2015 Heartland Broker Dear Commercial Real Estate Broker,Heartland Real Estate Business is conducting a brief online survey to gauge market conditions throughout the region, and we welcome your participation. This survey should only take a few minutes to complete. Questions range from the outlook for investment sales and leasing activity in 2015 to lease negotiations to interest rates.We’re also sending separate surveys to finance professionals and owners/developers/managers in the Midwest. The results will be collated and published in our January issue. Conducting these surveys is part of our mission at France Media to provide readers with indispensable information.Sincerely,Matt ValleyEditorial DirectorHeartland Real Estate Business Question Title * 1. Which of the following best describes your company? (Please mark all that apply) Global Brokerage Company National Brokerage Company Regional Brokerage Company Local Brokerage Firm Full-Service Real Estate Firm Tenant Representation Firm Landlord Representation Firm Other (please specify) Question Title * 2. Check the box that best describes your job title: President, Owner, Partner, Chairman of the Board, CEO Chief Financial Officer, Chief Investment Officer Real Estate Manager, Other Manager, including General Manager Broker, Leasing Agent, Real Estate Agent Other (please specify) Question Title * 3. Which property sectors do you specialize in? (Please mark all that apply) Suburban Office Downtown Office Medical Office Retail Mall Retail Grocery/Drug-Anchored Center Retail Single Tenant Retail Lifestyle/Power Center Industrial Other (please specify) Question Title * 4. Do you expect your firm’s total transaction volume by dollar amount (leasing and investment sales combined) in the Midwest in 2015 to be higher, lower or the same as in 2014? Higher Lower Approximately the same Question Title * 5. If you answered "higher" to the previous, by how much? Less than 5% 5% to 10% 11% to 15% 16% to 20% More than 20% Question Title * 6. If you answered "lower" to the previous, by how much? Less than 5% 5% to 10% 11% to 15% 16% to 20% More than 20% Question Title * 7. Generally speaking, which property categories do you think will experience a high velocity of sales activity across the Midwest in 2015? (multiple answers allowed) Suburban Office Downtown Office Medical Office Retail Mall Retail Grocery/Drug-Anchored Center Retail Single Tenant Retail Lifestyle/Power Center Other (please specify) Question Title * 8. Generally speaking, which property categories do you think will experience a low velocity of sales activity across the Midwest in 2015? (multiple answers allowed) Suburban Office Downtown Office Medical Office Retail Mall Retail Grocery/Drug-Anchored Center Retail Single Tenant Retail Lifestyle/Power Center Other (please specify) Question Title * 9. Which property sector(s) will experience the greatest increase in valuations in your view over the next 12 months? Hotel Industrial Multifamily Office Retail Mixed-Use Question Title * 10. Which of the following lines of business do you anticipate will be among the biggest drivers of revenue growth at your firm in the Midwest in 2015? (multiple answers allowed) Property sales Capital markets services Property management/leasing services Valuations and consulting Corporate real estate outsourcing services Distressed asset services Other (please specify) Question Title * 11. List the top three industries that you believe will drive office leasing growth in 2015 across the Midwest? (Example: financial services, energy, healthcare, etc.) Question Title * 12. When it comes to lease negotiations, please rank the importance of each of the following factors. 1 2 3 4 5 6 7 Base-rent 1 2 3 4 5 6 7 Pass-throughs (CAM, taxes, insurance, utilities) 1 2 3 4 5 6 7 Tenant improvements/build out allowance 1 2 3 4 5 6 7 Length of lease 1 2 3 4 5 6 7 Lease extensions 1 2 3 4 5 6 7 Lease termination fees 1 2 3 4 5 6 7 Subletting provisions Question Title * 13. Do you expect the number of 1031 tax-deferred exchanges to increase, decrease or stay the same in 2015 compared with the level of activity in 2014? Increase Decrease Stay the Same Uncertain Question Title * 14. Do you expect interest rates to increase, decrease or remain relatively unchanged during the next 12 months? Increase Decrease Remain relatively unchanged Uncertain Question Title * 15. What is your best guess as to where the 10-year Treasury yield will stand at the end of 2015? 4.0% or higher 3.75% 3.5% 3.25% 3.0% 2.75% 2.50% 2.25% 2.0% 1.75% 1.50% or less Uncertain The following three questions request written responses. If you want to share your comments on the record, please include your name, job title, company name, phone number and email address. You can also feel free to leave an anonymous comment. Question Title * 16. What impact do you believe the implementation of the Affordable Care Act has had, or will have, on the commercial real estate industry? Question Title * 17. What impact do you think the results of the mid-term elections will have on the commercial real estate industry over the next few years? Question Title * 18. What do you see as the greatest challenge and greatest opportunity for the commercial real estate industry in 2015? Done