Question and answer with Avital of Eastern Consolidated

Q: What advice would you offer to individuals just starting a career in commercial real estate? A: Be prepared for a tough year in 2009 and do not become discouraged if you are not closing deals. The market environment right now is causing a lot of disruption in the industry, the likes of which has not been seen in many years. This new era in the commercial real estate market is affecting everyone including the most seasoned brokers. Q: What is the best advice you have given to a client? A: Even though we are in a down market, calculate what the asset is really worth today, keeping in mind what you can do with it in the future. This is a tough market. There is still a disconnect between buyers and sellers. The best thing to do is give your best offer, and push to get it. Q: What was your most challenging project in 2008 and how did it impact your career? A: I was working with European clients who were new to the N.YC. real estate market. I spent a lot of time explaining N.Y.C. real estate facts and laws which differ from European customs and laws. I even took classes in their language, Spanish, so that they would understand me better. I brought them to see many buildings in N.Y.C., and finally they signed a hard contract on one building, at a high price. After one year of hard work they couldn't close the deal. They couldn't get financing and they couldn't flip the deal. They walked away from their deposit and we of course, didn't get a commission. I put all my eggs in one basket and in the end I lost that basket...what I learned from this is that even the most apparently lucrative deal, can go awry. Never allow yourself to become too consumed with one deal. Continue to focus on all possible deals. Q: What do you hope to accomplish in 2009? A: I hope to generate more business and to try to do my very best every day. I know it is not going to be an easy year. I would like to get real, motivated sellers that have to sell, and put them together with buyers who are sitting on the sidelines waiting for prices to come down. Q: What do you consider to be your most important assets? A: I almost instinctively know what property will be a good fit for each buyer that I work with. Q: What new sales and marketing strategies have you implemented to combat this challenging economy? A: Make sure that sellers have realistic goals; identify buyers who are able and willing to perform considering present lending restraints; close the gap between seller's expectations and buyer's needs and get seller financing when possible. Q: Why is it important to pay attention to the global economy with respect to the N.Y. real estate market? A: I am seeing that more of my new clients are coming from Europe. We must be alert to what is happening in the global economy because it affects the purchasing power of these clients. If they are not getting the returns on their investments that they need to conduct business with us, then they will stay away. Q: What is unique about the N.Y. real estate market in comparison to the rest of the U.S.? A: N.Y.C. is a mecca for investors of all backgrounds and cultures. Investors are drawn to a city which pulses with energy, excitement, and where real estate prices are notoriously competitive. Rewarding transactions, in this thriving city, are experienced by sellers and buyers alike, regularly. Q: What lessons have you learned from past real estate trends that can be applied to today's market? A: Strong buyers remain strong even in a down market. As long as you bring them deals that meet their needs, they will buy. Do not take time off, do not take a break, continue to work as if we are still in an up market because deals always happen regardless of how the market is doing. Aliza Avital is a director at Eastern Consolidated, New York, N.Y.