California has always been a land of opportunity with the earliest explorers having their eyes set on the West Coast to the gold rush of 1848—and right now, opportunity is booming again in real estate. Despite market fluctuations and rising interest rates, high construction costs, and  California being a notoriously difficult regulatory landscape, growth across the state is picking up pace again. Markets that were once overlooked are now epicenters of development, and areas that have consistently drawn families and businesses continue to expand. For developers who know where to look, the outlook is strong.

At LRE & Companies, we’ve always focused on projects that align with long-term regional growth. Two of our latest developments—one in Roseville and one in Folsom—are perfect examples of this strategy in action. These aren’t just isolated builds in the middle of desolate areas. They’re part of the broader story of California’s evolution.

Our Roseville Junction project is a prime example. This 10-acre development brings together a healthy mix of hospitality, dining, and entertainment in a city that has seen tremendous population and employment growth in the last decade. It wasn’t a gamble—it was a strategic response to what’s already happening on the ground. Roseville is becoming a major draw for families and professionals who want a high quality of life with access to strong schools, jobs, and retail. Our project adds to that fabric and gives the community something new to gather around.

Folsom Ranch tells a similar story. With the project taking shape and new infrastructure connecting it to the larger Sacramento region, the demand for retail, medical services, and daily conveniences is exploding. Our newest center there is designed to meet that need, anchored by essential services that make life easier for the growing number of families moving in. It’s not just about building anything—it’s about building the right things in the right places at the right time.

What makes these projects stand out is that they weren’t developed in a vacuum. We spent time understanding the local dynamics, working closely with city leaders and local business partners, and designing for long-term sustainability—not just quick wins. That’s how we’ve always approached real estate at LRE: find the path of growth, work with the community, and create something that adds value for decades to come.

Looking at the broader picture, California’s real estate market is undergoing a pivotal shift. New state-level policy changes are helping remove some of the old roadblocks to development, and cities are more open than ever to public-private partnerships that make smart growth possible. It’s still a challenging environment, but it’s one full of possibility.

For those of us who have been building in this state for years, the message is clear: California is growing. And if you know how to grow with it, the future looks bright.

The first official steps were taken today in an eagerly awaited shopping center in Folsom Ranch. On Thursday, June 19, community leaders and developers took part in a groundbreaking ceremony to kick off the building of “Southpointe”, which is located on the corner of White Rock Road and E. Bidwell.

The center will be anchored by tenants Circle K and The Learning Experience and is envisioned to be a convenient area that will fill various community needs from groceries, eateries and other services. Developers are in the process of trying to attract a variety of businesses to the center.

Among the attendees of the groundbreaking were Folsom Mayor Sarah Aquino and Vice Mayor Justin Raithel. Aquino said based on consistent feedback she receives from the community, there is building excitement for this project.

“Every week, someone emails me or texts me or tags me on Facebook and says, when are we going to build Southpointe shopping center and when are we going to get that grocery store,” said Aquino. “And so I’ve been happily able to say that Southpointe is coming very soon.”

LRE & Companies, the developer and construction firm, said it is currently in negotiations with a regional medical provider to lease one of the on-site buildings, and a “nationally recognized QSR brand” to the space.

“Breaking ground on Southpointe is more than a construction milestone—it’s the beginning of something transformative for Folsom Ranch,” said Akki Patel, CEO of LRE & Companies. “With trusted brands like Circle K and The Learning Experience already committed, we’re confident this development will be a magnet for businesses that want to grow alongside this vibrant and fast-expanding community.”

Developers said Southpointe at Folsom Ranch offers a mix of high-end office, medical and retail buildings which are available for sale or lease.

Southpointe is part of the 3,585-acre Folsom Ranch master-planned development, which is considered one of the region’s fastest growing corridors. Developers say phase one infrastructure is planned to be completed by November; additional dates for next phases are not certain yet.

At LRE & Companies, we are experiencing a period of exciting growth — expanding our footprint, diversifying our project pipeline, and strengthening our team with fresh talent and expertise. As we continue to scale across new and existing markets, we know that our success is driven not only by visionary leadership and strategic partnerships but also by the exceptional individuals who bring passion, creativity, and dedication to everything we do.

This month, we’re proud to introduce one of the newest members of our growing team: Jacob Sena, Development Acquisition Associate.

