What I’m Reading
Sellers Market: A new Reuters poll of property analysts suggests that US house prices would rise 10.3% this year. That was an upgrade from 8.0% in the December poll, suggesting underlying demand for housing is still strong and housing supply is still tight. Reuters
Hitting the Wall: Proptech-focused venture capital firm Fifth Wall has bailed on plans to raise $150 million by taking a second real estate tech firm public through a special purpose acquisition company, or SPAC. The Real Deal I think we’ve pretty much seen the last of major SPAC deals, at least for this cycle.
Shifting Gears: The NAHB Home Building Geography Index (HBGI) found that year-over-year single family residential building growth peaked in the second half of 2021. However, growth rates are still high. In contrast, multifamily construction continued to maintain its pace as demand returns to some to high-density cities. Globe Street
More Pain to Come: The Russian invasion of Ukraine will put even more pressure on already-strained supply chains as military conflict and sanctions take a toll. Russia is the world’s 11th-largest economy and one of the main producers of oil and supplier of industrial metals like aluminum and palladium, which have been increasing in price this year. All of these are critical components of production of finished goods that have been fueling the U.S. economic growth of the past year. Freight Waves
Pushing Back: A pair of lawsuits winding their way through the federal court system are taking aim at New York’s draconian rent control laws. Commercial Observer
Chart of the Day
Remember kids, restrictive zoning is a big issue but its far from the ONLY issue.
Source: Ali Wolf
WTF
Hey Guys, She’s Single: A 24-year-old Wisconsin woman allegedly killed and dismembered her lover during a drug-fueled sex session — dumping his head and penis in a bucket and his legs in a crockpot. After being arrested she allegedly told police they were “going to have fun trying to find all of the organs.” NY Post
Red Tape: A $1.2 billion program intended to quickly build housing for Los Angeles’ sprawling homeless population is moving too slowly while costs are spiking, with one project under development expected to hit as much as $837,000 for each housing unit, according to a city audit. KTLA
Basis Points – A candid look at the economy, real estate, and other things sometimes related.
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