Commercial Real Estate News That Matters
Opportunity Zones As We Understand

  • If the capital gain from the sale of an asset (real estate or other) is invested in an “Opportunity Zone Fund (O-Fund), the gain can be deferred to December 31, 2026 with a 15% decrease in the taxable gain amount.

  • If the O-Fund is held for 10 years and sold, there would be no capital gains tax on the O-Fund’s appreciation. 

  • If you are an investor, the ability to defer a capital gain to 2026 might be very attractive PLUS, having no capital gains tax on the O-Funds appreciation could be huge!

  • Understanding the requirements and terms are essential. Snell & Wilmer are one of the leading legal firms in the Valley following the Opportunity Zones changes by the IRS. 
KLCG - AMA Town Hall Meeting
Topic: "Opportunity Zones"
A Game Changer for Real Estate Investing
  • What are Opportunity Zones and why are they important?
  • What is the best legal structure for ownership of assets?
Featured Speaker:
Attorney Byron Sarhangian, Snell & Wilmer
Date: December 5, 2018 Time: 5:30-7:30PM
Location: Arizona Multi-Housing Association 818 N. 1st St. Phoenix, AZ 85004
Seating will be limited and open to everyone.
If you are a property owner, please register ASAP to reserve a seat.
For Sponsorship Opportunities
Jim Kasten,CCIM
Town Hall Meeting Sponsors
The State of the Greater Phoenix Multifamily Market 
Biz Now Event 11.8.2018
Linda K. Fritz-Salazar, Associate Broker, Senior Partner
Kasten Long Commercial Group

Linda attended this event that covered our local Greater Phoenix Marketplace. Several items of note:

  • Ken Abrahams, CEO for NexMetro Communities talked about their hybrid rental communities all across The Valley. They have, after extensive research and Beta testing, devised a single level detached rental home. Their research showed that renters were much more willing to pay for and live in a detached, single level property in what looks more like a subdivision than an apartment. They are also building this product in Tucson, Denver, Tampa and have two other undisclosed sights in mind.

  • The panel on Investments and Trends noted shrinkage in the Cap Rate not only in the A Class Apartments; but B Class also. With prices going up, they are now cautioning their investors to expect less in returns than the home runs seen in the past six to seven years. All panelists were glad to hear that Freddie Mac and Fannie Mae will keep the same lending amounts as in 2018 which were $35 Billion for each.

  • The second panel on Developments, Design & Construction: The Future of Multifamily. The panel members spoke highly of the Phoenix market and the continuing strong fundamentals. Also noted, several of these developers mentioned that the Phoenix workforce was much more reliable, skilled and professional than they are finding in California and the Northwest.

All very good news for the U.S. economy and especially for Phoenix.
Yardi Matrix 2018 National Multifamily Market Update Webinar

Several interesting points were made:

  • U.S. Economy is in “very good shape”. Q3 GDP up 3.5%. Factors driving GDP show signs of growth

  • Multifamily market faces increasing Cross-Winds
  • Demand is strong, but shifting to lower cost cities
  • Financing costs up
  • Multifamily Capital is abundant - both debt and equity.
  • New supply deliveries are weighing down on several markets and the level of new supply is flattening, but not declining.

  • Inflation moving up, but not sharply. Unlikely to break out over 2.5%

  • National Multifamily values keep rising

  • Affordability will be an issue

  • Phoenix leads the Country in job growth

  • States that spend and tax less have higher growth rates
Expanding Our  Team

Kasten Long Commercial Group (KLCG)  is a locally owned and operated full service real estate commercial brokerage primarily serving metro Phoenix. We are currently looking to expand our team with experienced Commercial Real Estate Brokers that have a  “client first”  commitment.

Please contact:
Jim Kasten, CCIM
602 445 4113 Office
602 677 0655 Cell
Jim@KLCommGroup.com