Patrick's Austin Commercial Real Estate Blog

Realtor Looking to Buy in Houston - Can You Help?

Patrick Foley (Buls Hodge Consulting) — Mon, 03 Aug 2009 21:30:46 -0500

As I recently posted, I have switched career paths this summer, and have transitioned from Austin to Houston (still in the process somewhat). As a result, I'm looking to buy this fall, and take advantage of the tax credit!

So, to all of your lenders and listing agents out there, please feel free to get in touch with me if you have anything I might be interested in. I'll post some guidelines below. All my contact information is listed in my profile.

Areas - Galleria, West U, Rice Military, River Oaks, Uptown, Midtown

Type of Home - Townhouse Preferred, Then Single Family, Then Condo. MF is ok too, duplexes only

Price - Under $200K

Timeframe - Oct/Nov close

BR - 2+

BA - 2+

Reasonable HOA's

Mediterranean style architecture preferred (not necessary though)

15 Year Fixed Note (15% - 20% Down)

Ideally I like something on the newer side, and with a bit of a modern look. I'm definitely a fan of granite countertops, stainless steel applicances, hardwoods/stained concrete floors, and the like. Please let me know if you have something, or have any questions. Thanks!

Bittersweet Goodbye to Real Estate & An Adventure Around the World

Patrick Foley (Buls Hodge Consulting) — Mon, 06 Jul 2009 01:07:44 -0500

It' been a while since I've had the opportunity to make a post on AR, as I've been on a 2-month trip around the world.

For those of you who don't personally know me, I've decided to move on from the Austin commercial real estate arena to become a commodities trader in Houston. I start in the middle of July, and have been traveling around the world since I graduated from UT in May. I still have a couple of listings that I will cooperate with other brokers on a bit, and will naturally keep my license active. For anyone with any spectacular listings in the West U/Upper Kirby/Galleria areas in Houston, I'll be looking for a townhouse, condo, or SF house this Fall. Feel free to shoot me the information on it. Realistically, I'm looking for a October/November close.

If anyone is interested, I've been blogging pretty regularly on my TravelPod blog which can be viewed at http://travelpod.com/members/prfoley.

Stock Market Verdict on Obama - Part 2

Patrick Foley (Buls Hodge Consulting) — Wed, 04 Mar 2009 17:19:34 -0600

This is an article from the Wall Street Journal opinion section, and echoes a post that I previously wrote after Obama was elected. Now I realize this article isn't exactly unbiased, but it does represent my feelings, and the feelings of a number of investors that I know and/or work with. What do you think?

As 2009 opened, three weeks before Barack Obama took office, the Dow Jones Industrial Average closed at 9034 on January 2, its highest level since the autumn panic. Yesterday the Dow fell another 4.24% to 6763, for an overall decline of 25% in two months and to its lowest level since 1997. The dismaying message here is that President Obama's policies have become part of the economy's problem.

Americans have welcomed the Obama era in the same spirit of hope the President campaigned on. But after five weeks in office, it's become clear that Mr. Obama's policies are slowing, if not stopping, what would otherwise be the normal process of economic recovery. From punishing business to squandering scarce national public resources, Team Obama is creating more uncertainty and less confidence -- and thus a longer period of recession or subpar growth.

The Democrats who now run Washington don't want to hear this, because they benefit from blaming all bad economic news on President Bush. And Mr. Obama has inherited an unusual recession deepened by credit problems, both of which will take time to climb out of. But it's also true that the economy has fallen far enough, and long enough, that much of the excess that led to recession is being worked off. Already 15 months old, the current recession will soon match the average length -- and average job loss -- of the last three postwar downturns. What goes down will come up -- unless destructive policies interfere with the sources of potential recovery.

And those sources have been forming for some time. The price of oil and other commodities have fallen by two-thirds since their 2008 summer peak, which has the effect of a major tax cut. The world is awash in liquidity, thanks to monetary ease by the Federal Reserve and other central banks. Monetary policy operates with a lag, but last year's easing will eventually stir economic activity.

