Latest Articles
MSREF VI Shows Us How To Lose $5.4B
April 13, 2010
Morgan Stanley Real Estate Fund VI has disclosed to investors that they are facing losses of nearly two-thirds of their investment. That translates to roughly $5.4B of losses on the massive $8.8B fund. The article in the WSJ runs through most of the juicy tidbits. The losses are so staggering that the entire premise of [...]
Sobrato Nabs McAfee for 240K SF and What It Means For The Market
April 2, 2010
Sobrato has managed to bag McAfee for ~240K square feet – and potentially more – at its Santa Clara campus. The Registry has some info on the deal as well. The deal is a great one for Sobrato, which has Yahoo! on lease until the end of July. The buildings are located at 2811 and [...]
Westbrook Partners Gets a Deal on Four Seasons
March 22, 2010
Westbrook Partners has moved in to the aid of Millennium Partners, including the San Francisco Four Seasons which was in foreclosure. The deal is seemingly a good one for Westbrook but what this deal signals is that the market was shifting. Banks, which for some time were unfit and/or unsure of what to do with [...]
Deloitte’s Theory on CRE: Could Be, May Be, and Expected To
March 22, 2010
Deloitte is out with a report titled “Perspectives on Real Estate: Uncovering Opportunity in a Distressed Market”. It’s a good read. It pretty much tells you everything we already knew was broken, that we are facing problems with: Declining Real Estate Values Debt Maturity and Credit Access Stalled Construction The rest of the report is [...]
AB2640 Seeks to Repeal 1031 Exchanges in California
March 15, 2010
First of all, for those of you who dropped me a note wondering if I was still alive, rest assured I am. Thanks for the concern. Now to the pressing issue, a bill within the California state assembly which seeks to repeal the tax benefits of 1031 exchanges in California. We’ve been discussing for a [...]
The Cleveland Fed Justifying Its Existence
March 3, 2010
….this was actually put out by the Cleveland Fed on March 1, 2010. I wouldn’t believe it unless I saw it. [via ZeroHedge]
$46B in CMBS Balances Now Delinquent
March 3, 2010
RealPoint’s February report is out and things continue to get worse on the CMBS front. Not only is the oustanding CMBS loan amount huge, but the rate of growth is staggering. The amount of distressed 90+ day loans rose 28% in one month. In January 2010, the delinquent unpaid balance for CMBS increased by another [...]
LeFrak and Flexner on CNBC
March 3, 2010
Tom Flexner, head at Citi Global Property and LeFrak of the LeFrak Organization on CNBC. Lots of capital sitting on the sidelines, and LeFrak is trying to figure out how to deploy it. Flexner’s answer: reduce your return requirements.
Golden State Portfolio Hits The Market
March 2, 2010
Back in December, CBRE won the pony show to sell off a 7 million square feet portfolio of our property. It’s officially hit the market and just in time for IOU’s.
San Jose Update
March 1, 2010
The Redevelopment Agency has issued its monthly report and while activity at downtown San Jose condos seems to be improving, sales continue to be extremely slow: 360 Residences – 0/213 Units Closed Escrow (but they are getting a Subway on the ground floor!) Axis – 86/329U Closed Escrow City Heights – 95/124 Units Closed Escrow [...]
