Showing posts with label commercial real estate. Show all posts
Showing posts with label commercial real estate. Show all posts
Thursday, September 27, 2012
Commercial Property Sales Outlook
Commercial Property Sales Outlook for U.S. Cut by ULI
The Urban Land Institute cut its forecast for U.S. commercial real estate sales by 12 percent to $748 billion through 2014 because projections for economic growth are “down considerably” from six months ago.
Deals for properties such as office buildings, shopping centers and warehouses probably will be $223 billion this year, $250 billion next year and $275 billion in 2014, according to a ULI survey released today of 39 economists and analysts from real estate investment, advisory and research firms. In a March report, sales were forecast at $250 billion this year, $290 billion next and $312 billion in 2014.
REIT Returns
One projection boosted from the last survey was for the performance of real estate investment trusts. Annual returns for equity REITs are forecast to be 15 percent this year and 10 percent both next year and in 2014. That’s up from the previous forecast of 10 percent this year, 9 percent next and 8.5 percent in 2014, the institute said.
http://www.businessweek.com
Tuesday, July 3, 2012
Commercial Real Estate Loan Prices Rise in May
The aggregate value of Commercial Real Estate (CRE) loans priced by DebtX that collateralize CMBS increased to 88.2% as of May 31, 2012 from 88.1% as of April 30, 2012. Loan values were 81.6% as of May 31, 2011.
“Commercial real estate loan prices climbed for a fifth straight month in May as underlying market conditions continued to improve,” said DebtX CEO Kingsley Greenland. “CRE loan prices in May benefited from a decline in Treasury yields.”
Tuesday, August 30, 2011
Blackstone sues Sol Goldman estate over default notice at 1140 Sixth Avenue
Blackstone Group, which acquired the ground lease at 1140 Sixth Avenue in May, has filed a lawsuit against the landlord to block a default notice it received for five alleged violations issued by the New York Fire Department. Blackstone, in an Aug. 26 complaint filed in New York State Supreme Court, alleges that the estate of billionaire Sol Goldman, which owns the building, between 44th and 45th streets, sent it a default notice June 30, claiming it had 12 outstanding FDNY violations, nine Department of Buildings violations and two Environmental Control Board violations.
http://therealdeal.com/newyork
http://therealdeal.com/newyork
Tuesday, January 25, 2011
The End of The Buyer’s Market
The End of The Buyer’s Market
Getting a Net Lease Asset Before The Market Enters Full Recovery Could Be a Good Move.
2010 Hotel Horizons report published by Colliers PKF Hospitality Research. Average room rates, though, were generally flat.
Analysts consider occupancy a leading indicator — it climbs first, then rate increases follow. This year, they say, hotel rates will begin rising again. “We still have a long way to go, but we’re seeing early signs that because of strong demand recovery in 2010, managers are beginning to move room rates,” said R. Mark Woodward, president of Colliers PKF Hospitality Research. “We’re literally at the turning point.”
For travelers, that probably means the beginning of the end of the buyer’s market they have enjoyed over the last couple of years.
Debt investors are wagering that the worst is over for commercial real estate, driving prices on mortgage bonds to the highest in more than two years.
“Investors have gotten more comfortable and have started putting money back into CMBS,” Chris Callahan, head of commercial-mortgage backed bond trading at Credit Suisse Group AG, said in an interview at the Commercial Real Estate Finance Council’s conference in Washington. “It has gone from being the red-headed stepchild to being a viable asset class again.” http://www.bloomberg.com/news/2011-01-25/commercial-real-estate-debt-hits-two-year-high-as-investors-bet-worst-over.html.
Here are the points as we outlined them:
1.The labor market is beginning to show signs of healing.
2.Production is on the rise, albeit from anemic levels.
3.Home sales rose sharply from November to December.
4.Profits are surprisingly on the upside.
5.Financial markets are rallying, to some extent.
6.Core consumer spending, driven by pent-up demand, appears to be regaining some momentum.
7.Factory orders could be picking up from rock-bottom levels.
A common thread in many of these is the sign of some gain from heavily recessed conditions. None of these marks a return to levels we would hope to consider “normal” but they do represent small, perhaps significant, changes. Taken together they lend credence to the notion that the bottom of the crisis has been felt and we are now on the road to recovery, albeit “rocky” recovery.
we also would like to mentions that “Consumers are going to have to remain more defensive than offensive in 2011”. But what about investors? If these signs really point to recovery, this could be one of the last chances to invest in a recessed market. Net lease assets have fared better than most commercial real estate and continue to be a safe bet for the future. Financing still remains tough but for those with the resources, getting a net lease asset before the market enters full recovery could be a good move.
Getting a Net Lease Asset Before The Market Enters Full Recovery Could Be a Good Move.
2010 Hotel Horizons report published by Colliers PKF Hospitality Research. Average room rates, though, were generally flat.
