Buffalo, N.Y. (WBEN) - Out-of-town investors, and there are a lot of them, still view the Buffalo Niagara region as solid location to purchase commercial real estate.
Investors, in recent weeks, have expressed a strong interest in an Elmwood Village apartment complex while, at the same time, other investment groups have acquired a Downtown Buffalo office building, a Cheektowaga warehouse and a North Buffalo property anchored by a Regal Cinemas complex.
"Buffalo is considered a safe and solid place to invest," said Greg Straus, 716 Realty Group founder. "You know you will a get an annual return in the 3%-to-5% range."
The recent spate of deals involving out-of-town commercial investment groups is not a new trend. It has been there for the past 20 years, but has picked up more momentum recently.
Data from the U.S. Census Bureau found that slightly more than 60% of all commercial deals recorded by the Erie County Clerk's office involved buyers from outside the 716 area code.
Groups like Invest Buffalo Niagara and many of the region's economic development agencies all have project logs dominated by out-of-town investment interests.
Straus noted his Elmwood Village listing has attracted interest from 49 investment groups, with seven submitting initial bids. The 49-unit apartment building remains on the market.
"It is certainly a busy time when it comes to some listings," Straus said.