Latest Articles
Head of Apollo Predicts Bonanza in CRE
February 10, 2010
The founder of Apollo Management, Leon Black, has predicted that there will be a bonanza in commercial real estate opportunities in a Financial Times article.
“I think a lot of the traditional holders of this real estate are going to be forced to sell as things are marked down,” he said. “Commercial real estate will be [...]
Closing Up: Ritz Carlton Las Vegas Shutting Doors May 2nd
February 10, 2010
The Ritz Carlton Las Vegas is set to close on May 2nd as a result of lax demand. The hotel is a bit out of the way, but is certainly a very nice resort. The owner of the property is an arm of Deutsche Bank, which has decided to stop funding the resort effective May [...]
The Good Old Days Are Back
February 9, 2010
A 612-unit apartment complex in Granite Bay has changed hands for $54M. The property went from hitting the market to sold in 48 days. Part of the reason why this was possible is the agency debt available for apartment purchases.
The best part of the deal was the due diligence.
According to John Adair, a principal with [...]
Investors Wary of Writing Blank Checks
February 9, 2010
Private money was flowing into REITs by the billions last year (about $20B). But when it comes to handing money over to “blind pools”, the money has been timid. Blind pools are essentially funds offering nothing more than a business plan.
Despite having great track records, Ziman (Arden Realty) and Callahan (Trizec Properties) may have some [...]
Green Street Advisors: CRE Prices Up 10%
February 8, 2010
According to the Green Street Advisors Commercial Property Price Index (original name), prices are up 1% in January, and now up 10% off the bottom reached in May of 2009. The GSA’s index is based on prices for transactions which have not yet closed yet, as opposed to Moody’s which reflects closed transactions.
This is also [...]
Banks Increasing CRE Lending; Bond Spreads To Widen
February 8, 2010
Sentiment at the Mortgage Bankers Association meeting last week in Vegas showed improvement. More banks are not only willing to lend, but their threshold for risk and size is also increasing.
That readiness to restart was reflected in a separate survey of 60 banks and other lenders at the Mortgage Bankers Association’s annual conference in Las [...]
Surprise Surprise: More Store Closings
February 4, 2010
More store closings are expected. This doesn’t come as much of a surprise. Given the percentage of sales retailers ring up during the holiday season, it was obvious it would have been wise to get through the holiday season and then put the wheels of closure back in action.
Bloomberg has a pretty cool little multimedia [...]
Align Technology Inks 129K SF Lease
February 4, 2010
Align Technology (ALGN: 19.15 -0.26%) has signed a 7-year lease with Equity Office for two buildings on Orchard Parkway. The 129,000 square foot lease is for 86-months, and consists of two (2) 64,500 SF buildings located at 2560 Orchard Parkway and 2570 Orchard Parkway.
The terms of the lease are:
86 Months
First 2 Months Free
$1.00 NNN start [...]
Panasonic Takes 50K in Cupertino
February 3, 2010
After being in the market for quite some time, Panasonic has landed in Cupertino. The company leased 50K SF from Tantau Investments LLC, the partnership of Ralph Borelli, Ron Tate, Larry Wallerstein, and John Salera. The 102,500SF building, dubbed Cupertino Crossing is a new (and rather plain looking) 2-story concrete tilt production.
Panasonic is taking the building [...]
S&P: Worst Yet To Come For Commercial Real Estate Loans
February 1, 2010
Despite all the good news that you’ve been hearing about commercial real estate, we haven’t been entirely convinced. We’ve indicated that uncertainty and continued weakness in rents and occupancy are powerful enough forces to keep the commercial real estate sector in check for some time. Now S&P is out with a research paper entitled, “Industry Outlook: [...]
