09/01/2017
Disaster and Commercial Real Estate:
The effects of Hurricane Harvey spans more than just lines at the gas stations, social media ravings or even elevator chatter. Most people have lost the roof over their heads, their source of employment and the list continues. The debate of government involvement in evacuations as relevant as that might seem still begs the question “After the dust settles, will life continue as normal.” Here conspiracy theorist reminds us of precedence such as Katrina it is easy to argue that we are in for a long rebuild. The domino effect of Harvey has just begun with reported shortage of gas, which could lead to a spike in prices of fresh produce and an increase in cost of transportation. Certain metropolitan areas like Dallas, San Antonio, and Austin are anticipating a drastic increase in its population density. Which breeds the question “how prepared are you for this change?”
According to Dallas News Business Journal “Houston is one of the country's top homebuilding markets before Harvey. At midyear, more than 27,000 single-family homes were being built in the Houston area. And more than 23,000 apartments homes were under construction and scheduled to open by end of 2017 and early 2018.” This loss will cause a huge strain on builders, remodelers and those in the construction industry. At which point replacement and repair cost is estimated between $1 billion and $2 billion dollars. Creating an even greater shortage in a highly demanded market.
The aftermath of the hurricane also creates a loss of jobs as businesses are unable to open its doors and continue with business as usual. Competition in the job market increases as new migrants need support, employment and a way to provide food for their families. Edwin Louis Cole states “Successful people recognize crisis as a time for change- from lesser to greater, smaller to bigger.”
My challenge to you this week is to be reminded of YOUR advantageous position regardless of if you were affected by the storm or by the aftermath, and even with our hearts heavy; consider those strategies that we can recognize during this time of crises and see the opportunities that lie within.