Matt Drews oversees the day-to-day activities of his dedicated team of agents, whose expertise in all classes of commercial properties spans the Gulf Coast region from Manatee to Charlotte Counties.

Drews, a Sarasota native and former professional baseball player, brings a wealth of diversified business, entrepreneurial, real estate and customer service experience to his new role with the company. Since returning to his Sarasota roots, Matt has held several key management, operational and business development positions.

100 S. Washington Blvd. • Sarasota, FL 34236 • 941.957.3730 • msccommercial.com

The third quarter of 2017 saw Hurricane Irma come and go. We were thankfully spared the worst in our tri-county area, and our teams worked diligently to keep real

estate transactions on schedule– including the significant Detwiler’s Farm Market retail property in Palmetto, which you can read more about in this report. The top sale of Q3 in office space was the $4,000,000 acquisition of 4134 Gulf of Mexico Drive by Columbia Restaurant Group. The top industrial sale of the quarter, handled in part by MSC’s DeLieto & Associates, was the $1,225,000 purchase of 13,885 SF building by International Wood Floors. Read on for more of the latest in the region’s commercial real estate market.

State of the MarketMATT DREWSDIRECTOR,COMMERCIALDIVISION

Manatee, Charlotte & Sarasota Counties

COMMUNITIES REPRESENTED AS OF FALL 2O17

COMMUNITY PRICE # OF RESIDENCES CONSTRUCTION INFO

ASHTON OAKS From $597,000 20 (One Remaining!) Custom homes. Model open daily.

EDGEWATER AT HIDDEN BAY From the $500,000s 52 Sales center open.

THE RITZ-CARLTON RESIDENCES, SARASOTA From the $2,500,000s 72 Pre-construction. Sales gallery open.

THE MARK From the $600,000s 157 Pre-construction. Sales gallery open.

PALMA SOLA BAY CLUB From the $300,000s 207 Sales gallery open.

SANDHILL LAKE From the high $400,000s 43 Coming soon.

VUE SARASOTA BAY From $1,499,000 141 (Selling Out!) Under construction. By appointment.

3rd Quarter 2017

MS&C Commercial works closely with clients to secure the right location and land for exceptional new developments. MS&C New Homes & Condominiums takes over from there, putting to work dynamic strategies that bring these exciting communities to the market.

SIGNIFICANT SALES by MS&C Commercial • Third Quarter 2017Date Location SQ FT or ACREAGE Property Type

7.6.17 601 S. School Avenue, Sarasota 8.67 +/- Acres Vacant Land

7.7.17 983 S. Beneva Road, Sarasota 12,175 SF Office

7.12.17 4591-4637 Ashton Road, Sarasota 9.72 +/- Acres Vacant Land

7.12.17 7675-7685 Matoaka Road, Sarasota 18,150 SF Industrial

7.18.17 8260 Vico Court, Sarasota 13,885 SF Industrial

7.19.17 180 S. Tamiami Trail, Nokomis 1.5 +/- Acres Vacant Land

7.28.17 NEC of Lorraine Road, Lakewood Ranch 6.52 +/- Acres Vacant Land

8.1.17 7522 S. Tamiami Trail, Sarasota 14,670 SF Retail

8.18.17 5045 Fruitville Road, Unit #141 & #145, Sarasota 7,140 SF Retail

8.18.17 1858 Ringling Blvd., Sarasota 4,204 SF Office

8.28.17 71 Hargrove Grade, Palm Coast 54,510 SF Industrial

9.26.17 1800 US-301 North, Palmetto 60,000 SF Retail

COMMERCIAL TRENDS & REPORTS

Bradenton’s downtown area continues to thrive and flourish, making it s mark a s a t rue destination for our region of Florida. Here are the developments to look out for:

n The Preserve at Riverwalk apartments are now open and accepting tenants. Phase 2 of construction is to begin shortly.

n Motorworks Brewery has expanded operations and substantially increased their capacity.

n The highly successful Realize Bradenton has been given the task of managing the public input and planning process of the new Riverwalk Extension.

n Connect Bradenton has opened on Main Street in the former Bank of America location.

n The Springhill Suites hotel continues construction and is going vertical.

n The new multi-use City Parking garage is expected to break ground in December of 2017.

n The Main Street beautification and streetscaping project has been approved and is moving forward.