Housing prices have fallen 27% from their Case-Shiller peak, or some two-thirds of the way back to their historical trend. While still high, credit spreads are far from their peaks during the panic, and corporate borrowers are again able to tap the credit markets. As equities were signaling with their late 2008 rally and January top, growth should under normal circumstances begin to appear in the second half of this year.

So what has happened in the last two months? The economy has received no great new outside shock. Exchange rates and other prices have been stable, and there are no security crises of note. The reality of a sharp recession has been known and built into stock prices since last year's fourth quarter.

What is new is the unveiling of Mr. Obama's agenda and his approach to governance. Every new President has a finite stock of capital -- financial and political -- to deploy, and amid recession Mr. Obama has more than most. But one negative revelation has been the way he has chosen to spend his scarce resources on income transfers rather than growth promotion. Most of his "stimulus" spending was devoted to social programs, rather than public works, and nearly all of the tax cuts were devoted to income maintenance rather than to improving incentives to work or invest.

His Treasury has been making a similar mistake with its financial bailout plans. The banking system needs to work through its losses, and one necessary use of public capital is to assist in burning down those bad assets as fast as possible. Yet most of Team Obama's ministrations so far have gone toward triage and life support, rather than repair and recovery.

AIG yesterday received its fourth "rescue," including $70 billion in Troubled Asset Relief Program cash, without any clear business direction. (See here.) Citigroup's restructuring last week added not a dollar of new capital, and also no clear direction. Perhaps the imminent Treasury "stress tests" will clear the decks, but until they do the banks are all living in fear of becoming the next AIG. All of this squanders public money that could better go toward burning down bank debt.

The market has notably plunged since Mr. Obama introduced his budget last week, and that should be no surprise. The document was a declaration of hostility toward capitalists across the economy. Health-care stocks have dived on fears of new government mandates and price controls. Private lenders to students have been told they're no longer wanted. Anyone who uses carbon energy has been warned to expect a huge tax increase from cap and trade. And every risk-taker and investor now knows that another tax increase will slam the economy in 2011, unless Mr. Obama lets Speaker Nancy Pelosi impose one even earlier.

Meanwhile, Congress demands more bank lending even as it assails lenders and threatens to let judges rewrite mortgage contracts. The powers in Congress -- unrebuked by Mr. Obama -- are ridiculing and punishing the very capitalists who are essential to a sustainable recovery. The result has been a capital strike, and the return of the fear from last year that we could face a far deeper downturn. This is no way to nurture a wounded economy back to health.

Listening to Mr. Obama and his chief of staff, Rahm Emanuel, on the weekend, we couldn't help but wonder if they appreciate any of this. They seem preoccupied with going to the barricades against Republicans who wield little power, or picking a fight with Rush Limbaugh, as if this is the kind of economic leadership Americans want.

Perhaps they're reading the polls and figure they have two or three years before voters stop blaming Republicans and Mr. Bush for the economy. Even if that's right in the long run, in the meantime their assault on business and investors is delaying a recovery and ensuring that the expansion will be weaker than it should be when it finally does arrive.

Trading Tax - Fight it Now

Patrick Foley (Buls Hodge Consulting) — Wed, 04 Mar 2009 16:50:43 -0600

For those of you that haven't heard, the House of Representatives is sticking it to us once again by attempting to pass a tax on all trades in the financial markets. Though they are pitching it as a way for the government to recoup costs from bailing out Wall Street, it is really a tax on most of us. The majority of Americans own stocks, bonds, or other financial instruments through 401(k)'s, IRA's, mutual funds, pension funds, or their self-directed brokerage account.

I've contacted my Senators and Congressman, I encourage you to take a moment and visit this website to do the same. It takes just a few moments (for real)!

Below is a copy of the letter that the site sends to your reps in D.C.

On Friday, February 13, your colleague, U.S. Congressman Peter DeFazio, introduced H.R. 1068: “Let Wall Street Pay for Wall Street's Bailout Act of 2009”, which aims to impose a 0.25% transaction tax on the “sale and purchase of financial instruments such as stock, options, and futures.” Without a doubt, many Americans are appalled at the reckless behavior of large Wall Street companies, and the notion of making those who ar e responsible for putting the global financial system in jeopardy help repay taxpayers for bailing them out is certainly justifiable.

