From the Editor Beyond Our Borders
With a population of nearly 194 million, Brazil is the largest country in South America and ranks as the seventh
largest economy in the world. Brazil emerged from the recent global economic recession with a 7. 5 percent expansion in 2010. Growth fluctuated in the following years,
however, dipping to 0.5 percent in 2012, up to 3. 5 percent
in 2013, and down to 1.9 percent in first-quarter 2014.
Since 2010, Brazil’s unemployment rate has steadily
decreased, dropping from 7 percent in 2010 to an all-time low of 4. 3 percent this past December. Brazil’s
services sector employed 63 percent of its total employed population and contributed 68. 5 percent to
the nation’s gross domestic production (GDP) in 2012.
Revenues from the services sector grew 8. 3 percent
from April 2013 to 2014, according to the Brazilian Institute of Geography and Statistics.
This past April, JLL listed Brazil’s largest city, Sao Paulo,
as one of the “six cities to propel economic progress
in Latin America.” The relative stability of Brazil’s commercial market, rising retail sales, and acquisition opportunities for investors have fueled an overabundance
of office and retail space production. In a year-end
2013 report, JLL stated that more than 300,000 square
meters office production was completed, and more than
1 million square meters is expected to be completed in
Sao Paulo at the end of 2015.
Production has exceeded demand, however, and office vacancy rate increased from 16 percent in 2012 to
18. 4 percent at the end of 2013. Rents have decreased to
R$122.3 ($45) per square meter per month, a 10 percent
year-over-year drop, according to Cushman & Wakefield.
Brazil’s retail market also has seen significant development. JLL reports that Brazilian’s shopping centers saw
an 8. 4 percent annual average growth rate in the past
four years, and more than 100 new malls were opened.
In addition, 1.6 million square meters of retail space have
been planned for completion by 2015, according to JLL.
Tourism contributed 9. 2 percent of Brazil’s total GDP in
2013, according to the World Travel and Tourism Council.
This past July, Brazil’s ministry of tourism reported that
the World Cup was expected to contribute as much as
$30 billion to the economy and generate 1 million jobs.
Brazil will host the 2016 Summer Olympics which are
expected to further contribute to economic growth.
— kRISTA HUMPHRES
BY KURT STEPHAN, EDITOR
When it comes to marketing, do it all.
Marketing undeniably plays a critical role in the development and growth of any business, but
it’s easy to be overwhelmed by the amount of work it takes to market oneself or a company
in today’s business world — and possibly end up doing nothing, or at least not enough, as a
For new commercial mortgage professionals, it may be hard to know where to even start to
attract a steady stream of leads and build relationships given all the marketing avenues available, both traditional and technology-driven. And in the case of seasoned industry veterans
for whom business is good, there may be a temptation to dismiss social networking and other
newer marketing techniques as ephemeral or not worth the time and effort to master.
But the reality is that the truly successful professionals figure out how to do it all. The mortgage
originators and lenders enjoying the most success are constantly building on a basic foundation of traditional sales, advertising and lead-generation techniques by adding the latest marketing methodologies to their arsenal.
The broker who picks up the phone many times a day and holds
regular face-to-face meetings with clients and associates
while managing to keep the online world abreast with
Twitter, Facebook and LinkedIn updates probably has
most marketing bases covered. And, if a few years
from now, something newer and more immediate
than social networking becomes the must-have
marketing paradigm, that broker will be on top
of it, too.
When it comes to building a solid marketing
foundation, it doesn’t get much more basic
than your name. In this month’s lead article,
Anita Huedepohl of Liberty Funding discusses how your name is your brand in the
business world, and besides giving recognition value, it should convey experience and
authority, as well as inspire consumer confidence. Read more on Page 23.
Providing access to a wide variety of loan products
helps in marketing and growing a business, making Small Business Administration (SBA) loans potent
tools for commercial originators. Barbara Morrison of TMC
Financing discusses the borrower-friendly benefits of SBA 504
green loans on Page 41, while Claudia Cohen of Capital Access Group
explains how prequalified borrowers using SBA 504 loans can compete in a competitive commercial market on Page 34.
Consumer confidence and repeat business come, in part, by steering clients away from lending pitfalls and finding solutions to problems that threaten their financing dreams. Corey
Curwick Dutton of Private Money Utah addresses the former by telling how to avoid bridge-lending scams on Page 47. Meanwhile, Jerry Sager of Chase Capital Advisors offers originators
a way out of the stalemate of when a borrower and lender don’t see eye to eye regarding personal guarantees. Go to page 60 for more.
Finally, don’t forget to use our website, ScotsmanGuide.com, as a convenient and comprehensive source for additional information about marketing, sales, networking, advertising and much more. Our searchable article archives date back to 2010 and offer a wealth
of articles and columns that cover the full spectrum of marketing topics geared toward
rate in Q1 ’14
generated by the World Cup
4.3 1 million