Commercial Real Estate Investing
Commercial Real Estate Worries Grow
August 30, 2009
Tweet Indeed, many property developers and investors complain there is no way to identify the investors that hold their debt and that it is difficult to negotiate with CMBS servicers. In light of the complaints, the Treasury is considering guidance that would allow servicers to start talking about ways to avoid defaults and foreclosures sooner, [...]
Read More >>REIS vs. JLL – Who Will Be Right?
August 28, 2009
Tweet From a CoStar article, JLL: Jones Lang LaSalle Retail last week issued a “perspective on recovery” for the retail sector in which JLL Retail President and CEO Greg Maloney predicted that the recession will bottom out during the last quarter of this year, to be followed by the beginning of revitalization for the retail [...]
Read More >>More Good News From Tishman
August 25, 2009
Tweet Standard & Poor’s has downgraded the credit rating of Tishman Speyer’s affiliate in Washington D.C. to D from CCC. In the world of debt, D means death. The debt is backed by a portfolio of 26 properties with 5.5 million square feet that were formerly owned by CarrAmerica Realty Corp. and were purchased from [...]
Read More >>Tishman Speyer Office Fund Values Off 33.5% YoY; Renegotiates Debt
August 25, 2009
Tweet Tishman Speyer has reached an agreement with at least 51% of the debt backing an 18-office building portfolio to revise the loan terms to keep it from breaching covenants contained within the loans. Still, the revised terms leave little breathing room in a market where values are falling on a monthly basis. Layer on [...]
Read More >>NAR August 2009 Commercial Real Estate Outlook
August 24, 2009
Tweet NAR has put out its August outlook for commercial real estate. Again, not much new here, but I post these because investment in real estate follows a bit of a herd mentality; so as long as the news is bad across the board, you can generally expect people to sit on the sidelines and [...]
Read More >>August 2009 RREEF Property Cycle Monitor
August 24, 2009
Tweet RREEF has put out its August update of its Property Cycle Monitor. Full file embedded below, but key takeaways: Slower production and spending in the greater economy is negatively affecting the commercial real estate market. The institutional property market continues to correct and values are falling as fundamentals continue to deteriorate. Fundamentals are projected to worsen [...]
Read More >>Stockbridge Seeking Deal To Takeover Fund That Acquired Peery/Arrillaga Portfolio
August 20, 2009
Tweet Stockbridge is seeking a deal to take over the management of the $2.6B RREEF America REIT III real estate fund. This is the same fund that acquired the 119 office and research and development properties from Peery/Arrillaga which we raised questions about last month, as well as the Sunnyvale Town Center project which construction has [...]
Read More >>CalPERS Taking A Walk In Portland
August 20, 2009
Tweet CalPERS is demonstrating why we are still a ways off from seeing the bottom of this “thing”. After joint venturing with Commonwealth Partners LLC to acquire the 355,000 square feet of Class A office space in Portland’s Koin Center building in 2007, the duo have defaulted on the loan and CalPers has made the [...]
Read More >>Unemployment Driving More Foreclosures Than Subprime
August 19, 2009
Tweet Subprime lending standards are being outflanked by unemployment as the driving force in residential foreclosures. Economists estimate that 1.8 million borrowers will lose their homes this year, up from 1.4 million last year, according to Moody’s Economy.com. And the government, which has already committed billions of dollars to foreclosure-prevention efforts, has found it far [...]
Read More >>Manhattan Deal Volume Scarce; Cap Rates In The 7′s
August 18, 2009
Tweet In the first half of the year, there were three sales greater than $30M in Manhattan, representing 10% of what is normally transacted. The so-called capitalization rate, or a property’s net operating income divided by purchase price, may have risen to about 7 percent for stable, prime Manhattan office buildings, CB Richard Ellis said. [...]
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