The Difference Between Purchased Data and Agency Data in Industrial Real Estate0

Posted by Thomas Miller, CCIM

miller-industrial-properties-market-advisor-market-report-northern-nevadaIndustrial real estate decisions are made based on data, and inaccurate data can be very costly. Property information from one market to the next is often readily available and right on the mark – assuming the location is right and you know where to find it.

Location, Location, Location

While big markets on both coasts and large metropolitans areas inland – New York, San Diego, San Francisco, Atlanta, Dallas – tend to enjoy particularly excellent industrial real estate data, that’s not always the case in smaller markets. It’s not difficult to understand why, as smaller markets tend to have smaller resources, but it’s a problem nonetheless. After all, market data is only as good as the time spent compiling it.

It’s for that reason that industrial real estate data here in northern Nevada tends to be marginal, at best. But there is an alternative. While purchased data will have gaping holes and information to take with a grain salt – data to be used only after careful scrutiny and validation – there is a way to find data about this market you can actually trust.

The Right Connection

By partnering with a trusted industrial real estate firm here in northern Nevada, you’ll enjoy access to mountains of data. Understand, of course, that these local firms gather information through one of four ways:

  • Buying data and hoping it’s close enough
  • Foregoing data altogether and going on instinct
  • Borrowing data from competing agencies
  • Generating data by compiling market stats as local transactions occur

Obviously, the fourth option is the most beneficial to you. That’s why one of your very first questions to any potential agent should be some variation of, “how do you access market data?” The answer will quickly make clear what kind of agency you’re dealing with, so ask for specifics – reports, databases, etc. Those who understand the value of comprehensive agency data – the kind that can’t be purchased willy nilly – will be happy to share it with you. And those who don’t value this kind of information enough to put forth the resources to gather it, well, that makes your decision about with whom to partner that much easier.

For accurate information about market data here in northern Nevada, contact Miller Industrial Properties today.

Our posts are intended to educate commercial real estate users so they can make better decisions in their real estate use, investments, buying and selling. We encourage your input and commentary. If you are enjoying these posts and finding them useful, help spread the word via Facebook, Twitter, LinkedIn, Google + or email with the buttons above.

About the Author

Thomas Miller, CCIM

Thomas Miller, CCIM is the president and broker of Miller Industrial Properties in Reno, Nevada. He has worked in industrial real estate since 1991, with 15 years of previous experience designing and building industrial warehousing and manufacturing facilities in the northern Nevada market. Contact Tom at tom@mipnv.com or 775-742-9891.

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