As someone who works with independent doctors every day, finding them the perfect office space, I am dedicated to their survival and success. However, sadly, their survival is in jeopardy. Many forces in the current health-care environment are driving doctors out of their independent practices and into hospital employment. This trend toward more consolidation is not healthy for them or for America, as it drives up costs, reduces quality and harms small businesses.

Plus, no doctor I know wants to be an employee. That’s why I was so happy to discover a nonprofit trade association dedicated to preserving doctors’ independence. The Association of Independent Doctors (www.aid-us.org) was founded in 2013 in Winter Park, Florida. Today the fast-growing trade organization has nearly 1,000 members in 33 states, and several corporate sponsors, including, I am proud to say, the Gail Bowden Team of Michael Saunders & Company.

Besides serving as the collective voice for independent doctors who don’t have the time, resources or clout to fight the many forces facing them, AID also helps educate consumers, lawmakers, businesses and the media about why saving America’s independent doctors matters.

“We are always looking for partnerships that add value to our doctor members,” said Marni Jameson Carey, AID’s executive director. “Gail and her team do a great job helping doctors find, build and negotiate medical office space that fits their needs and their budgets. Her team’s corporate sponsorship was a perfect fit for AID, as both of our organizations are committed to helping independent doctors stay that way.”

I strongly believe that independent doctors are the most important part of patient care, and that we need to keep them in business. While I know I can be an asset to independent physicians negotiating a fair market lease or purchase contract anywhere in the United States or Canada, I’m relieved to know AID is out their fighting for their futures.

Gail Bowden: Supporting a Cause I Believe inPrices on land continue to increase as land becomes less available. In-fill properties are almost extinct in Sarasota County; thus development is moving out east or to the south. Recently, DR Horton purchased 42+ acres of land on Cattlemen Rd and Sawgrass for

$9,324,000. The property is currently zoned ILW.Neal Ventures recently purchased 290 acres in

Venice, south of Laurel Rd and north of Border Rd, for $12,500,000. The Woods of Venice was approved for 263 homes.

Fruitville Commons multi-family development, which is to include 300 units located at Fruitville Rd and Coburn, is currently in review with Sarasota county.

With the opening of Ft Hamer Bridge, Parrish and Ellington is beginning to boom. This road-bridge will be a second north-south road crossing the Manatee River along with I-75.

Howard Sadwin: Land Update

Tamiami Trail sees continued activity with the recent sale of 4615 Tamiami Trl, which will become a high-end car wash. In addition, the continued success of Bay St. Plaza is illustrated with the closed sale of two more retail condominiums. The Landings Shopping Center is seeing major tenant changes and should have a very different look and feel very soon. Westfield Siesta Key is finally coming together with several new retail and restaurant offerings. Another national chain, Fortunoff Backyard Stores, has leased 7522 S. Tamiami Trl further establishing “the Trail” as the place to be for serious retailers.

Massey & Massey: Tamiami Trail Update

Ben Bakker: Downtown Bradenton

COMMERCIAL TRENDS & REPORTS

Spurred by strong residential development, commercial development is taking off rapidly in both Sarasota and Manatee Counties.

n On US 301, West Racetrack is under contract.

n On SR 70, The Green is quickly being built. Additional establishments are being added to the anchor properties, LA Fitness and Earthfare. These include Mattresses and More and Lavish Nails. National and regional fast casual dining, as well as entertainment venues, are also to be added to the 300+ apartment units.

n With its first phase almost fully leased, Harrod Properties’ “Gatewood” corporate development of 500,000+ sf is now beginning its second phase.

n On University Parkway, the Publix-anchored “University Corners Center” is scheduled to open in November 2018. A Pet Supermarket will be joining as well.

n Centauri Insurance and RE Crawford have moved into their office buildings, additional tenants are expected.

n Off Fruitville, Cobia Bay is now fully leased.

Susan Goldstein: East County Update

Lee DeLieto Jr.: Downtown Sarasota UpdateAt a r e c e nt s a l e s meeting for Michael Saunders & Company’s residential agents, I was asked about housing– and more specifically, the many multi-family apa r tment project s

in the downtown core and Rosemary District. Concerns centered on affordability and absorption.

According to a monthly real estate progress report currently maintained by Dru Jones, the City of Sarasota’s Economic Development Coordinator, there are over 40 development projects with construction values of $500,000 or greater. Of these projects, there are 8 rental apartment projects with 1,950 total units.