Unfortunately, I feel that this proposal is the wrong way to do that, as this tax applies to all investors, the vast majority of whom have done no wrong. Effectively, this tax will punish anyone who wants to save their money, whether it be by investing in stocks or options directly, putting their hard earned money in any mutual fund, or by simply placing a portion of their paycheck in a 401K. There’s no doubt that banks and mutual funds will pass along this added cost to their customers, giving this proposed tax a much further reach than was initially imagined.

Moreover, the unintended consequences associated with H.R. 1068 are also hard to ignore.

First, many hard-working Americans make their livings by running small businesses that trade stocks, options and other financial instruments. Many of whom will be put out of business due to the fact that their margins are often quite thin. In addition, those who work for or with these individuals will also lose their jobs.

Second, a transfer tax such as this will lower capital gains dollar for dollar, making the notion that anyone who invests their money will be on the hook for the excesses of Wall Street all that more poignant.

Finally, such a tax will undoubtedly affect the number of shares traded on an absolute basis, thus reducing liquidity – a necessary ingredient in the effective pricing of assets. It’s the complete lack of liquidity, for example, which made collateralized mortgage obligations effectively worthless.

The body of the bill suggests that such a tax would have a negligible impact on the average investor. I beg to differ. For example, a $10,000 trade (or approximately 100 shares of stock in Apple, Inc.) would increase the cost of a round trip transaction by $50. 100 shares is generally considered to be a minimum size for a trade, which would devastate any small business executing even a handful of similar trades each day.

As you can see, while this bill may sound good on the surface, the effects, if it is passed, will reach anyone who wants to invest their money and will ruin many small business people who are not at fault for this distressing situation all Americans are struggling through.

I urge you to vote NO on H.R. 1068

Houston Gets More Rail

Patrick Foley (Buls Hodge Consulting) — Wed, 04 Mar 2009 16:42:03 -0600

As a native Houstonian, I've always hoped and wished for more rail. Every year when I blew out those birthday candles I would wish for better public transit...just kidding. I didn't take it that far, but Houston has been far behind the rest of the country in developing public transit, and I think train service has got to be one of the main points of focus for METRO.

When the downtown light rail line opened, a lot of people laughed. Who would ride this ridiculous 7.5 mile line that doesn't serve anybody? I must admit, the only time that I've used the rail is when I've gone to the rodeo, and it's probably more for fun than actual convenience. Turns out (at least last i heard), Houston has the highest light rail ridership in the entire nation, ahead of Philadelphia (#2).

Today we hear that METRO has approved four new lines, and I think it's great news. The total rail lines will only total 30 miles, and the cost is in the billions, but I think it's a worthwhile investment. Ridership will increase, and 60,000 jobs are being created (so says the propogranda from METRO at least). I hope that this will provide an impetus for rail lines that will run along the major highway corridors (I-10 east and west to downtown, 290 up to AT LEAST Cypress, if not Waller County, I-45 from the Woodlands to Galveston and maybe even up to Conroe, and of course a 59 line down to Sugar Land and up somewhere NE). That's my vision, and I think it would be great for Houston!

I'm excited, and I'm living in Austin. Let me know your thoughts!

Why Lease When You Can Buy?

Patrick Foley (Buls Hodge Consulting) — Tue, 03 Mar 2009 23:26:00 -0600

Although I am looking at this from a commercial standpoint, I have to imagine that this certainly applies to residential real estate as well, where many markets have come off even more than the commercial markets.

Over the past several weeks I have talked to a lot of clients and potential clients about their needs. Most of these people are looking to lease, but I always ask them if they might consider a purchase, especially if it might be possible to get a multi-tenant building/property.

Case in point is a client looking for some land or industrial space to operate a specialized auotmotive sales business. He needs a particular zoning, a small office, and some yard area. He also needs signage, and prefers to be along a major thoroughfare. He has a budget in mind, and there are definitely properties that fit the bill. So I pitched him a property that is currently leased up, but there is an opportunity to use some additional space on the property for his business.

With 20% down, at current rates, he would actually produce positive cash flow and have a space for his business. If you have the cash to put down on the property, this is like hitting the jackpot!