Analysts consider occupancy a leading indicator — it climbs first, then rate increases follow. This year, they say, hotel rates will begin rising again. “We still have a long way to go, but we’re seeing early signs that because of strong demand recovery in 2010, managers are beginning to move room rates,” said R. Mark Woodward, president of Colliers PKF Hospitality Research. “We’re literally at the turning point.”
For travelers, that probably means the beginning of the end of the buyer’s market they have enjoyed over the last couple of years.
Debt investors are wagering that the worst is over for commercial real estate, driving prices on mortgage bonds to the highest in more than two years.
“Investors have gotten more comfortable and have started putting money back into CMBS,” Chris Callahan, head of commercial-mortgage backed bond trading at Credit Suisse Group AG, said in an interview at the Commercial Real Estate Finance Council’s conference in Washington. “It has gone from being the red-headed stepchild to being a viable asset class again.” http://www.bloomberg.com/news/2011-01-25/commercial-real-estate-debt-hits-two-year-high-as-investors-bet-worst-over.html.
Here are the points as we outlined them:
1.The labor market is beginning to show signs of healing.
2.Production is on the rise, albeit from anemic levels.
3.Home sales rose sharply from November to December.
4.Profits are surprisingly on the upside.
5.Financial markets are rallying, to some extent.
6.Core consumer spending, driven by pent-up demand, appears to be regaining some momentum.
7.Factory orders could be picking up from rock-bottom levels.
A common thread in many of these is the sign of some gain from heavily recessed conditions. None of these marks a return to levels we would hope to consider “normal” but they do represent small, perhaps significant, changes. Taken together they lend credence to the notion that the bottom of the crisis has been felt and we are now on the road to recovery, albeit “rocky” recovery.
we also would like to mentions that “Consumers are going to have to remain more defensive than offensive in 2011”. But what about investors? If these signs really point to recovery, this could be one of the last chances to invest in a recessed market. Net lease assets have fared better than most commercial real estate and continue to be a safe bet for the future. Financing still remains tough but for those with the resources, getting a net lease asset before the market enters full recovery could be a good move.
Friday, January 21, 2011
Brooklyn Showed Some Improvement in 2010
Commercial property sales in Brooklyn showed little improvement in 2010 even as the volume of sales surged in Manhattan.
There were 778 commercial real-estate transactions in Brooklyn in 2010, down from 805 in 2009, according to a new report by commercial-brokerage firm Terra CRG LLC.
TerraCRG: Commercial Real Estate Stabilizing
Terra CRG just released its 2010 report on the state of the commercial real estate market in Brooklyn. According to the report, the billion dollars or so in sales is about in line with 2009 number. While you can check out data on retail and multi-family sales here, we were particularly interested in the levels at which developable property was changing hands. Despite cries of oversupply and a handful of high-profile projects going belly up, developers apparently have not lost their appetite for North Brooklyn. Williamsburg had the highest number of sales (8) and the highest dollar volume ($20,597,593). As the chart above shows, Williamsburg and Greenpoint also put up the highest numbers on a price-per-buildable-square-foot basis. Interesting.
There were 778 commercial real-estate transactions in Brooklyn in 2010, down from 805 in 2009, according to a new report by commercial-brokerage firm Terra CRG LLC.
TerraCRG: Commercial Real Estate Stabilizing
Terra CRG just released its 2010 report on the state of the commercial real estate market in Brooklyn. According to the report, the billion dollars or so in sales is about in line with 2009 number. While you can check out data on retail and multi-family sales here, we were particularly interested in the levels at which developable property was changing hands. Despite cries of oversupply and a handful of high-profile projects going belly up, developers apparently have not lost their appetite for North Brooklyn. Williamsburg had the highest number of sales (8) and the highest dollar volume ($20,597,593). As the chart above shows, Williamsburg and Greenpoint also put up the highest numbers on a price-per-buildable-square-foot basis. Interesting.
Honolulu among Top Commercial Real Estate Markets
Honolulu among Top Commercial Real Estate Markets
Honolulu ranks among the top markets for commercial real estate in the U.S., according to a Moody’s Investors Service study.
The ratings agency said Honolulu was the strongest of the markets surveyed in its study of properties in commercial mortgage backed securities during the fourth quarter.
Rounding out the top five markets were New York, Los Angeles, Washington D.C., and Orange County, California.
Moody’s said commercial real estate markets across the country either improved moderately or were stable during the fourth quarter. The ratings agency ranks markets through a color-coding system in which red is the weakest, yellow is better and green is the strongest.
“The commercial real estate markets are continuing down the road to recovery, though the fact that most markets remain yellow indicates that a comfortable point of stability has not yet been reached,” says Moody’s Vice President Keith Banhazl, in a statement issued by the ratings agency.
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