The Magic Valley is home to a variety of leading manufacturing and agricultural corporations, including Chobani, Clif Bar, Jayco, Glanbia, Conagra, and more. It serves as a primary corridor for manufacturing and distribution between Northern and Southern Idaho. However, there has been a lack of leasable large-scale industrial inventory in the area impeding the ability for growth and expansion.
Fairview Avenue has been a longtime retail corridor of the Treasure Valley, serving as one of the main arterials between neighboring cities Boise and Meridian and their primary retail centers on Milwaukee Street and Eagle Road.
Eastern Idaho, like the rest of the U.S., is experiencing an exceptionally high demand for well-located industrial space. Warehouse, logistics, and distribution sites are an essential component of the economy's expansion into online commerce, and businesses of all sizes are pivoting to remain competitive. The industrial property offered for lease at 3875 American Way in Idaho Falls, is a perfect fit for tenants searching for space to facilitate their distribution or manufacturing requirements.
Idaho is gaining the attention of franchises as its economy is continually projected to outperform the majority of states. As mentioned in a recent Idaho Press article, according to Laffer-ALEC's 2020 State Economic Competitiveness Index, Idaho received a third-place ranking for economic growth outlook and ranked eleventh in economic performance when compared to the rest of the nation. With this optimistic economic potential and proven resilience in 2020, accompanied by Idaho's attractive business-friendly environment, more franchisees are seeing the appeal of placing their next locations in Idaho.
The National Association of REALTORS® recently released a report of the Top Ten Markets During and in a Post-COVID Environment in 2021-2022. Among major metro areas such as Atlanta, Dallas, Phoenix, and Provo, Boise carved its place into the Top Ten list - showing resilience during the pandemic and forecasted for continued high performance in a post-COVID-19 environment.
The Idaho Business Review highlighted TOK's Market Health data in a recent article addressing what has now become a commonplace topic - Idaho's incredible in-migration which is driving population growth at a rate three times the national average.
The Situation: Seeking a Second Location for Restore
- Restore, a hyper wellness company offering services such as IV Drip Therapy, Cryotherapy and Hyperbaric Oxygen Therapy, recently opened their first Treasure Valley location at The Village at Meridian.
- With a strong first location opening, the owner of Restore Meridian was looking to expand their storefronts in Boise.
As the construction of the 11th & Idaho office building quickly progresses, anticipation abounds as the project is slated to welcome office tenants by year's end.
The retail industry saw the largest impact from COVID-19, but in the Boise MSA that impact is still only minimal thus far.
Net absorption decreased in Q2 but still ended the quarter in positive territory (131,000 square feet), compared to negative absorption (-320,000 square feet) a year ago.
Even as the stock market posts record-setting gains, TOK Commercial’s most recent data points to impressive gains for both sales and leasing activity in commercial real estate markets across Idaho. While the trends are very encouraging, they also pose nuanced complexities that commercial real estate participants are grappling with.