Let's face it, rates are at historic lows, and property values have declined. Granted, property values will likely to continue to decline (especially commercial values and especially in Austin, as both of these markets haven't faced a major decline to this point, so some devaluation seems inevitible). Even if they do, if you can build equity in a property, generate cash flow, and avoid paying rent for your own business, why wouldn't you explore this option?

For real estate agents, if you have thought about this for a particular client, give it a look and see if it might make sense for them.

For potential lessors, consider whether or not a purchase makes sense for you right now. It may not only save you money in the near term, but allow you to invest in a market that will likely appreciate in the years to come. Not to mention the tax benefits of owning property.

Finally, you're helping out the economy, do your PATRIOTIC duty!

Just my two cents from my (limited) view down here in the trenches.

I will also be posting this on my company blog which can be reached through our website at www.bulshodge.com.

Energy Audit in Austin When Selling a Property

Patrick Foley (Buls Hodge Consulting) — Mon, 02 Mar 2009 23:11:39 -0600

Just for those of you that aren't aware, the City of Austin has a new law going into effect on June 1, 2009 that will affect everyone buying or selling a home or commercial property built more than 10 years ago. As a result, you will have to have an energy audit performed on the property before the sale can go through. This will be required of all Austin Energy users. The cost is estimated around $350 - $400 for a 2500 SF home, but will obviously be much more expensive for large commercial properties.

I'm all about being green and energy efficient, but I think it needs to be an individual choice, not forced on you by the government at any level. However, it doesn't matter what I think! Just in case you were thinking of skipping out on this extra cost, the penalty from the city will set you back $2,000.

What a Trip to La Grange Tells Me About Real Estate

Patrick Foley (Buls Hodge Consulting) — Mon, 02 Mar 2009 15:24:10 -0600

Today I was fortunate enough to take a trip to La Grange, Texas which is about 70 miles from where I live in Austin. I say forunate because the weather is phenomenal, and I rode most of the way with my windows down and because I had some time to do some thinking which is always nice. Along the way I realized how many For Lease signs I saw.

To be fair, today isn't the first day that I saw a lot of For Lease signs, but it really began to hit home for me. There is a LOT of supply of commercial real estate in the Austin market. A TON! More than I've seen, though I have only been around this market for 3 years. What is even more amazing to me is that people are still BUILDING!

Drive along MoPac, I-35, 183, or any other major throughfare and count the For Lease signs, it truly is amazing. Now what doesnt' jive, is that market rates haven't come down all that much, at least not on the surface. In reality, deals are being done at way below asking rates, but of course nobody aggregates this data, so it is difficult to get a bead on where the market truly is, especially if you don't happen to be a commercial real estate agent actively working in the Austin market. I can tell you for a FACT that rates are way below anything you read in a research report, or see offered by a landlord. If you want proof, call me on my cell at 832.659.5076 and I will prove it to you.

Bottom line - Supply is up, rates are down (remember that microeconmics class you took many years ago that taught you about supply and demand?), supply is only going to grow, and rates are only going to continue to go down (at least in the short-term).

Our Sublease Report

Patrick Foley (Buls Hodge Consulting) — Mon, 02 Mar 2009 00:04:03 -0600

Buls Hodge Consulting is the only firm (that I'm aware of anyway) in the Austin area that is gathering the information on subleases and publishing a report about commercial sublease space. The report is available through our website, and some of the most salient points are posted on our website blog which can be seen here. Check it out and see what you think! Be sure to be on the lookout for the latest sublease statistics this week.

New Website

Patrick Foley (Buls Hodge Consulting) — Mon, 02 Mar 2009 00:00:27 -0600

One of the big things that I've been pushing for a couple of years now is a new website. We have gone through a couple of iterations (I think we are on our third) but have now come to a "Final" product. That being said, I think that our team at Buls Hodge has all come to realize that the web is a dynamic place, and there is no truly final website, as it is a living, breathing, and ever-changing thing. In any case, I'd love to hear some feedback if you have a moment to check it out at www.bulshodge.com.

Thanks!

