Block & Company Quarterly Review - 3rd Quarter 2023
October 27, 2023
Letter from President David M. BlockI'm proud to report that the Kansas City market continues to remain very active regarding sales and leasing. Our market is experiencing a strong lease-up of vacant restaurant and retail space due to elevated interest rates and the costs of new construction. Typically, with high interest rates, it is not uncommon to see a slowdown in commercial real estate sales, but so far, that has not been the case for Block & Company-managed properties in 2023. Our construction management division has also remained extremely active with TI (Tenant Improvement) projects throughout the metropolitan area.
Property valuations and cap rates in the restaurant and retail sectors have maintained their values due to high occupancy rates and cash flow. I must credit both our sales team and support staff for the sustained level of activity we've witnessed this year. Their experience and talent are the reasons we've had a strong demand for our company's services.
Block & Company employees and sales staff continue to be involved in various charitable organizations and causes throughout the Kansas City community. With the holidays quickly approaching, Block & Company is once again excited about the opportunity to collaborate with several local charities by providing them with the space their charities need to have a major impact in the community for the holiday season.
I would also like to express my gratitude to all our partners and investors for their commitment and continued trust in Block & Company. Lastly, I'd like to be the first to wish everyone a very happy and healthy holiday season.