Year End Report for 2015
Since 1976, The Group has thrived as a local, independent real estate firm owned by the people who work here. We are grateful for the trust our customers have put in us to handle their real estate transactions. We are grateful for our communities where citizens bring vitality, knowledge and innovation. We are grateful for an industry that fulfills the role of helping people achieve their goal of homeownership. As our cities have grown, The Group has grown, recently attracting many new people to our company who reflect the youthfulness and future of our communities. We look forward to the coming year and the celebration of The Group’s 40th year.
Board of Directors
Our Board of Directors is made up of Group Partners. They are elected by Larry Kendall Chairman of the Board
Susie Ewing President
Kathy Arents
their peers to serve a two-year term. These people bring their business acumen and their
Craig Hau
Troy Hiebsch
Kelly McBartlett
vast experience and knowledge of the real estate business to guide the direction of The Group.
Doug Miller
Susan Orth
Don Svitak
2015 Market Overview The Northern Colorado housing market was
relatively affordable compared to other parts
extremely active throughout 2015, and price
of the country taking into account our relatively
appreciation saw double-digit gains, putting
lower prices, the still low interest rates, our low
Fort Collins/Loveland and Greeley #9 and #10
property taxes (CO ranks 39th in the country)
respectively in the top 30 markets in the U.S.
and a median household income that is above the
for appreciation.
national median in all of our communities.
Northern Colorado remains
A shortage of inventory made it difficult for buyers, and increasing prices presented additional challenges, especially for first-time homebuyers.
Job growth was strong in 2015, lowering Colorado’s unemployment rate to 3.5%. Considering that employment is a leading indicator of real estate activity by 12 to 18 months, the future looks bright.
High rents coaxed many buyers into the market and Realtors had their work cut out for them finding homes in the lower price ranges. Many of these buyers found what they were looking for in outlying communities. New apartment projects in the works will help ease this situation. The over $400,000 market moved up somewhat slower, presenting
an
opportunity
for
homeowners
wishing to move up. National builders moved into our market and available
building
lots
have
been
quickly
absorbed.
The new construction landscape is
highly competitive and builders have found it difficult to deliver product in lower price ranges due to increasing land, water, development and construction costs.
4
YEAR END REPORT FOR 2015
Regional View Northern Colorado is known for its quality of life.
Many prospective home buyers ask to look at
It is located in the foothills of the majestic Rocky
more than one community, with each offering
Mountains with outdoor recreation beckoning
something unique.
enthusiasts, vibrant responsibly planned cities,
the source of information on the region and to
two major universities, world renowned art, a
help them understand the entire market with our
highly educated workforce, superior schools,
brokers housed within our 6 strategically located
low crime, 300 days of sunshine and a mild, dry
offices located throughout Northern Colorado. Coun
Our commitment is to be
County Road 56
25
Ongoing national recognition keeps Northern
Terry Lake
Colorado’s visibility high with a reputation
7
d2
392
TAFT AVE
a strong economy. R nty
Cou
Loveland
oad
Residents see themselves as ‘citizens of Northern
Horseshoe Lake
27
Fort Collins Loveland Airport
County Road 13
WILSON AVE
287
un Co
ty
Lake Loveland
ad Ro
CROSSROADS BLVD
EISENHOWER BLVD
392
Poudre River Ranch Natural Area
257
10TH ST
Greeley
34
20TH ST
29
they work, shop and recreate in the entire area.
MAIN ST
Windsor
Boyd Lake
Colorado.’ While they live in one city or town,
Severance
Windsor Lake
17
Roa
County Road 32
region continues to grow primary jobs to support
County Road 74
71ST AVE
25
Fossil Creek Reservoir
Count y Road
County Road 38E
nty
and an eco-system that supports innovation, this
!
257
County Road 13
Cou
Fossil Creek Park TRILBY RD
Windsor Reservoir
County Road 38
59TH AVE
Timnath
!68
HARMONY RD
Timnath Reservoir
County Road 23
Warren Lake
degree or higher, a business friendly environment
34
TIMBERLINE RD
SHIELDS ST
HORSETOOTH RD
LEMAY AVE
With over 43% of our residents with a bachelors
Fort Collins COLLEGE AVE
voir
TAFTHILL RD
Reser
remains an important part of our local economy.
