What I'm Listening To AJ Osborne had Scott Ramser and I on his Self Storage Income Podcast to discuss our recent acquisition of Adult Toy Storage in Altamonte Springs, FL. Scott gives a great overview on how to reposition a large RV and boat storage facility and the interview gave...
December 20th – Full House
Programing note: I'll be posting a bit more intermittently over the next couple of weeks. Wishing you all Merry Christmas and happy holidays! What I'm Reading Full House: People are increasingly buying homes with their friends as a way to deal with high costs and gain a foothold in the...
December 17th – Spreading Out
What I'm Reading Spreading Out: There is building anecdotal evidence that a substantial portion of surging demand for housing is due to the US undergoing another episode of average household sizes shrinking, much as it did in the 1970s. Calculated Risk Whack a Mole: People are ricocheting between skyrocketing rents...
December 16th – Leading the Pack
What I'm Reading Leading the Pack: Millennials were supposed to be the generation that spurned home ownership. Instead, they now make up over half of all home purchase applications as the group enters prime household formation years. The generation accounted for 67% of first-time home purchase mortgage applications and 37%...
December 15th – Delay Tactics
What I'm Reading Delay Tactics: Planning departments in California cities are going to great effort to try to comply with California's new housing mandates. Unions and environmental groups are using CEQA to stifle those efforts. Two stalled projects in my hometown of Newport Beach illustrate the problem. OC Register Latest...
December 14th – Drop Zone
What I'm Reading Drop Zone: Drone delivery is beginning to look inevitable as developers like Alphabet continue to make breakthroughs and retailers like Walmart test in selected markets. The Diff Arms Race: Amenities aren't just for office employees anymore. Gyms, childcare centers, and restaurants are making their way into logistics...
December 13th – Tipping Point
What I'm Reading Tipping Point: China Evergrande has defaulted on the debt it owes to global investors, according to Fitch Ratings. Evergrande has already said it would “actively engage” with its foreign creditors to come up with a plan for restructuring but any such plan will require the blessing of...
December 10th – Stretching Out
What I'm Reading Stretching Out: Multifamily investors are increasingly stretching their holding timeframes - sometimes by 2-3x. This is being driven by both a dearth of product coming to market that makes redeployment of capital difficult and a desire to obtain fixed rate debt with inflation surging. WealthManagement.com Bubbling Over:...
December 9th – Dwindling Reserves
What I'm Reading Dwindling: American balance sheets have been historically strong during the pandemic era, thanks largely to infusions of government cash. The infusions boosted consumer spending, helped pay off debts and reduced the urgency of employment. According to Moody's Analytics, those excess savings are dwindling among many working and...
December 8th – Tailwind
What I'm Reading Tailwind: The US apartment market continues to strengthen with strong rent growth and occupancy at all time highs. RealPage FWIW, this is exactly what should logically be expected to happen in an environment with strong household formation demographics and an increasingly tight homebuying environment - Marginal buyers...