The leading question I typically get is how we as a community can absorb so many apartments. Well, let me put it in

perspective. 1,950 units mentioned above does not even include the One Palm Apartments, connected to the Aloft Hotel. As surprising as it sounds, this 139-unit building opened its doors to renters nearly two years ago and remains leased up to this day.

Within a year of One Palm opening, CitySide Apartments, in the Rosemary District, was soon pre-leasing with exuberance. At the last count, their first phase of 229 units are over 90% leased. With the record absorption, the owner

soon announced the construction of phase 2 with 253 units.

Crossing back over Fruitville Rd into the downtown core, the newest luxury apartment building, The DeSOTA, opened on August 25th. Unlike the first two apartment buildings, The DeSOTA is a mixed-use project with retail shops on the ground floor. Of the 180 apartment units, their leasing office reports a 38% lease-up already. At this rate, they could potentially be close to leased up in about 6 months.

With all of the above-mentioned projects in the luxury space, many are asking about affordability. In a recent City of Sarasota commission meeting, the Sarasota Housing Authority received initial approvals to proceed on an affordable housing project on land they already own in the Rosemary District. This will open doors for up to 140 rental units for residents who make 60% or less than the area’s median income.

The DeSOTA Apartments

Detwiler’s Expands with the Help of MS&C CommercialSteven Larkin and Susan Goldstein represented local grocery store, Detwiler’s, in the acquisition of 50,000+ square feet of space in Palmetto. They family will open their fourth store on Florida’s Gulf Coast, the first in Manatee County. The Palmetto store will be the largest of all, and will employ more than 100 people.

Connect Bradenton, Connected by MS&C CommercialBen Bakker handled both sides of the transaction which brings Connect Bradenton, a collaborative workspace, to the former Bank of America building on Old Main St. The flexible workspace responds to several needs, including those of large companies who are downsizing regional offices and offering remote employment.

in the

To accelerate success in a highly competitive market, our commercial experts draw upon their mastery of financial, market and investment analysis, active community involvement and the long-standing local dominance of Michael Saunders & Company to turn opportunities into results. For all your commercial real estate needs — Think MS&C Commercial.

COMMERCIAL TEAM

Michael Saunders, CEO and Founder of Michael Saunders & Company

Matt Drews, Director

Benjamin Bakker

Gail Bowden

Dennis Dahm

Lee De Lieto, Sr., MBA

Lee De Lieto, Jr., P.A., Broker-Associate

Jessica Fleming

Michael Gallatin

Susan Goldstein, MBA, CCIM

Ben Graham

Daniela Kaskey

Roberta Kolton Cera

Steven Larkin

Will Martin

Eric Massey, Broker-Associate

Robert Moffatt

Molly O’Brien

Daniel J. Page, CCIM

Erin Reid

Howard Sadwin

Larry Schaper, CCIM

Peggy Wellman

Ellen Spencer, Administrative Assistant

BRADENTON OFFICE4400 Manatee Avenue West • Bradenton, FL 34209Phone: 941.748.6300 • Fax: 941.749.5001

DOWNTOWN SARASOTA OFFICE100 S. Washington Blvd. • Sarasota, FL 34236Phone: 941.957.3730 • Fax: 941.552.5216

ENGLEWOOD OFFICE1200 S. McCall Road • Englewood, FL 34223Phone: 941.473.7750 • Fax: 941.473.7751

LAKEWOOD RANCH OFFICE8325 Lakewood Ranch Blvd. • Bradenton, FL 34202Phone: 941.907.9595 • Fax: 941.907.8802

ORLANDO121 S. Orange Ave., Suite 1500 • Orlando, FL 32801Phone: 407.377.6830

PALMER RANCH OFFICE8660 S. Tamiami Trail • Sarasota, FL 34238Phone: 941.966.8000 • Fax: 941.918.9392

PUNTA GORDA OFFICE101 Taylor Street • Punta Gorda, FL 33950Phone: 941.639.0000 • Fax: 941.639.0101

COMMERCIAL PROPERTY MANAGEMENT1801 Main Street • Sarasota, FL 34236Phone: 941.951.6660 • Fax: 941.951.6667

Bob Smith, Director of Commercial Property Management

Diane Conte, Administration Manager

Tony Fus, In-House Facility Technician

EXPECT THE EXCEPTIONALIN COMMERCIAL REAL ESTATE