Commercial real estate industry insights.

Advances Growth Trajectory with Opening of Satellite Offices in West Region’s Secondary Markets    

by Phil Hanshew, MAI, AI-GRES | May 3, 2024

In real estate circles, “location, location, location” are probably the three most important words when valuing property. This popular industry phrase can also be applied to high-growth, secondary real estate markets.

Booming markets such as Austin, Salt Lake City and Las Vegas, are increasingly attracting people and businesses who seek alternatives to major urban destinations. According to census data, these rising cities have experienced 10-year U.S. population growth of between 10 percent and 30 percent, outpacing the 2010-2020 population growth of 7.1 percent.

Reasons vary for their growing popularity. They include job opportunities, more affordable housing, lower taxes, favorable climate conditions and other cost-of-living and quality-of-life factors.

Technological advancements also contribute to the migration to these markets, enabling people to work and collaborate from anywhere. To some degree, the pandemic accelerated this trend of people relocating from the high-density populations of major urban centers.

BBG also views secondary markets as an integral part of its growth strategy.

Recently, BBG expanded its already-strong presence in the fast-growing Western region with the opening of three satellite offices offering valuation services. Offices in Las Vegas, NV, Fresno, CA, and Medford, OR, are led by appraisers Shane Lembeck, Ashley Garabedian and Dirks Mathias, respectively.

The Medford office is servicing southern Oregon and northern California and also appraises hospitality properties along the West Coast. Las Vegas provides services there and elsewhere in the Southwest. Fresno is representing BBG in the State’s Central Valley, and has started training in the firm’s golf course practice.

Plans call for opening several additional satellite offices in the West in the coming months, with Boise, ID and San Luis Obispo, CA, nearing launch, and Reno, NV, and Spokane, WA in the works Currently, BBG has a total of 50 offices nationwide.

These satellite offices benefit BBG, its staff and clients for a number of reasons, such as:

  • As more of the population shifts to these Western markets, more significant economic opportunities will become available for BBG and the CRE industry overall because these areas are expected to show continued strong growth.
  • Clients located in smaller cities and towns tend to prefer working with local appraisers who have an in-depth knowledge of the area and local building regulations and zoning codes.
  • Because the West is an expansive geographical region, it can take hours of travel for our appraisers working in larger metros to conduct inspections and meet with clients in smaller locales. Satellite offices allow appraisers to significantly reduce travel time and associated costs.
  • The satellite offices will further advance BBG’s goal of organic growth. These offices and others planned offer an attractive opportunity to hire and train some of the firm’s next generation of appraisers. Likewise, many younger appraisers like the idea of living, working and playing in second-tier cities which, in many cases, provide more affordable housing stock, along with the social and cultural activities that appeal to them and their families.
  • Opening these satellite offices help strengthen BBG’s expansion in the West. BBG appraisers and other staff working at the firm’s offices in the primary and secondary markets will be sharing their expertise and resources to provide the best possible outcomes for clients. This cross-market collaborative model also will be instrumental in improving professional staff development.