(Commercial) Landlords Are Hungry

Patrick Foley (Buls Hodge Consulting) — Thu, 15 Jan 2009 16:35:30 -0600

Here in Austin, commercial brokers like to use this e-mail list to broadcast their haves and needs to the brokerage community. I'd say that there are anywhere from 100 - 200 emails sent out every day, so naturally it can be tedious to sort through them all. People send everything from executive suites needed to clients looking for 100,000 SF.

Last week I sent out broadcast for a VERY small deal. 1 - 2 offices for a U.S. Senate candidate, looking for a 6 - 9 month lease. The commission here was hardly worth anything, but it was more a favor than anything else. Imagine my surprise, when on the road to Arkansas (to see my Longhorns lose to the Razorbacks), I had over 30 responses by e-mail or phone. WOW! Landlords are scared, and looking at anything to get more cash-flow. I've talked about this with some other guys, and it is truly a great time to be a tenant looking for space, you can get some really great deals.

What Has Happened to Service in Restaurants?

Patrick Foley (Buls Hodge Consulting) — Thu, 15 Jan 2009 16:26:23 -0600

I hate to rant, but I have had some really poor service when going out to eat lately.

Now I must admit, I probably eat out for meals more than most. I probably go to a sit down restaurant for 7 - 10 meals each week (I know that's terrible from both a health and financial point of view). Lately, it just seems to me that service has really suffered, which I don't understand. With the supposed "death" of the consumer, restaurants should be polishing their service to keep existing clientele.

One particular place, that many of you are probably familiar with, is PF Changs. The last three times I have been there, it has taken 5 - 10 minutes for my table to even be greeted by our waiter. The first time this happened, I thought, well it must have been a fluke. The second time, the waitress made no apology, and the overall service was just terrible. She even went as far as to walk away from our table while boxing up our food to go and talk to a co-worker at the bar for over 5 minutes. RUDE! When I told the manager about the service, and how apathetic the waitress was, I just got an apathetic response, not even an apology. Not to be deterred by bad service, as I really like PF Changs' food, I went again last week. Same old story, and I requested to speak to a manager. The manager was very apologetic and sat down to talk for a few minutes. He ended up bringing us an appetizer (in addition to the one I had already ordered) and took $25.00 off our bill. He also told me to ask for him the next time we come in. Finally, some redemption, though it shouldn't be like that in the first place.

Two weeks ago I was at a downtown steakhouse (I'll let them remain nameless since it's a first offense). We made reservations for 8:00, arrived, and were told that it would be a few minutes. We weren't sat until 8:30. The meal was great, though the waitress seemed a bit inexperienced. When it game to dessert though, there was a bit of a SNAFU, so I again requested to speak with the manager about that, and the delay in the beginning. He was very kind, told me to mention him when we made reservations next time, and comped our dessert.

I really don't complain just to get something comped (though it usually does work out that way), but it really bugs me when the service is bad, especially when it has become so customary to leave a 20% tip. If I am paying for the service, I expect it to be good.

MCE Courses (Texas) - A Great Experience

Patrick Foley (Buls Hodge Consulting) — Tue, 13 Jan 2009 13:32:58 -0600

I've just gone through and finished up my MCE for my license renewal this week, and I must say, the company I used was GREAT! I used them previously for some other courses, but forgot what an amazing experience it was.

First of all, the courses are only $99, and they're all online, which allows you to skip out on a couple of days (often times a weekend) of boring classroom time. The $99 covered the Legal, Ethics, and actualy course itself, which is a pretty good deal.

Being online, I was able to go at my own pace, and finish up rather quickly. There wasn't even a FINAL EXAM for the main course (there was for the Legal and Ethics updates). I couldn't believe it!

The company makes available the PDF version of the course, so you can print it all out for future reference (no textbook required for these courses, which saves you even more money), and the best part of all (for me) was that they actually have commercial focused courses. So for those of you that primarily practice residential real estate, you might try a crack at one of these commercial courses to diversify your business in the future.

The company name is AbsoluteCE, and they can be found at www.absolutece.com. They aren't paying me to pitch them to you, I was just really pleased with their class. One last thing, they get your courses sent to TREC very quickly. I finished a course on Sunday, and it was in the TREC database yesterday afternoon. It doesn't get much better than that!

