What I'm Reading Scaling Back: Higher prices for personal- and home-care items are driving Americans to purchase fewer consumer staples as inflation crimps budgets. Bloomberg Hitting the Brakes: Multifamily lending is expected to slow down for the remainder of 2022 as higher rates take a toll. However, the MBA is...
July 21st – Tipping Point?
What I'm Reading Tipping Point? Industrial developers are delivering nearly 700m sf of warehouses across the US following two years of record absorption. Tenant demand remains incredibly strong. However, with a recession likely coming, there is an increasing risk of overbuilding in some markets. Bisnow Hitting Pause: Amazon has been...
June 22nd – Make it Rain
What I'm Reading Make it Rain: An LA Times review of state data found that it routinely costs more than $1m per unit to build a subsidized affordable housing unit in California. Between prevailing wage requirements, high material and regulatory costs, the process has become so bloated with corruption and...
June 13th – Shedding SZN
What I'm Reading Shedding SZN: The popular narrative in the warehouse space is that Amazon has a glut of warehouse space and is looking to dump it via sublease. A closer look at Amazon’s plans to sublet warehouse space show that it is largely looking to shed traditional, mid-market warehouses...
June 3rd – Window of Opportunity?
What I'm Reading Window of Opportunity: Amazon's warehouse pullback is being viewed by some as an opportunity for logistics companies who have been largely boxed out by the e-commerce giant in recent years to pick up choice locations. Bisnow Instant Gratification: The recent proliferation of delivery apps that promise to...
May 24th – Shock and Awe
What I'm Reading Shock and Awe: Amazon has put 10m square feet of warehouse space on the market (it could reportedly go up to 30m sf) as the ecommerce giant deals with excess supply brought online during the pandemic. However, a deeper look tells a different story. The 10m sf...
May 5th – Anchors Aweigh
What I'm Reading Leading Indicator? Amazon's rapid expansion in both labor and capital capacity over the past couple of years turned out to be a leading indicator of inflation. The overbuilding and over hiring comments in its latest earnings report may be a good indicator that inflation is slowing. Bloomberg...
May 3rd – Dried Up
What I'm Reading Dried Up: Refinance activity has dried up and isn't expected to rebound this year per Old Republic Title's earnings call. Housing Wire Drying Out: Arizona has become the first state to experience deep cutbacks caused by a drought-fueled decline in the Colorado River. The reduction will hit...
April 28th – SALT in the Wound
What I'm Reading SALT in the Wound: The Supreme Court rejected a challenge to the SALT deduction cap from the 2017 Trump tax bill. Looks like the $10k cap is here to stay, at least until it sunsets in 2025. Commercial Observer Streamline: A new California bill - AB2234 -...
April 21st – Back to School
What I'm Reading Boomtown: A massive population influx has set off a boom in South Florida's industrial market. With low vacancies, scarce land and continued population and economic growth, its likely to continue. Wealthmanagement.com Back to School: BREIT's insatiable appetite continues with its just-announced purchase of student housing REIT American...