Jacob attended the University of Oregon, where he majored in Business Administration. During college, he completed internships in marketing and sales, initially considering those fields for his career. However, after graduating, Jacob realized they weren’t the right fit. Through conversations with professionals in different industries, he decided to pursue real estate, beginning his career in the leasing office for an affordable housing development and property management company. While that experience was valuable, Jacob always knew he wanted to focus on commercial real estate — so when the opportunity at LRE & Companies arose, he was determined to take it.

Currently, Jacob serves as a Development Acquisition Associate, supporting various tasks throughout the development timeline. What excites him most is contributing to the growth of LRE’s project pipeline and helping expand the company’s presence in both new and existing markets.

Jacob’s previous work in affordable housing shaped his understanding of how a thriving environment can positively impact individuals. He recognizes the importance of providing quality housing near essential services and destinations — a perspective that now guides him in making informed decisions about land acquisition and tenant mix for each project.

During the hiring process, Jacob was especially drawn to the chance to learn from experienced professionals like Akki Patel and Victor Chiang, both of whom bring valuable knowledge and insight. Since joining the team, Jacob has already learned a lot from working with them and is eager to continue growing under their guidance.

One thing Jacob has noticed about LRE’s company culture is how willing everyone is to offer help and support. He describes it as refreshing to be in an environment where asking questions is encouraged, and where colleagues generously share advice and insights they wish they’d had when starting out — support that Jacob has already found incredibly valuable.

Outside of work, Jacob enjoys golfing with his brother and dad, trying to surf when the weather permits, and spending time with family, friends, and his girlfriend. He’s also always up for fun weekend trips to interesting places. Something his colleagues might be surprised to learn? Jacob was homeschooled for a year in middle school while traveling the world with his family, visiting over 30 countries — and he has a twin brother, though they don’t look anything alike.

Jacob’s favorite quote is from Albert Einstein: “The more I learn, the more I realize how much I don’t know.” For Jacob, this quote is about humility and openness — a mindset that reminds him that expertise isn’t about having every answer but about the willingness to keep asking questions.

If he could develop or invest in any project, Jacob would choose to develop a residential community in a popular holiday destination, such as Mexico or Hawaii. This type of project would let him express his creativity, explore new concepts, collaborate with diverse people, and gain fresh perspectives — all while enhancing his skills and contributing meaningfully to his personal and professional journey.

To Jacob, community means a group of people who offer connection, support, and a shared sense of purpose — a space where he feels seen, understood, and valued. He hopes his work at LRE will help create communities where people can give and receive help, encouragement, and inspiration, making challenges feel lighter and successes more meaningful.

We are proud to have Jacob as part of the LRE & Companies team and look forward to the many ways he will help shape the future of our developments and communities.

Expanding a franchise through commercial real estate is both a strategic and financial undertaking that requires careful planning, deep market analysis, and adaptability to economic and regulatory conditions. Success hinges on selecting optimal locations, understanding local market dynamics, and structuring deals that ensure long-term profitability and sustained growth.

Strategic site selection: The foundation of success

Site selection is one of the most critical decisions in franchise development. Savvy developers rely on demographic insights, economic data, and an understanding of the competitive landscape to make informed choices. Key considerations include evaluating foot and vehicle traffic, analyzing income levels, and assessing proximity to complementary businesses. Areas showing strong job growth and rising populations typically offer greater long-term potential.

In addition to market demand, navigating zoning regulations and permitting processes is essential to avoid costly delays. Today, many consumers are gravitating toward suburban retail centers that offer convenience and accessibility. Developers who respond to these shifts with well-placed, well-designed locations are positioned for long-term success.

Navigating multi-state expansion challenges

Scaling a franchise across multiple states introduces complexity-logistically, financially, and legally. Each state comes with its own tax codes, permitting requirements, and development standards. To address these challenges, developers must establish strong relationships with local officials early in the process. These partnerships can expedite zoning approvals and, in some cases, unlock financial incentives like tax abatements or grants.

Construction costs and timelines can vary widely by region. Partnering with regional contractors and suppliers helps manage labor and material expenses while ensuring local expertise. Additionally, consumer preferences often differ by geography. A suburban market in Texas may demand drive-thru service, while a walkable retail center may perform better in parts of California. Recognizing these nuances, and aligning design accordingly, is essential for successful expansion.

Financial considerations: Investment and incentives

Well-structured real estate deals are the foundation of sustainable franchise growth. One of the first financial decisions is whether to buy or lease the property. Ownership provides long-term control and equity, while leasing offers flexibility, especially in markets that are still evolving.

