Justin Roberts

The aggregate share of single-family homes owned by investors shifted across 52 of the nation’s largest metro-area housing markets between March 2021 and March 2024. Among the 52 metro-area housing markets measured by Parcl Labs, these 5 saw the investor share of single-family ownership rise the most: Memphis: +1.46 percentage point Atlanta: +1.32 percentage point Birmingham: +1.32 percentage point Indianapolis: +1.21 percentage point Charlotte: +1.04 percentage point Among the 52 metro-area housing markets measured by Parcl Labs, these 5 saw the investor share of single-family ownership fall the most: San Francisco: -4.05 percentage point San Jose: -3.95 percentage point San Diego: -3.84 percentage point Sacramento: -3.95 percentage point Los Angeles: -3.20 percentage point https://lnkd.in/egaawtG2

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Is now the perfect time to invest in CRE? Blackstone may think so, as it positions itself aggressively in the market. With $200 billion in dry powder and $143 billion in new inflows, Blackstone is eyeing major opportunities. The firm's focus on sectors like data centers and student housing highlights areas of growth amid a dynamic market. Jon Gray of Blackstone notes the current conditions provide a compelling moment for CRE investment, emphasizing the strategic timing before the market fully rebounds. Stay tuned to see how these big moves unfold in the commercial real estate space! #RealEstateInvestment #CommercialRealEstate #MarketOpportunities #InvestmentStrategy #Colliers #Pittsburgh #MoreIn24 #ThriveIn25 #ClosersCoffee #ColliersCapitalMarkets

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Anatomy of a CRE office loan portfolio extension. 🍀 It ain’t pretty. 🍀 “After pandemic’s biggest office default, Columbia Property Trust scores lifeline. PIMCO-owned landlord nabs new terms on $1.7B in debt.” Here’s the quick recap according to The Real Deal. 🍀 7 office buildings in New York, Boston, Jersey City and San Francisco 🍀 valuation dropped by 30% citing leasing difficulties across the portfolio 🍀 maturity date extended to July 2025 with in a six-month extension option 🍀 interest rate on $485 million in subordinate A-notes cut to near-zero 🍀 interext rate on the $160 million B-notes to 0 percent 🍀 defers payments on the $125 million mezzanine debt 🍀 the workout leaves $930 million in debt that is accruing significant interest From The RealReal via Bisnow: “Columbia, in negotiations with Goldman Sachs, Citigroup and Deutsche Bank, nabbed an extension on the $1.7 billion CMBS loan that bumps its maturity date to July 2025 and bakes in a six-month extension option, according to Morningstar Credit.” “Seven office buildings — three in New York, two in San Francisco, one in Boston and another in Jersey City — collateralize the debt. Their valuation was slashed by 30 percent.” “Critically, the modification cuts the interest rate on $485 million in subordinate A-notes to near-zero and the $160 million B-notes to 0 percent, as well as defers payments on the $125 million mezzanine debt, according to commentary from Morningstar Credit and ratings agency KBRA.” “As of September, Columbia had quit making payments on the B-note and mezzanine debt, according to KBRA.” “The workout still leaves the office landlord with $930 million in debt that is accruing significant interest.” “The portfolio, valued at $2.3 billion in 2021, was reappraised last month for $1.6 billion. The 30 percent reduction reflects the leasing difficulties across the portfolio.” “Columbia’s collateral for the $1.7 billion loan includes 315 Park Avenue South, 229 West 43rd Street and 245-249 West 17th Street in New York; 201 and 650 California Street in San Francisco, 116 Huntington Avenue in Boston and 95 Christopher Columbus Drive in Jersey City.” 🍀 As generic office building loan extensions pile up on new loan maturities, are lenders building a bridge to a train wreck? 🤔 The key phrase here is ‘leasing difficulties’. It’s not looking good so far. 🍀🍀🍀

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The tide is turning for commercial real estate, according to PwC and the Urban Land Institute’s Emerging Trends in Real Estate report for 2025, which declares that “the skies are finally clearing over commercial real estate” and that the time has come for the next market upturn. A new cycle is beginning, the report proclaims, but the interest rate cuts that could fuel a recovery typically come when an economy is struggling. The net result will be a slow, and in some cases grinding, return to prepandemic valuations. While challenges persist across the real estate sector, there are signs of improvement after years of hardship. Industry optimism has grown in the last year, though there is an understanding that recovery will be gradual.The report and survey found real estate executives are markedly more upbeat than last year. For the year ahead, 65% of respondents expect their firm’s profits to be good or excellent, up from 41% a year earlier. Just 4.6% of respondents expected abysmal or poor profits at their firm in the next year, down from 13.5% the year prior.The consensus seems to be that — leaving aside downtown office buildings — at least prices are no longer falling, which is an important milestone. No investor wants to buy today what may be less expensive tomorrow, so evidence of price stability would motivate more investors to reenter the market. The upcoming year is projected as the start of the next market cycle, an uncertain pivot point where, if all goes according to plan, interest rates come down at a measured pace, inflation stays low, unemployment doesn’t tick up and the Fed nails its soft landing. The future remains opaque, but it’s perhaps more clear than at any time in the last decade. The report’s annual buy-sell-hold barometer clocked its highest buy rating and lowest sell rating in 2025 since the Global Financial Crisis. #cre #commercialrealestate #commercialrealestateinvestors #2025

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Appraisers in the U.S. need better tools that allow them to use more judgement in valuing assets. My colleague Willem Vlaming has been developing work showing that in parts of the world with low market liquidity and few comparable sales, that appraisal teams have been better able to capture the decline in asset values. http://ms.spr.ly/6040Yw5ts MSCI Real Assets #CRE

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