Hi, Cassie Wells with KW Commercial Keller Williams Realty. NAR, the National Association of REALTORS, came out with their third-quarter report. They have a great report, and they break it up into over 400 different cities. So I thought I’d bring to you what they said about Little Rock, Arkansas. I will also attach on here more information so that you can read it also. The job creation is lower than national, but that’s what I would expect since we didn’t really shut down, and we did not really have high unemployment. And that gets me to the fact that unemployment is lower than nationally. And I think we have that just because we didn’t shut down. The wages are rising at a slower rate than nationally, but the population is growing faster than nationally. We are experiencing a net domestic immigration. That means that we are having immigration from inside of our borders, the national borders. I think it was Forbes that listed Arkansas as the 10th… We were in the Top 10 for the places to move to in 2020. So now, let’s break it up industry by industry and we’ll start with multifamily. Everyone knows multifamily is my favorite. There is really no surprise because we are in Arkansas, but the rents are rising at a slower pace than national. The income to rent ratio is lower than national. We have a lower net absorption. I think we have that because we’ve had so many apartments being built here lately, tons of apartments over on Bowman, and then that huge apartment complex, mixed-use complex, going in over by the McCain Mall area where 65 and 40 meet and everything. But the vacancies are down from the third quarter in 2020 and from the second quarter in 2021, so they’re on the way down. Building permits are lower than nationally. I think that’s because we’ve had so many units being built in the last couple of years. So that would be one reason why the building permits are down. The cap rates are higher. Prices of units not raising as fast as nationally, but that would be because rents are not rising as fast. To raise the value of multifamily, you have to raise the price. And the cap rate is about 7.3% on average. Offices also doing okay. They have a lower vacancy rate than nationally, but rents are on the rise. The leasing volume is not as strong as national, but we do have a good office creation here. Construction is a little bit slower, but people just really don’t want to build an office right now, so that’s quite understandable. And the cap rates of office is going up, and it is right at 7%. Industrial is what’s rising the most. And it will continue to rise. In the logistics theme of things, Arkansas is poised perfectly. We have the major interstates coming in. We have the port. We’re located in the middle of the country. So the vacancies are lower than national, the reason why I just stated. Rents are rising faster than national. And there is more units being built and the prices are going up. And the cap rates are higher on industrial than what they’ve been in the past. Retail, hey, retail is doing really good too. They have a lower vacancy rate. There’s not much retail that’s around for rent. Part of that is that some offices are moving into retail spaces just so they can have an outside door entry on that part. So Little Rock has a stronger retail trade for jobs than nationally. Construction is robust. If anyone that’s driven down [Chenal 00:05:08] can tell that construction of retail is going stronger than ever. The prices are not going up as quickly as national, but we’re here in Arkansas, prices just don’t go up that quickly. And the cap rate on retail is about 7.3%. And then hotels, hotels are doing better locally than nationally. But we are a vacation city, so that would be normal. And now, we have the fall weather, so we should have quite a few people coming and going camping. So to wrap this all up, the economic conditions on a whole are stronger than nationally. Apartments and office is a little bit weaker than nationally. Industrial, retail, and hotel are doing stronger than nationally, but all in all, everyone is doing good. And it was a good third-quarter report. Cassie Wells is an Executive Broker with KW Commercial (Keller Williams) in Little Rock, Arkansas and specializes in Commercial Real Estate and Investments Real Estate, in addition to Real Estate as an Alternative Investment. Cassie holds the coveted Certified Commercial Investment Member (CCIM) designation and a Master’s in Commercial Real Estate from Lipsey School of Real Estate. Connect with Cassie Wells now to discuss your Arkansas real estate needs! Phone: 501-993-1973 Website: CassieWells.com LinkedIn: https://www.linkedin.com/in/cassiewells/ Facebook: https://www.facebook.com/CassieWellsRealtor


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