Property Types

According to Trepp LLC, the U.S. commercial mortgage-backed securities (CMBS) delinquency rate (comprised of the percentage of loans 30+ days delinquent, in foreclosure, or held on the books of the lender as real estate owned (REO)) increased 23 basis points (0.23 percent) in April to 9.65 percent, the highest rate in history and the largest increase on a monthly basis since December 2010. See the break out by property sector and read the key takeaways.

“As the recovery in the industry strengthens, hotels have become an attractive sector,” says ULI’s Hotel Development Council chair. But parties entering the hospitality industry should study it carefully, says the owner of Hotel Granduca, which recently posted its highest occupancy ever. Read what other industry insiders are saying about doing business in this sector during the economic recovery.

2010 ended on a strong note with all-in 10-year mortgage spreads in 5.25%+/- range which should have proved attractive to all but the most jaded investors. But as they say, it’s still “early days” and few lenders have announced plans and targets for 2011.

The Commercial Mortgage Alert Trepp weekly survey of 15 active portfolio lenders widened slightly during the most recent survey period. It’s year-end, and lender’s are starting to focus on next year’s allocations. If it’s a typical start, rates will be up slightly as lenders test the waters as to what spreads will work and what borrowers” will accept. We’ll see if the current glass ceiling of 5.0 percent holds or if it’s off to the races in 2011.

The Commercial Mortgage Alert Trepp weekly survey of 15 active portfolio lenders came in slightly during the most recent survey period. During the period, 10-year Treasury bond yields were unchanged. There seems to be an all-in cost of 5.0% “glass ceiling” in place. For the survey period, average all-in cost equaled 5.02%, the “present” glass ceiling. Not much is expected to happen during the next two weeks so we’ll sit on the sidelines and wait for January’s allocation to re-fill lender’s coffers.

The Commercial Mortgage Alert Trepp weekly survey of 15 active portfolio lenders was unchanged. There seems to be an all-in cost of 5.0% “glass ceiling” in place. For the survey period, average all-in cost equaled 4.80 percent.

A father/daughter development team is transforming an office park into a downtown for the city of Doral in the Miami suburbs.

A central courtyard—and a mix of unit sizes—create community on a small site.

A developer uses suburban retail experience to craft a dense, mixed-use community in the heart of Portland’s Central Eastside.

New Yorkers have gotten used to watching the sun set behind the piers and towers of Jersey City, the major metropolis of New Jersey’s so-called Gold Coast. But for many years, Jersey City’s glittering line of luxury apartments and office blocks stopped at the water’s edge. Tucked behind modern high-rises, the rest of the city was a patchwork of charming historic districts, aging apartment buildings, public housing, and contaminated, abandoned industrial sites.

Many populations and regions face well-documented housing affordability challenges. For college students, specifically, the lack of options located on or near campus creates an additional hurdle in achieving their higher education goals. The inability to affordably live close to school has a huge impact on their time, performance, expense, and quality of life—not to mention increased output of greenhouse gases. Perkins & Will is partnering with the University of California San Diego (UCSD), which receives the second-largest of number applications of any university, nationwide, to help those students by designing the largest on-campus housing project in the country.

Potential trouble brewing in a sector that has been viewed as relatively bulletproof multifamily sector is concerning. But while stress is very much real, industry participants are quick to point out that the overall foundation for multifamily remains strong. “The cracks that we’re seeing are not structural; they’re superficial,” says Vincent DiSalvo, chief investment officer at Kingbird Investment Management, a family office investment firm specializing in multifamily.

As attention turns to what real estate markets may be like once the COVID-19 pandemic has wound down, the outlook for office properties is particularly hazy. More than a year of home-based work left office spaces idle, and it remains unknown how many people will resume their daily commutes once health conditions and local regulations permit.

Will the COVID-19 pandemic bring about the end of the viability of open-plan office space? Panelists speaking during a recent ULI Asia Pacific webinar concluded that flexibility, technology, variety, and health would be the key concepts bringing companies and key employees back to offices.

Despite the office sector’s current bleak outlook, the longer-term outlook is much rosier, speakers said at the ULI Virtual Fall Meeting.

High construction costs and low inventories are driving home prices ever higher in some of America’s fastest-growing cities, said panelists speaking at a recent ULI Colorado event.

According to a recent report from RCLCO, home sales at America’s 50 top-selling master-planned communities surpassed the 2016 totals by more than 17 percent last year. The Villages in Central Florida’s 2,231 sales puts them in the top spot again, while California’s Irvine Ranch, with sales of 1,814, comes in at second place, followed by Florida’s Lakewood Ranch, with 1,206 total sales.

Regulations addressing local conditions could spur new supply in the coming years, writes Diane de Felice, a shareholder at Brownstein Hyatt Farber Schreck.

The National Retail Federation predicts a record-breaking 2025 holiday season, with U.S. sales for November and December projected to grow between 3.7 percent and 4.2 percent—pushing total holiday sales past $1 trillion for the first time. Yet there also are signs that consumers are nervous; that mood, plus accounting for inflation, could leave holiday spending relatively flat.

From Dead Mall to Living District: Replacing the “Great Wall of Galleria” with a Connected Urban Core

For decades, civic leaders have tried to revitalize Market Street, San Francisco’s central thoroughfare, only to see their efforts founder. “I sometimes call it the great white whale of San Francisco,” says Eric Tao, managing partner at L37 Development in San Francisco and co-chair of ULI San Francisco. “Every new mayor, every new planning director, every new economic development director has chased that white whale.” This year, however, an international competition of ideas hosted and run by ULI San Francisco, with support from the ULI Foundation, generated fresh momentum for reimagining the boulevard. The competition drew 173 submissions from nine countries and sparked new conversations about the future of downtown San Francisco.