How big is too big? That’s the question regarding the mega-merger deal of Brookdale Senior Living’s $2.8 billion purchase of Emeritus Corp.—a deal that will result in a firm spread out over 1,161 properties in 46 states....More
Institutional capital has been pouring into the commercial real estate sector recently, helping push investment sales volumes up each year since the downturn. But it’s another pool of capital—funds from high net worth individuals and family offices—that may drive the next wave of investment....More
Check the latest news and analysis from around the commercial real estate sector. Has the net lease sector reached a plateau? Intu Properties is spending $1.4 billion to buy three U.K. malls from Westfield. The National Law Review looks at how proposed IRS regulations could trigger “phantom gains” for UPREIT partners. REIT.com takes look at the business model for EPR Properties. And a battle is raging in Europe for prime retail locations. These are all among today’s 10 must reads....More
A healthcare REIT CEO explaining why Obamacare is good for the sector; a look at how real estate ETFs are outperforming the broader market; speculation over where the next big sale/leaseback deal may come from; a major New York office building coming on the market; and an explanation of how new IRS rules are gumming up real estate transactions are among 10 must reads from around the commercial real estate industry today....More
Bank of America telling wealthy investors to bet on commercial real estate’ CW Capital Asset Management selling a $2.5 billion portfolio of loans and assets; NorthStar Realty Finance spending more than $1 billion to buy a seniors portfolio; a brewing conflict between Sam Zell and the board of Commonwealth REIT; and a look at the burgeoning industrial real estate market in Europe, the Middle East and Asia are among 10 must reads from around the commercial real estate industry today....More
While it’s true that class-C and class-D malls are likely to eventually disappear from the scene, or be redeveloped into something else, good quality regional malls currently represent one of the most attractive investments in the commercial property market....More
In just a few months, the names of the top highest-paid REIT CEOs of 2013 will be released by SNL Financial. Of the top 20 highest-paid REIT CEOs in 2011, 14 remained in the top 20 in 2012, and John Kilroy Jr. of Kilroy Realty Corp. moved up to the No. 1 spot in 2012 from the No. 17 spot in 2011. Will Kilroy retain first place? Or will another CEO rocket to the top?
With his latest divestiture, the sale of Pershing Square’s remaining 28 million shares of General Growth Properties back to the regional mall REIT for $556 million, it looks like Bill Ackman may be completely done with anything having to do with retail....More
Sameer Jain, Chief Economist and Managing Director, American Realty Capital; Non-traded REITs (NTR), like their publicly traded counterparts, make investments in income-producing commercial real estate....More
Scott Crowe, Global Portfolio Manager, Resource Real Estate; The real estate landscape is changing as we enter 2014. Positive economic data across geographic regions have persuaded markets that a global economic recovery is taking hold....More
The decline in REIT returns has been particularly noticeable because in 2013, the S&P 500 index delivered total returns of 32.4 percent, according to a Wall Street Journal story from Jan. 7. The gap between the S&P 500 returns and REIT returns turned out to be the largest since 1998....More
It was another memorable year for commercial real estate. The industry has mounted a long and steady recovery since the 2008 financial crisis. This year brought more of the same with improving fundamentals in all areas. Investment sales volumes were up. Vacancy rates fell. Capital was more available. And development activity increased.
It's been an active year for commercial real estate finance and investment. Some of the big themes included the continued reemergence of the CMBS sector, increased activity on the part of private equity investors and growing interest in alternative property types within the commercial real estate field.