4th Quarter 2012 Hotline
Market Watch Southern Industrial Development
by Joe A. Hollingsworth, Jr.
In our September 2011 hotline article, we said, “Once again we see that business hates variables and can only factor very few variables at one time in the decision to deploy capital.” In July 2012, we indicated that “we see things beginning to pick up momentum above a trepid last twelve months with a ‘hockey stick’ looking economy from March 2013 on.” Then, we followed it up with, “Regardless of which party you are in, the sense of optimism and excitement will clearly ignite this economy by the election of Romney by March 2013. In fact, I would like to be on record as saying three years of 5% GDP increase is obtainable.”
As my immediate team knows, I am very seldom right, and I often provide much humor for their water cooler jokes. So, it’s with a less than perfect track history of predictions that I continue to stick my neck out and say, “The above all remains true; and, in the months of August and again in September, our new prospects across our entire footprint were up five fold.” Not only that, but the proposals for build-to-suits were more definitive in nature and more time driven. Furthermore, the icing on the cake is that the quality of our shows for industrial property has gone from the general manager or plant engineer to the CEO or CFO.
All the above indicates to us that those with capital to deploy are positioning themselves for a “first out of the gate” break for a much higher GDP growth. I have had a tremendous number of positive comments on our prediction of a Romney victory along with the fundamental reasons why (in the last article), and it is apparent that more and more smart money seems to be betting on a strong rebound. Additionally, the smart money is buying insurance by making heavy donations to those candidates representing common sense business interests and conservative principles.
After several dry years of lackluster offers for existing prospect owners, now is not a bad time to get out if you are under any kind of financial pressure at all. However, our sentiments are that there are really more reasons to buy and there will be a huge surge in demand once the market has clarity of our election and tax cliff measures. In fact, we see cheap usable and flexible older structures disappearing fairly fast. From March 2013, we are on a 5% GDP increase for 3 consecutive years – so, position well!
"I fully recommend working with The Hollingsworth Companies if cost or time driven schedules play a part in your company's opportunity because they do deliver within budget and on time with no change orders or surprises." -- David B. Sutherland, CMS Companies
"Southern states are home to 50 million more residents than the Northeast. In corporate growth, only the South has shown a positive net migration in the early 21st Century." -- Plano Star Courier
"We invited The Hollingsworth Companies to our Atlanta Offices. Within two weeks all negotiations were completed and the lease was executed. From beginning to end, it only took 45 days to complete our requested up fits." -- David B. Sutherland, CMS Companies
"The bottom line is that we could not be more pleased with our Hollingsworth Companies experience." -- Karl F. Hielscher, President and CEO, Metl Span
“From greenfield startup to becoming a national industry leader 10 years later, Hollingsworth continues to play an invaluable role in Service Center Metals growth and success.” -- Scott Kelley, President and CEO, Service Center Metals
"Hollingsworth entered an agreement to ensure quick delivery of the pre-approved standard building sizes . We are committed to deliver the structural steel, ready for erection, in just 6 weeks from receipt of a final building order." -- Jeff Carmean, General Manager, Nucor Building Systems
"Joe Hollingsworth participated as one of our first equity investors. In addition, Joe Hollingsworth has served as a board member and leading advisor for strategic planning and direction." -- Scott Kelley, President and CEO, Service Center Metals