Why Doesn't AR Attract Commercial Agents?

Patrick Foley (Buls Hodge Consulting) — Sun, 04 Jan 2009 16:43:10 -0600

One of the tough things about being a commercial real estate agent is that so many tools, especially online tools, are geared towards the community of residential agents. Active Rain is no exception. I was looking at the list of Texas Commercial Real Estate Agents today, and noticed that I was the top agent, of course there are only 88 of us for the entire state! That seems ridiculous to me, given the size of the commercial market in Texas. This thriving community certainly has a lot to offer, not only to real estate professionals, but to (potential) clients as well.

I was initially attracted to AR through an article in a magazine, either Texas Realtor or the national publication. Again, these publications are generally chock full of residential articles, and very rarely ever cover commercial. I flip through them on occasion if it's unusually quiet in the office, but most commercial guys I know don't even bother. Could that be why they haven't been exposed to AR?

I would encourage those of us that specialize in commercial to encourage our coworkers to join, and contribute. For the rest of you, if you know a commercial agent, encourage them to take a look. Certainly if anyone has any ideas on how we can attract more commercial agents to AR, please comment.

Professional Photographers

Patrick Foley (Buls Hodge Consulting) — Sun, 04 Jan 2009 16:32:43 -0600

I love to seek feedback through Active Rain, in fact, a great deal of my blog posts are ones that ask questions. So here it is again: what has your experience been with using professional photographers? The reason that I ask is because I uploaded a new profile picture today, one that was taken by a professional. Everyone in our office had professional pictures taken a couple of months back, and I finally decided to use some of them (one here on AR). For those of you that have used photographers for personal pictures, listing pictures, etc..., what has your experience been? Has it been worth the money?

Commercial Sublease Statistics for Austin

Patrick Foley (Buls Hodge Consulting) — Sun, 04 Jan 2009 16:08:15 -0600

The following sublease statistics are as of the end of the year (12/31). What we've noticed in the last quarter is an increase in the amount of office sublease space by approximately 10%. Interestingly enough, we have seen a very slight increase in average asking rates for Class A, B, and C properties. These increases don't seem to be statistically significant, although you would think that given the increase in total available sublease space, there would be downward pressure in asking rates. Given the data, I would predict that asking rates will come down in the near future.

Total Sublease Space 931K

SW 302K sf

NW 197K sf

CBD 142K sf

Average Rates - Citywide averages

Class A $19.53

Class B $17.68

Class C $16.19

Please feel free to contact me with any questions at 512.480.3131 or 832.659.5076. You can also e-mail me at patrick.foley@bulshodge.com.

Is Coleman Being Unfairly Edged Out by Franken-friendly Canvassing Board?

Patrick Foley (Buls Hodge Consulting) — Mon, 22 Dec 2008 19:46:38 -0600

I was browsing my news sites, as usual in the evenings, and came across an article discussing the irregularities in decisions made by the Canvassing Board in Minnesota, regarding how votes are counted in the long-running U.S. Senate recount that pits Norm Coleman vs. Al Franken. It would seem that the board is rather biased and inconsistent. Check out the article for yourself here. If what this article says is true, it just goes to show you how we truly can't trust that the people on capitol hill are there fairly or legally.

Stars Should Take Avery Back

Patrick Foley (Buls Hodge Consulting) — Mon, 15 Dec 2008 15:03:50 -0600

I'm upset with the Dallas Stars management deciding to cut ties so readily with Sean Avery. I believe he is a good player, one that can fire up the team when necessary, and he is making a lot of money. The Stars need to give him a chance. I realize he has a history, but this is his first major slip-up in Dallas, and you certainly can't blame the woes of the Stars on him. Just my two cents, for what they're worth.

Snow in Austin - Crazy!

Patrick Foley (Buls Hodge Consulting) — Wed, 10 Dec 2008 15:41:36 -0600

As some of you may know (those of you that live in/around Austin, or have friends/relatives that do), it actually snowed in Austin last night. Naturally, very little of it stuck because earlier in the day it was 81 degrees, but it snowed in early December. Global warming? I don't think so, somebody call Al Gore and tell him that he can keep using his jet.

