Market Data
Facebook Expands in Palo Alto; Subleases 265K Square Feet
December 15, 2009
It was only matter of time, but Facebook has made the decision to expand again. This time, Facebook has struck a deal for the 265,000 square foot, 3-building facility at 1050 Page Mill Road. About 14 months ago, Facebook leased 137,000 square feet at 1601 California Avenue. The sublease from Beckman Coulter consists of 135,000 [...]
Read More >>Bloomberg CRE Videos: Delinquencies and Impact on GE
December 8, 2009
Jaime Woodwell, vice president of commercial real estate research for the Mortgage Bankers Association, talks with Bloomberg’s Carol Massar and Matt Miller about the commercial real estate market. Delinquencies on commercial mortgage-backed securities rose to a record in the third quarter as unemployment rose and landlords struggled to retain tenants. Bloomberg’s Greg Miles reports on [...]
Read More >>Banks Not Even Half Way Through CRE Writedowns
December 3, 2009
Moody’s is estimating that banks still have about $336B in write-downs to take next year, with $186B of that stemming from commercial real estate. While residential real estate is widely assumed to have peaked, and is spread across a large number of banks, commercial real estate losses remain on the back burner and are concentrated amongst a [...]
Read More >>Dubai World Strategically Defaults
November 27, 2009
The Chairman of the “Supreme Fiscal Committee” has indicated that the default of Dubai World was carefully planned. This really is not surprising. As somebody who was in Dubai last year, and saw the hundreds of hollow buildings and the construction up close, it really is not surprising that the party has come to an [...]
Read More >>RREEF Q3 2009 Property Performance Monitor
November 25, 2009
RREEF has put out its third quarter property performance monitor. Short report reiterating much of what we already know….
Read More >>Heading North – CA Unemployment Up To 12.5%; Santa Clara County 11.9%
November 20, 2009
The EDD released unemployment figures today, and the rate was up to 12.5% in October, a 20 basis point increase from September’s 12.3%. Last year, it was 8% in October signalling a 50% year-over-year increase! In raw numbers, year-over-year, we’ve shed nearly a million jobs in California alone total, nearly 700K if you look at [...]
Read More >>HNN Compiling List of Funds Targeting Hotels
November 19, 2009
HNN has begun to compile a list of funds seeking to invest in hospitality assets. The list compiled so far indicates that there is about $38B out there chasing hotels, though some $20B of that comes out of of Blackstone and Lone Star. Click the link before to go to the list. Given that hotels [...]
Read More >>3-Month Treasury Bill Yields Turn Negative
November 19, 2009
This is not a good sign. The last time this happened was last year right around the Lehman blow up. The fact that yields are negative on the 3-month bills indicates that investors are staying on the sideline. Which raises the question of why (and how) equities have rallied so much if the money is [...]
Read More >>1 in 6 FHA Loans Delinquent
November 19, 2009
One in six FHA loans are delinquent, and a full 3.32% of them were in foreclosure. This is the highest number since 1979. Based on all the crazy FHA lending that has also taken place, we’d venture that this number is only going to get worse. The share of all types of mortgages with one [...]
Read More >>Housing Market Not As Healthy As Low End Would Suggest
November 18, 2009
For months now we’ve been hearing of the housing market picking up, starting with the low end. We’ve seen a healthy uptick in volume, and even price increases, but we’ve been skeptical about the durability. The reason being is that home lending by the FHA has filled the vacuum left by the departure of the [...]
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