Close Up Radio Spotlights Dain Domich of Separovich/Domich

Sacramento, CA - Northern California’s economy is under a level of change on par with the national economic scene. Banking around the world is going through an adjustment that spills over to lenders, which carries to residential home ownership and commercial leasing, as well as development of new properties. Everything is being influenced by the change in returns expected by the bond market and the underlying interest rate. The atmosphere in the investment world right now is major adjustments are being absorbed and digested, which has slowed everything down dramatically.

Dain Domich of Separovich/Domich Real Estate Development explains, “All of this coincides with inflation, which affects the cost of everything, doing business, building, rehabilitation, remodeling, everything goes up in cost appreciatively, which is not being absorbed by the availability of equity and lender capital. Lending is being adjusted to the new reality of returns and long and short term interest rates.”

Separovich/Domich has tenancies across the board: full apartments, public and medical buildings, some private sector projects, some retail. “We also have multiple lenders, although everybody has a feeling of a slow down, and that puts a strain on returns. The lending market has changed the environment in which we do business across the board,” shares Domich. “Every aspect of the development industry is being challenged in 2024. Regulatory pressures of have also grown, especially in a state like California with water issues that have grown urgent.”

As for the future, at 78 years old, Domich has no plans to retire.

For more information about Dain Domich or Separovich/Domich Real Estate Development, please visit http://www.threetower.com