Au
14
County Road 5
DRAKE RD
Horsetooth Mountain Park
MULBERRY ST
County Road 33
thooth
PROSPECT ST
County Road 5
City Park
Horse
Park
Although the oil industry has slowed in the area it
Pierce 85
Lee Martinez Park
as the “Napa of Craft Breweries” and one of Lory the “epicenters of Clean Energy innovation.” State
County Road 90 County Road 19
every day.
Larimer County Weld County
!1 County Road 56
County Road 29
climate that draws visitors and new residents
34
County Road 20
County Road 16
60
County Road 14 County Road 17
County Road 23
Carter Lake
Larimer County Weld County
Johnstown
25
256 60
5 Gilcrest County Roa
County Road 13
County Road 7
287
County Road 904
County Road 21
County Road 4
Milliken
County Road 42
County Road 21
!
!56
County Road 11
Berthoud
56
unty Co
60
287
County Road 10
County Road 8E
County Road 50
County Road 17
d 31
County Roa
travel internationally out of Denver International
County Road 54
County Road 18
402
County Road 7
About an hour commute, residents can also
of Denver.
14TH ST
County Road 21
region is its own sustainable micro economy.
Airport and enjoy the larger metropolitan area
257
Boedecker Reservior
There are so many amenities close by that the
Residential Statistics • The average sales price of $305,132 in Northern Colorado was up 11.6% from the previous year. • The dollar volume of home sales in Northern Colorado for 2015 was $3,121,200,954, an increase of 12.61% from 2014.
• There were 1,787 new homes sold in Larimer and Weld counties in 2015.
Homes Sold
Area
2015
2014
2015
2014
2015
2014
Fort Collins/Wellington/Timnath
3,721
3,816
$1,264,256,756
$1,146,193,050
$339,763
$300,365
Loveland/Berthoud
2,100
1,977
$665,133,740
$556,336,704
$316,730
$281,405
Greeley/Evans
2,450
2,280
$550,163,302
$461,049,659
$224,556
$202,215
824
787
$311,164,717
$273,390,928
$377,627
$347,384
Ault, Eaton, Johnstown, Kersey, LaSalle Mead, Milliken
1,134
1,279
$330,482,439
$334,731,851
$291,431
$261,714
Totals
10,229
10,139
$3,121,200,954
$2,771,702,192
$305,132
$273,370
Windsor/Severence
6
• The Group, Inc. Real Estate was involved as the listing and/or selling brokerage in 30.69% of all residential transactions in Northern Colorado for 2015.
YEAR END REPORT FOR 2015
$ Volume
Average Price
Commerical Market 2015 brought a mix of outcomes across Northern Colorado’s three commercial market sectors – retail, office and industrial. Throughout the region, slowing margins in the local oil and gas industry made for a mass of increasingly cautious tenants. Growing
housing
supply
throughout
Northern
Colorado continued to push the need for more retail space during 2015. During the third quarter, the region’s vacancy rates declined and there was a substantial increase in absorption. Supply of suitable retail space continues to fall, driving rental rates up. Because of lack of product there has not been an influx of new businesses coming from outside the area. Northern Colorado’s market for office space did not meet demand for quality product. It does not look like there will be significant rent increase in the next year. Oil and gas companies who leave the area will bring more sublease space to the market. The demographics, job outlook, and in-migration coming to the area has made investors bullish on office buildings. Some speculative construction will occur due to lack of quality supply. For the first time in a year, industrial market vacancies increased.
Despite high vacancy rates
overall, the region doesn’t hold enough desirable space to meet current need and there is not much of this product under construction. This could cause potential tenants to look at other areas. Higher rents have increased the quality of the tenants.
VACANCY RATES
While the energy industry activity is not as stable as it has been in the past, it is not the only industry that contributes to our regional
Fort Collins
Loveland
Greeley, Evans, Windsor
12/15 12/14 12/15
12/14
12/15
12/14
Industrial
4%
3%
11%
12%
11%
3%
Retail
4%
3%
4%
4%
7%
5%
Office
3%
5%
6%
9%
7%
4%
economy. Combined with the uptick of demand,
Source: SVN / Denver Commercial®.
we can expect the commercial real estate trend lines to continue upward in Larimer and Weld counties next year.
