motocross retail store is a victim of the new Wal-Mart, but not in the traditional sense.
According to Discount Motorsports owner Jason Trimarchi, the building he owns can generate more money now from leases on the prime space than the profits he made on motorcycle and ATV sales.
"It was a personal decision that I made, and it was well-communicated to our customers and employees over a period of months," Trimarchi said.
"Once all of the development started on U.S. 411 South and the Wal-Mart opened, I knew I could make more money leasing out my building than I could running the shop."
Trimarchi, a Massachusetts native, also owns other rental properties in the area and a home-inspection business.
The Discount Motorsports building Trimarchi owns has 7,500 square feet of space. He already leased 1,200 square feet of the building to an Allstate Insurance office. The remaining 6,300 square-feet is expected to lease quickly.
While many people debate the impact a new Wal-Mart can have on a community, the property values of commercial locations around a new Wal-Mart typically skyrocket according to real estate professionals.
Source: http://www.thedailytimes.com/apps/pbcs.dll/article?AID=/20070424/BIZ/704230322
She has sold real estate in Blount County for 34 years. She said the real estate market has changed dramatically in recent months. "There have been many changes on U.S. 411 South," Cannon said. "For years, the property out there was considered rural, and it's now the hottest property around.
Cannon Realtors, which is known for specializing in commercial real estate, has experienced a recent spike in activity with large companies from other states wanting to see what property is available in the area near the new Wal-Mart.
"We've had people come in from all over the country to see that area. We've had representatives of companies from California, New York and Georgia recently. They don't even bat their eyes at $250,000 an acre — they think it's still reasonably priced property."
Discount Motorsports, which operated in Maryville along U.S. 411 South, for the past five years, has closed. The motorcycle, all-terrain vehicle and motocross retail store is a victim of the new Wal-Mart, but not in the traditional sense.
According to Discount Motorsports owner Jason Trimarchi, the building he owns can generate more money now from leases on the prime space than the profits he made on motorcycle and ATV sales.
"It was a personal decision that I made, and it was well-communicated to our customers and employees over a period of months," Trimarchi said.
"Once all of the development started on U.S. 411 South and the Wal-Mart opened, I knew I could make more money leasing out my building than I could running the shop."
Trimarchi, a Massachusetts native, also owns other rental properties in the area and a home-inspection business.
The Discount Motorsports building Trimarchi owns has 7,500 square feet of space. He already leased 1,200 square feet of the building to an Allstate Insurance office. The remaining 6,300 square-feet is expected to lease quickly.
While many people debate the impact a new Wal-Mart can have on a community, the property values of commercial locations around a new Wal-Mart typically skyrocket according to real estate professionals.
Source: http://www.thedailytimes.com/apps/pbcs.dll/article?AID=/20070424/BIZ/704230322
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