Home

Prudential Steamboat Realtor and retail business owner Steve Hitchcock told Rotarians on Tuesday that as commercial leases in Steamboat come up for renewal, some tenants have been able to negotiate lower rent based on the soft economy.

"When leases are up for renewal, that's when tenants' leverage becomes more pronounced," he said. Landlords can look around and see empty storefronts in the downtown commercial district.

Rents here have been high - $26, $27, $30 and even $32 per square foot. However, Hitchcock said, those high rates often are justified based on the old axiom that the occupying expense of a business should be less than 10 percent of gross revenues. That's because revenues of $350, $375 and $400 per square foot are not unheard of. The very best retailers and restaurant owners may gross $500 per square foot.

Colorado Group Realtors prepare for short sales

Greg Danziger and Eliese Pivarnik, of Colorado Group Realty, recently earned the designation of Certified Distressed Property Expert after completion of training in foreclosure avoidance and short sales.

Their development of a new specialty comes at a time when the Steamboat market is seeing distressed homeowners confronted by the foreclosure process.

A short sale occurs when a lender agrees to accept less than the full balance that is owed on the loan at closing, allowing the borrower and lender to avoid the more costly foreclosure process.

Short sales have the potential to save some homeowners from foreclosure and possible bankruptcy. Experts suggest that even the luxury home market is not immune.

"Many people behind on their mortgage think foreclosure is their only option," Pivarnik said. Realtors trained in the sort sale process can shorten the time it takes to sell a distressed home, she added.