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Residential Sales History Average Year # of Homes % Change Dollar Value % Change Sales Price
8
% Change
Fort Collins Wellington Timnath
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
3,701 3,613 3,121 2,923 2,783 2,736 3,374 3,878 3,816 3,721
-8% -2% -14% -3% -5% -2% +23% +15% -2% -2%
$920,687,503 $916,175,623 $783,626,770 $699,252,210 $696,823,184 $693,885,165 $879,448,133 $1,082,392,812 $1,146,193,050 $1,264,256,756
-6% -0.5% -14% -11% -2% 0% +27% +23% +6% +10%
$248,767 $253,578 $251,081 $239,223 $250,386 $253,613 $260,654 $279,111 $300,365 $339,763
+1% +2% -1% -5% +5% +1% +3% +7% +8% +13%
Loveland Berthoud
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
1,709 1,535 1,386 1,335 1,363 1,381 1,681 2,002 1,977 2,100
-17% -10% -10% -4% +2% +1% +22% +19% -1% +6%
$439,562,980 $376,943,056 $333,496,631 $301,738,889 $315,371,969 $322,535,668 $412,216,976 $517,210,506 $556,076,804 $665,133,740
-14% -14% -12% -10% +5% +2% +28% +25% +8% +20%
$257,204 $245,565 $240,610 $226,021 $231,381 $233,552 $245,221 $258,347 $281,405 $316,730
+3% -5% -2% -6% +2% +1% +5% +5% +9% +13%
Greeley Evans
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
1,857 1,704 1,662 1,671 1,532 1,465 1,493 1,944 2,280 2,450
-16% -8% -3% +0.5% -8% -4% +2% +30% +17% +7%
$324,713,094 $281,539,881 $250,523,236 $232,955,393 $218,002,039 $208,237,058 $241,807,019 $344,461,436 $461,049,659 $550,163,302
-20% -13% -11% -7% -6% -4% +16% +42% +34% +19%
$174,859 $165,223 $150,735 $139,411 $142,299 $142,141 $161,960 $177,192 $202,215 $224,556
-5% -6% -9% -8% +2% 0% +14% +9% +14% +11%
Windsor Severence
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
701 660 478 495 501 557 728 819 787 824
0% -6% -28% +0.5% +1% +11% +31% +13% -4% +5%
$223,702,916 $219,222,307 $149,071,110 $141,649,327 $150,282,988 $161,958,496 $218,991,979 $260,621,098 $273,390,928 $311,164,717
+2% -2% -33% -5% +6% +8% +35% +19% +5% +14%
$319,120 $332,155 $311,864 $286,160 $299,966 $290,769 $300,813 $318,219 $347,384 $377,627
+3% +4% -7% -8% +5% -3% +3% +6% +9% +9%
Ault Eaton Johnstown Kersey Milliken Mead LaSalle
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
707 662 652 532 535 698 896 1,053 1,279 1,134
-11% -6% -2% -19% +1% +30% +28% +18% +21% -11%
$159,017,056 $143,527,537 $130,212,087 $100,097,095 $104,919,874 $134,601,026 $187,164,073 $245,284,496 $334,731,851 $330,482,439
-8% -10% -10% -23% +5% +28% +39% +31% +36% -1%
$224,918 $216,809 $199,711 $188,152 $196,112 $192,838 $208,888 $232,939 $261,714 $291,431
+4% -4% -8% -6% +4% -2% +8% +12% +12% +11%
YEAR END REPORT FOR 2015
Source: MLS, Residential and attached homes only.
Building Permit Activity
Homes Listed
6359
5662
3701 3613
3698
4176
3121
2923 2783 2736
3374 3878 3816 3721
’08
’09
’12
’10
’11
’13
’14
555 408 264
’15
’06
’07
’08
140 171 ’09
’10
3024 2663
1820 1604
’11
’12
’13
5359
’07
4846
2540 2341
’06
1443 1795 2121 1977 2100
’08
’11
’09
’10
’12
’13
’14
281 145
’15
’07
4338
’06
2294 ’08
3262 3506
2910 3095
1987 2067 2163 2389 ’09
’10
’11
’12
4230 3689 4153
’07
’08
68 ’09
125 152 ’10
’11
361
243
233
’12
’13
’14
’15
449
367 179
’15
’14
Single-Family
2997 3559 3584 ’13
’15
465
2442 2582 2347 2506
1467 1399 1376
’14
Single-Family
Greeley/Evans
Greeley/Evans
’06
2271 2565 2132
509
235
445 3424
565
440
Loveland
’07
4404 4434
Single-Family
458
4528 4419 4431
Loveland
’06
5062
Homes Sold
Fort Collins
Fort Collins
Residential Inventory
’06
’07
292 65
45
80
’08
’09
’10
35
55
’11
’12
155 ’13
’14
’15
Single-Family
Windsor/Severance
Windsor/Severance
*Greeley, Evans, Ault, Eaton, Johnstown, Kersey, LaSalle, Mead, Milliken
1485 1233 1141
915 930 869 701 660 478 495 501 557
981 1068 997 1056 728 819
787 824
’06
’12
’14
’07
’08
’09
’10
’11
Includes all listing types, except mobile/manufactured. Source: MLS, residential and attached homes only.
