Monday Market Update – October 28, 2024

Anniversaries, Sweets, and Shuttered Kitchens: What’s Shaping Orlando’s CRE This October

From the Desk of Amy Calandrino at Beyond Commercial

Welcome to this week’s Monday Market Update. As October comes to a close, we are excited to celebrate a key milestone, explore the impact of rising costs on local businesses, and examine global trends that may affect commercial real estate. From staff anniversaries to Halloween market shifts, here’s what you need to know this week.

In the Office: Celebrating One Year with Diana Buchan

We recently marked the one-year anniversary of Diana Buchan with Beyond Commercial. Diana and Amy Calandrino’s connection runs deep—they first met at West Orange High School in Winter Garden, where Diana still resides with her family. Diana’s familiarity with the area has become a valuable asset, allowing her to focus much of her work in the Winter Garden market.

Over the past year, Diana has played a key role in supporting client transactions and managing relationships. Her knowledge of the Winter Garden area aligns with Beyond Commercial’s goal of delivering highly personalized service tailored to local market needs. With her deep community roots, Diana helps us offer a level of insight and service that is second to none. We look forward to continuing this journey together as Beyond Commercial grows and evolves.

Learn more about Diana and the rest of the team https://beyondcommercial.com/who-we-are/

National and Global News: Halloween Candy Trends Reflect Market Shifts

This Halloween, consumers are facing higher prices for popular treats, with chocolate becoming especially expensive due to rising cocoa prices, transportation challenges, and global economic pressures. In contrast, gummies have gained popularity as a more affordable option. You can read more about these shifting candy market trends  here https://globalnews.ca/news/10828274/halloween-chocolate-prices-gummies/

These trends highlight broader shifts in supply chain management, which are also affecting commercial real estate. Retailers are rethinking inventory strategies and leasing more flexible spaces to accommodate fluctuating consumer demand. For brokers and landlords, the challenge is to identify opportunities where retail spaces can add value and support these new retail models.

Local Spotlight: Central Florida Restaurants Face Rising Costs

In Orlando, several well-known restaurants have made the difficult decision to close due to rising operational expenses and shifting consumer preferences. This trend reflects the broader challenges faced by small businesses across the region. For more on these closures, read the full coverage from the Orlando Sentinel [here https://www.orlandosentinel.com/2024/10/24/difficult-decisions-central-florida-restaurants-shut-down-amid-rising-costs/.

While vacancies are unlikely to stay empty for long, as landlords often secure national credit tenants with strong financial backing, the picture is much different for local entrepreneurs. Small business owners, without the scale and resources of a national chain, are finding it increasingly difficult to make the numbers pencil in a high-cost environment. Many are struggling to absorb rising costs, including rent, labor, and supplies, making it challenging to maintain profitability.

As a result, shared developments and owning your own space once you cash flow is becoming more attractive strategies for smaller businesses looking to mitigate risk. Beyond Commercial is committed to supporting these entrepreneurs by facilitating cost-effective lease negotiations and identifying strategic locations that align with their business models. In a market that is growing more competitive, flexibility and resourceful site selection will be critical for small business success. 

Final Thoughts: Balancing Milestones and Market Changes

This week’s Monday Market Update reminds us that while market shifts present challenges, celebrating milestones like Diana’s anniversary shows the importance of strong relationships and adaptability. Whether assisting businesses through rising costs or leveraging local expertise, Beyond Commercial remains committed to helping our clients thrive.

Stay tuned for further updates on these developments and how they might influence your commercial real estate decisions. For more immediate insights and personal consultations, feel free to contact us.

Amy Calandrino