Was the Suspension of Sean Avery Fair?

Patrick Foley (Buls Hodge Consulting) — Wed, 10 Dec 2008 15:36:17 -0600

While I may seem to be a hockey binge, I meant to post this in my posting a few minutes ago. So I apologize for the posting deluge.

As those of you that are Dallas Stars fans, or perhaps Sports Center fans, probably know, Dallas Stars' Sean Avery was suspended by the NHL for 6 games because of some comments that he made last week in Canada, regarding the propensity of other NHL players to date Avery's ex-girlfriends. While I agree that the comments were inappropriate, I feel that the suspension is a bit extreme, compared to other things that have happened in hockey, and professional sports.

Thoughts?

Why Do Hockey Teams Take Such Long Breaks????

Patrick Foley (Buls Hodge Consulting) — Wed, 10 Dec 2008 15:31:02 -0600

I must admit, I am a Houston (and Longhorn of course) sports fan, through and through. That being said, Houston doesn't have an NHL team. As of late, I have become a pretty big Dallas Stars fan. The only problem with being a fan of professional hockey is that the breaks between games are TOO DAMN LONG! While I certainly hope the time off makes Marty Turco become the netminder he once was, but I have my doubts. Just thought I'd vent!

Direct Mail Experiences

Patrick Foley (Buls Hodge Consulting) — Wed, 10 Dec 2008 14:49:55 -0600

We've been having a bit of a debate in our office as of late, regarding the use of direct mail. I'd love to hear peoples opinions and experiences with direct mail.

We have used direct mail to varying degrees over the years. We had a big campaign to several hundred doctors a year or two ago to advertise one of our listings, and nothing came of it. More recently, a couple of us have sent out cards advertising our own services to prospective tenants, buyers, and landlords and have found some success. My contention is that for a mail campaign to be successful, it has to be consistent.

Any thoughts?

Why It's So Busy

Patrick Foley (Buls Hodge Consulting) — Wed, 10 Dec 2008 14:35:32 -0600

Let's face it, even in a weak market, businesses still need space. Sometimes it's a laid off worker that has a new great idea, and they are at the stage where they need office or warehouse. Sometimes it's a business that needs to downsize, so they want to sublease their existing space and find something smaller, and sometimes (believe it or not) a company actually benefits from a weaker economy and they need to expand.

I've posted in the past about Executive Suites, and their benefits. Well, I credit the executive suites that I list with keeping my phone ringing. Tons of companies are either looking to move out of the garage, or are in need of smaller office space.

I know that it isn't the most glamarous duty, but for the amount of work, the commissions are decent. The landlords are very happy because of the price/sf they get, and the tenants are happy because they find what they've been searching for. Sounds like a win-win for everyone.

Please feel free to let me know if you have any questions about my experience with executive suites.

Benefits of Social Clubs

Patrick Foley (Buls Hodge Consulting) — Tue, 02 Dec 2008 16:42:18 -0600

Hi All,

I'm curious to hear everyone's opinion about the value of joining a social club for real estate networking. Though I live and work here in Austin, I'm a member of the Petroleum Club of Houston www.pcoh.com (I'm happy to talk to anybody about the Petroleum Club, or membership if you're interested). I decided this week to check out the reciprocal club here in Austin, the Austin Club. So on Friday I'm going to lunch, and will see how things are there.

I was browsing their newsletter and saw a list of some new members, it definitely seems like a breeding ground of contacts that may be interested in tenant or buyer representation services. I imagine the same is true for residential brokers.

Any thoughts or comments would be greatly appreciated.

Longhorns Lose to BCS System

Patrick Foley (Buls Hodge Consulting) — Mon, 01 Dec 2008 16:39:06 -0600

I hate to whine, but it sure does seem like the Texas Longhorns got screwed by the BCS, in what will surely cause even greater hatred of the BCS system. I know that I'm biased, but I fail to see how you can say that Oklahoma deserves to be in the Big XII championship, and on the way to Miami (barring any unforseen circumstances).

I for one am rooting for Mizzou this weekend, and a small Florida win, in which Texas may not be jumped by the Gators. Likely? No. But it is the holiday season, and we are all allowed to have hope, right?