RREEF Marks Up 2008 Commercial Real Estate Outlook
January 27, 2009
Tweet RREEF has produced an interesting document by taking its 2008 Real Estate Investment Outlook and marking it up to reflect how the predictions fared. Not surprisingly, their 2008 predictions were too tame for the most part. We often see reports, read them, and then forget about them. It’s nice to see a research team [...]
Read More >>GE To Cut Real Estate Portfolio by More Than 10% Next Year
October 2, 2008
Tweet Costar is reporting that GE is planning a $10B haircut to its real estate holdings next year. This comes at a time when the cost of capital is increasing, its availability decreasing, and the supply of real estate assets available for sale will be spiking (think Lehman, AIG, Merrill, just to name a few). The Fed [...]
Read More >>Lehman Brothers Looking To Shed $14B in Commercial Real Estate
August 15, 2008
Tweet Lehman Brothers (LEH: 0.00 N/A), in a move to raise capital and reduce its real estate exposure, is said to be in talks to liquidate about $14B in commercial real estate assets. Lehman is said to be in talks with BlackRock for the assets. Lehamn currently owns about $10B worth of real estate, and [...]
Read More >>Excerpt of Boston Properties Q2 Earnings Call; Touches on San Francisco, Silicon Valley, and Investment Climate
July 24, 2008
Tweet Doug Linde, President of Boston Properties (NYSE:BXP), discussed on their second quarter earnings call the state of the various markets they are players in, amongst which are San Francisco and San Jose. He went into additional detail about the investment climate, as well as financing. Things to take away are that San Francisco demand for space [...]
Read More >>Shorenstein Buys Mezzanine Debt on McCandless Towers
July 3, 2008
Tweet Shorenstein has acquired a $51.1M mezzanine loan collateralized by McCandless Towers in Santa Clara. Globe St. is reporting that the the debt was acquired at a discount. McCandless Towers was purchased by Tishman Speyer last July at a cost of $500 PSF ($213M), representing a 4.5% cap rate. McCandless Towers features two 11-story, 210,000 [...]
Read More >>Swiss Bank Privacy Under Attack; Singapore Banking Likely Beneficiary
July 1, 2008
Tweet A federal judge today gave the ok for an IRS investigation to move forward against UBS, a swiss bank. The summons is fairly unprecedented as Swiss banks pride themselves on privacy. In a tax-evasion investigation, IRS is seeking information about US citizens who have not disclosed swiss bank records to the IRS. UBS is [...]
Read More >>A Quick Guide to Investment Property Classifications
June 23, 2008
Tweet Over the past few decades, real estate investment has become increasingly sophisticated. Large institutional investors and developers have seen the line blurred between traditional investment banking for securities and that for real estate. Everything from the market analysis to the financing of the project has changed. Investors in commercial real estate often classify projects [...]
Read More >>Credit and Equity Markets In For Massive Turmoil According to RBS
June 18, 2008
Tweet The Royal Bank of Scotland’s (RBS) chief credit strategist Bob Janjuah has issued a report to its clients to be prepared for a global credit and equity crash. Bob Janjuah forewarned against last year’s looming credit crisis. According to his report, the next three months will be nasty. The report includes warnings that the S&P could [...]
Read More >>Who is the Buyer of the Sobrato-BEA-Oracle Building at 488 Almaden Blvd?
June 18, 2008
Tweet Word is a buyer has been picked by Oracle Corporation (NASDAQ:ORCL). BEA paid about about $335 psf ($130M) in 2007 for the 388,000 square foot tower. You can read more about the story of the tower in a previous post. If I had to guess, I’d say the building will trade for significantly less than what [...]
Read More >>YoY US and International Investment Sales Down Dramatically in Q1
June 12, 2008
Tweet Though likely not surprising to anybody, year over year investment sales both in the United States and on a worldwide basis are down dramatically. According to a Jones Lang LaSalle (NYSE:JLL) report cited by NREI, first quarter investment sales in the US came in at $39.2 Billion, a number which is down 69% from [...]
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