Beyond acquisition, developers must factor in total development costs, including construction, permitting, and operating expenses. Public-private partnerships and local incentives, such as tax credits or infrastructure grants, can significantly improve financial feasibility. It’s also important to forecast revenue and calculate break-even timelines to ensure a project aligns with broader business goals. Balancing initial investment with long-term profitability is key to success.

Case study: Expanding into emerging markets

A recent franchise project in a fast-growing suburban corridor demonstrates how strategic planning leads to successful outcomes. Developers identified an underutilized retail parcel in an area with increasing population density and consumer spending. After a detailed feasibility study, they acquired a high-traffic site with strong visibility and accessibility.

Early collaboration with city officials helped secure permitting approvals and unlock financial incentives. The team developed a multi-tenant retail hub that brought several franchise brands together, driving greater foot traffic and creating a community-oriented destination. By adapting the site plan to meet local zoning requirements and integrating economic trends into their strategy, the developers ensured a smooth and profitable launch.

Key trends influencing franchise real estate

Several trends are currently shaping the franchise real estate landscape. The continued rise of suburban retail hubs is driven by shifts in where people live, work, and shop. Simultaneously, digital integration is influencing store formats, with many franchises incorporating online ordering, curbside pickup, and streamlined layouts.

Sustainability is also top-of-mind. Developers are increasingly investing in energy-efficient materials and systems to reduce operating costs and environmental impact. Meanwhile, inflation and rising interest rates are prompting more conservative investment strategies and tighter deal scrutiny, making data-driven decision-making more important than ever.

Best practices for franchise development

To thrive in today’s dynamic market, commercial real estate professionals should prioritize thorough market research and early stakeholder engagement. Collaborating with city officials and community organizations can speed up approvals and build goodwill. Investing in high-quality locations may require a larger upfront commitment, but it often results in stronger long-term returns.

Flexibility is also essential. A balanced mix of leased and owned properties provides agility across different markets and economic conditions. Developers who remain adaptive and informed are best positioned to navigate change and sustain growth.

Franchise real estate development demands a thoughtful blend of research, financial planning, and regulatory navigation. By focusing on site selection, cost management, and evolving trends, developers can build successful, future-ready franchise locations that thrive in today’s competitive market.

After years of speculation about the “death of retail,” something remarkable is happening in 2025: brick-and-mortar retail is not just surviving — it’s thriving. Across the country, retail vacancy rates have dropped to their lowest levels in decades, defying predictions that online shopping would render physical stores obsolete.

According to the National Association of Realtors, as of March 2025, the retail sector continues to post the lowest vacancy rate among commercial property types, with general retail leading the way at a 2.6% vacancy rate. This resilience is a testament to the enduring value of physical retail spaces in our communities.

But if we want this momentum to continue — if we truly want to revitalize our downtowns and suburban corridors — cities need to take an active role in encouraging it. One powerful way to do that is by offering targeted subsidies to businesses and developers willing to invest in vacant storefronts and neglected spaces.

When storefronts sit empty, neighborhoods suffer. Blight takes root. Economic activity slows. Property values decline. But when businesses return — whether it’s a local café, a boutique, or a national brand — they create jobs, attract foot traffic, and restore a sense of vibrancy and safety. Retailers today aren’t just selling products; they are offering experiences, fostering community interaction, and anchoring broader economic ecosystems.

As developers, we are ready to meet this moment. But revitalizing a struggling corridor often means taking substantial financial risks: outdated buildings, complex permitting, expensive tenant improvements, and the uncertainty of drawing enough traffic to sustain a business. Public-private partnerships can change that calculus. By offering grants, tax incentives, or low-interest financing to cover renovation costs or initial lease assistance, cities can transform empty spaces from a liability into an engine of opportunity.

We’ve seen glimpses of this model work. In communities where local governments proactively supported revitalization efforts — through façade improvement grants, rent subsidies for new tenants, or expedited permit processes — retail corridors rebounded dramatically. It’s not charity; it’s smart economic policy. A modest upfront investment generates recurring tax revenue, reduces crime, and enhances the overall quality of life.

At LRE & Companies, we believe revitalization is about more than just leasing space; it’s about building ecosystems that uplift entire communities. We work hand-in-hand with city governments, small business owners, and community organizations to ensure that the spaces we create aren’t just beautiful — they’re purposeful.

The resurgence of brick-and-mortar retail is a golden opportunity — but it’s not guaranteed to last if we don’t foster it deliberately. As developers, we are ready to lead. We invite cities to step alongside us, to invest in their own futures, and to recognize that when businesses succeed, communities thrive.

The store lights are turning back on. Let’s work together to keep them shining.