’13
’15
437 224
’06
119
96
’07
’08
134 ’09
244
’10
451
356
265
241
’11
’12
’13
’14
’15
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Our Commitment to Innovation The
Group
maintains
the
most
current
technology for the purpose of promoting our listings and making the real estate process easier for our customers. Our mobile website, easy-to-use app that incorporates augmented reality, and state of the art website help customers
access
up
to
the
minute
information about homes for sale. 3-D tours coming to the real estate industry can be viewed at our office at 121 E. Mountain Avenue, Fort Collins using a Virtual Reality headset. Our Liquid Galaxy® provides a bird’s eye view of Northern Colorado, and helps newcomers receive a unique and quick orientation to the entire aera. Custom designed internal technology allows our staff to efficiently track the details of every contract. The Group is committed to bringing the best real estate experience to our customers and we continually look to the future to improve that experience.
Our Commitment to Our Customers
Our mission since 1976 has been to ‘help people get where they want to go on time – closing on time is one of the top priorities for both buyers and sellers. To accomplish this goal, they need a high performance team, Realtor®, lender, title company. The Group’s family of companies, critical GROUPMortgage, LLC
in the real estate purchase process, helps us bring unmatched convenience to our customers who choose to use our affiliated businesses. By partnering with industry leaders – Cornerstone Home Lending, Inc. and Stewart Title – The Group brings a high level of accountability to the real estate transaction.
10
YEAR END REPORT FOR 2015
Our Commitment to the Community Group employees personally contributed over $827,000 to charities in Northern Colorado in 2015. At least 53 employees serve on local Boards of Directors. Group employees average over 108 volunteer hours each annually adding up to over 21,600 hours each year. Group Partners ranked 1st for total giving to United Way of Larimer County. This year’s total contribution exceeded $225,000. The Group was a major sponsor of Downtown Fort Collins, First Night, Sculpture in the Park in Loveland, Neighbor 2 Neighbor Polo Event, Everitt Real Estate Center, Museum of Discovery, WomenGive, Colorado State University Athletic Department, and Respite Care.
awarded to Matthew Hazen, Loveland High This
full-tuition
scholarship is awarded each year to a graduating senior of
a
Northern
advised fund at the Community Foundation of Northern Colorado. In 2015, Group Gives awarded two $30,000 gifts to Neighbor to Neighbor and Larimer County Long Term Recovery Fund. In addition $30,100 was given to the following organizations to projects that support our mission, “Everyone should have a place to call home.”
The 2015 Group Real Estate Scholarship was School.
GroupGives, funded by Group Partners, is a donor
Colorado
high school who will be attending the College of Business at Colorado State University.
Be the Gift, Inc. House of Neighborly Services Disabled Resource Services SHOP, Weld RSVP Loveland Rotary Alternatives to Violence Matthews House Respite Care Pathways Hospice Project Self-Sufficiency Mountain States Children’s Home American Red Cross – Weld County Chapter
Group Scholar MATTHEW HAZEN Loveland High School
Sixty-five members of the group participated in
primarily by Group Partners, gave over 20
the first annual GroupGives Back Day held in May
new bicycles to children of clients of Project
assisting property owners in Drake, Colorado with
Self-Sufficiency.
clean up from flood damage from 2013.
Christmas on Wheels, an annual
project
funded
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11
®
®
Leaders in Real Estate
© 2016 The Group, Inc.
Harmony Office 2803 E. Harmony Road Fort Collins, CO 80528 (970) 229-0700
Horsetooth Office 375 E. Horsetooth Road Fort Collins, CO 80525 (970) 223-0700
Mulberry Office 401 W. Mulberry Street Fort Collins, CO 80521 (970) 221-0700
Centerra Office 5401 Stone Creek Circle Loveland, CO 80538 (970) 613-0700
Loveland Office 1401 W. 29th Street Loveland, CO 80537 (970) 663-0700
Old Town Office 121 E. Mountain Avenue Fort Collins, CO 80524 (970) 493-0700
www.thegroupinc.com