Obama Proposes Taxing Carried Interests (Promotes) as Ordinary Income
March 3, 2009
In one of his latest proposals, President Obama has raised the issue of taxing carried interests. In the real estate investment world, carried interests are often referred to promotes. Promotes are a way for investment funds to share in the success of the investment; it is essentially a right to receive a specified share of [...]
Read More >>NCREIF 4th Quarter 2008 Snapshot
February 3, 2009
NCREIF (National Council of Real Estate Investment Fiduciaries) has released its Q4 2008 numbers and they aren’t pretty. Total returns for 2008 were negative across every sector and every region, and look to be the worst since the index tracks back.
A summary of their Q4 numbers can be downloaded here.
Treasury Yields Create Defeasance and Yield Maintenance Nightmare
December 11, 2008
Treasury yields have plummeted to near nothing, and in some cases they have even gone negative for the first time as investors are searching frantically for the financial equivalent of a panic room.
To commercial real estate owners who are looking to sell, or refinance, this has created yet another problem, the issue of maintaining yield or [...]
Legacy Partners Buying Oracle/BEA/Sobrato Tower at 488 Almaden?
July 25, 2008
The Business Journal is reporting this morning that according to their sources, Legacy Partners is in fact that buyer of the Oracle/BEA/Sobrato tower located at 488 Almaden Blvd in San Jose which Oracle (ORCL: 24.9801 -1.58%) acquired as part of the BEA acquisition. The Business Journal is reporting the sale at “nearly” $100M at about $275 [...]
Read More >>Shorenstein Buys Mezzanine Debt on McCandless Towers
July 3, 2008
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 square foot, [...]
Taking Advantage of More Stringent Residential Lending Standards
September 1, 2007
While debt markets are facing some turbulence, the secondary market for Conforming Loans (those under $417,000 for single-family dwellings) is still healthy giving providing prospective homebuyers with readily available loans at attractive interest rates. For mortgages above this threshold however, lending rates are not only higher but borrowers also face more stringent requirements.
For many parts of the [...]
