January 8th – Ultimatum

What I’m Reading Ultimatum: In another sign that flexible work arrangements will become a job perk, twenty-nine percent of working professionals say they would quit their jobs if they couldn’t continue working remotely, according to an online survey of 1,022 professionals by LiveCareer, an online resume and job search consulting...

January 4th – Blurred Lines

What I’m Reading Blurred Lines: States are facing off in a high-stakes legal battle over who is entitled to income taxes on remote workers when one is employed by a company in one state but resides in another.  The results of this high-stakes legal battle will have a profound impact on...

December 17th – Flotation Aid

One Big Thing In the first week of December, the proportion of mortgage borrowers that sought forbearance rose to its highest level since August.  Delinquencies are climbing as well, as some borrowers are either not eligible for forbearance or are still unaware that they may be eligible. NREI Reading the paragraph...

December 14th – Unlocked

What I’m Reading Unlocked: Increased adoption of remote work has enabled high earners to move to lower tax states like never before.  At some point high tax cities and states are going to have to acknowledge that the conditions that allowed them to increase rates – namely the requirement of proximity...

December 4th – Strings Attached

What I’m Reading Strings Attached: CMBS borrowers that were granted initial forbearance in Q2 2020 are requesting another round of debt relief from servicers.  However, even if granted this relief is likely to come with more stringent parameters such as additional equity contributions and personal recourse.  Those who refuse or don’t...

November 19th – Ringing the Bell

One Big Thing The Fed is now in a tricky spot when it comes to their massive mortgage bond buying program (emphasis mine):  All of this serves to squeeze mortgage-bond investors in higher-rate securities. Most of them bought the debt at a premium, and the constant reduction in lending rates leaves...

November 13th – Pile Up

What I’m Reading Pile Up: Corporate tenants put a record 42 million square feet of space on the office market in the second and third quarters, according to data firm CoStar Group Inc. That increased the total sublease space in the U.S. to roughly 157 million square feet, or 1.7% of...

November 12th – Canary in the Coal Mine

What I’m Reading Canary in the Coalmine: Office REITs have underperformed dramatically this year but their beat-down shares may be a good under-the-radar way to play the vaccine trade. However, upside may be capped by behavioral headwinds. P.S.  Shouldn’t need to say it but this is IN NO WAY investment advice.  MSN...

November 10th – Shot in the Arm

One Big Thing Like me, most of you probably woke up yesterday morning to the Pfizer COVID-19 vaccine news from the AP: Pfizer Inc. said Monday that its COVID-19 vaccine may be a remarkable 90% effective, based on early and incomplete test results that nevertheless brought a big burst of optimism...

November 2nd – Lifeline

What I’m Reading One Big Thing: A couple of weeks ago, I wrote about how ESG trends are likely to provide a growing headwind for the office market in the coming years.  Today, I’m going to focus on a different segment of the real estate market that I’ve followed closely for years: housing....