What I'm Reading Tapping the Brakes: From construction cost increases, to higher interest rates and rate cap costs and slowing sales, inflation is taking a toll on the CRE industry. Globe Street My guess? We are about to see a substantial slowdown in new development as the cost of capital...
March 9th – In the Cold
What I'm Reading In the Cold: US real estate investors like Hines and Morgan Stanley have ridden out ruble devaluations, financial crises and the economic sanctions that followed Russia’s 2014 annexation of Crimea to chalk up positive returns on their Russian real estate portfolios. Now they are facing calls to...
January 13th – Much Ado About Nothing
What I'm Reading Much Ado About Nothing: Despite wild forecasts of an eviction tsunami when the federal moratorium ended, actual eviction filings are still 40% below their pre-pandemic historical average. Five Thirty Eight Also, told ya so. Emptied Out: Omicron is upending grocery operations across the entire supply chain. Staffing...
July 27th – Mismatch
What I'm Reading Mismatch: Most of the US is simultaneously experiencing a severe housing shortage and an office glut. Conventional wisdom suggests that vacant office buildings could be converted to residential uses. However, the bureaucratic processes are difficult, the conversions are typically too costly and office floorplates don't translate well...
June 25th – Fill Er Up
What I'm Reading Tailwind: American household balance sheets are flush, with assets growth far outpacing liabilities over the past year. A lot of this is due to home price inflation and consumers tapping HELOCs for consumption and investment could provide fuel for economic growth. Bloomberg Waiting List: Winnebago is the...
April 12th – The Great Invasion
What I'm Reading Invasion of the Nerds: Residents of Silicon Valley set their sights on Austin, Texas during the pandemic, making the city even more tech centric. The migration is also exporting Bay Area problems to Austin, resulting in a housing shortage that is threatening to price locals out, soaring...