Monday, January 14, 2019

Three Questions to Ask Before Investing in Commercial Real Estate

Born in Armenia, Levon Termendzhyan has been living and working in California for more than three decades. Throughout that time, he has worked in the energy industry as a fuel delivery truck driver, diesel truck stop owner, and current equity owner of clean air company Viscon USA and its parent Viscon International. In addition, Levon Termendzhyan owns several commercial rental properties.

Below are several questions to ask yourself before investing in commercial real estate:

Will demand continue in the long-term?

As a commercial real estate investor, you likely have a specific demographic in mind for tenancy. Before making your investment, you should look at the demand that’s currently coming from this demographic. However, you must also look at sustained demand. This refers to the expected demand over the next several years and is crucial for ensuring the property you invest in maintains the expected yield and offers good capital growth.

How can I leave the investment?

There are two ways you can leave a commercial real estate investment: by selling the property, or refinancing it in such a way that other investors may retain their ownership. Before making an investment, make sure at least one of these options is readily available to you. Not having a clear exit strategy is enough to reconsider investing in a commercial property, since it can affect the long-term attractiveness of the investment.

Are the guarantees logical?

When attempting to sell a commercial property, owners and developers will likely make all sorts of guarantees relating to the building’s cash flow, income potential, and associated property taxes. Rather than blindly accepting this information, make sure it makes sense by completing the proper due diligence. To do this, compare your property with similar local properties to get an accurate idea of rental demand and income potential.

Sunday, December 16, 2018

Rises in Global CO2 Emission Levels Continue through 2018

California-based entrepreneur Levon Termendzhyan works in the clean-air energy industry. The equity owner of Viscon USA and Viscon International, he oversees the production and sale of a diesel fuel additive that reduces diesel emissions. Beyond that, Levon Termendzhyan is involved in numerous other clean-air companies, multiple joint ventures with Native American tribes, and several biofuel companies.

According to reports from the Global Carbon Project (GCP), the 2018 levels of global carbon dioxide (CO2) emissions are at their highest point in nearly 20 years. The organization believes the year will close with a 2.7 percent increase in total CO2 emissions around the world. This is a big jump compared to the 2017 rise of 1.6 percent, a figure that many experts thought was a small, temporary boost considering CO2 levels had remained steady throughout 2014, 2015, and 2016.

The sudden spike in CO2 levels has been attributed to an increase in activity in China. Coal use within the country rose nearly 5 percent in 2018 as it worked to support its growing economy. This trend has been consistent since the year 2000. On top of that, the cold winter and warm summer in the United States played a role in the escalation of CO2 emissions since it drove up the demand for energy among residents.

China and the U.S. are far from the only countries contributing to the rising CO2 levels, as well. The European Union, Russia, India, Japan, Saudi Arabia, and Canada are also some of the largest emitters in the world. In many of these regions, the amount of fuel used for road transportation and flights increased due to the rise in demand for oil. Meanwhile, the growth of green energy has not been able to keep up with this trend.

Friday, November 30, 2018

Global Biofuel Market Poised for Significant Growth

A successful leader in the energy business, Levon Termendzhyan serves as an equity holder of Viscon, a company that produces and distributes a diesel-fuel additive to reduce harmful toxic emissions. In addition to this, Levon Termendzhyan serves as a joint-venture partner with Ibris Bio-Fuels Pte., Ltd., as part of his efforts to introduce biofuels to the U.S. market.

According to the 2017-2023 Global Automotive Biofuels Market report, the automotive biofuels market will increase to nearly $196 billion by 2023 from $118.63 billion in 2017. During this time, the market will experience an 8.67 percent compound annual growth rate (CAGR).

Biofuels, a renewable energy that has fewer emissions than fossil fuels, can be made from a huge range of items, including potatoes, corn, and vegetable waste. The sustainable nature of this fuel has made it an increasingly in-demand alternative to petroleum gasoline. However, many consumers are unaware of how biofuel can benefit their automobiles, so growth in the market has been restrained.

Despite this, experts still predict that the market will grow. The forecasted growth in the Global Automotive Biofuels Market report will most likely be driven by rising air pollution and fossil-fuel prices. Furthermore, government support for biofuels and their emissions regulations will also drive growth up around the world. 

Currently, Europe has the strictest governmental regulations in place in regard to emissions. Because of this, the continent also accounts for the largest share of the biofuels market. However, the Asia-Pacific regions and the Americas show the fastest growth in biofuel demand.

Friday, November 9, 2018

CARB Announces Continued Dedication to Find Illegal Diesel Filters

Accomplished leader in the energy industry Levon Termendzhyan leads Viscon USA and Viscon International as an equity owner. With his guidance, Viscon produces the Viscon product, a diesel fuel additive that boosts fuel efficiency while reducing emissions. Active in the professional community, Levon Termendzhyan has been associated with such organizations as the California Air Resources Board (CARB).

Recently, CARB, an organization dedicated to protecting public welfare and health in California, announced that it’s taking a serious stand against illegal diesel soot filters. These filters trap cancer-causing soot in diesel trucks and are essential for keeping the public healthy and safe. When a truck’s soot filter is not working properly, California state law requires that truck owners change it. However, CARB regulates which filters can be installed and sold in the state, and it certifies those filters that are suitable for use in California.

State law also bans the sale of illegal and used diesel soot filters in its Aftermarket Parts and Diesel Particulate Filter Verification Regulations. Companies who violate these regulations are penalized. In the recent announcement, it was shared that LKQ Corporation would pay a $294,000 penalty for selling illegal diesel soot filters. A related case from 2017 was also mentioned. In this case, a repair shop in Fresno agreed to pay penalties for selling and installing illegal filters and sparked further investigation into several other diesel repair shops in the Central Valley.

With this new announcement, CARB reinforced the importance of both business owners and consumers taking responsibility for the installation and sale of illegal filters. Truck drivers need to ensure the filters they receive from a repair shop are authorized by CARB. Beyond following state regulations regarding diesel filters, truck owners must also install engines from 2010 or later in their entire fleet by 2023 to adhere to California’s Truck and Bus Regulation.