Market Movements with Hugh Wade, Owner/Broker of Spire Commercial Real Estate - June 2023
What I'm seeing: This moment and looking out over the next five years.
I think we are in for a mini-boom, a period of sustained growth, the likes of which we haven't seen for a couple of decades. Here’s some of what we are seeing:
Everyone seems busy. General Contractors and subs. Architects. Trucking firms. We’ve gotten away from “We’re really busy now but uncertain about next year.” Work pipelines seem full, backed up. Now, the biggest challenge isn’t uncertainty, but finding enough qualified, experienced employees to meet demand.
I went to a panel put on by the Resource Development Council a few weeks back. The Lynden official said he hasn’t seen the likes of the number of trucks coming up from the Lower 48. They needed 200-plus commercial drivers, immediately. Also there is not enough port or barge space in northern Alaska to get the requisite stuff up there. Infrastructure money, Alaska internet money, and exciting new projects coming online, from the oil patch to ports and airports outside of the road system.
It seems like Alaska position relating to Climate Change, National Security, Geopolitics and the transition from fossil fuels to cleaner electric and power is solid.
I don’t think the above (the amount of work and the ramping up) has dawned on the general public or become part of the local conventional wisdom and optimism yet. I think it will. I think the public is always about six months behind what is actually happening.
Things, as of right now, are looking remarkably, surprisingly good.
Spire Commercial Real Estate