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According to Trepp LLC, seven banks failed in August as compared to 13 in July; total failures in 2011 have reached 68, putting the U.S. on track to record 100+/- failures this year.

How did Charlotte, North Carolina, developer Bissell Companies build a major mixed-use development —largely on spec—despite dramatic changes in economic conditions? Their Ballantyne community includes more than 5 million square feet (465,000 sq m) of office space, 500,000 square feet (46,500 sq m) of retail, 1,000 hotel rooms, and 4,600 residential units. And the developers believe that it pays to have inventory at the ready.

Private enterprise that fails to strategize growth is likely to decline and be usurped by more deliberate competitors. Governments that introduce new policies without ensuring there are enough staff or resources to uphold them won’t be able to put them into practice. Faced with the imperative to run lean but remain agile, many organizations are seeking ways to integrate digital tools powered by generative AI into their workflows to innovate and help alleviate accumulated organizational debt.

The Trepp, LLC survey showed spreads unchanged during the survey period as the markets continued to languish, waiting for…the Supreme Court, the EU and European Central bank, the Federal Reserve, the heat wave baking the majority of the country to abate…who knows. Meanwhile, lenders continue to quote loans at rates based upon floor pricing which remains very attractive.

The Trepp, LLC survey showed spreads coming in as much as 10 basis points, an incredible amount given the turbulence affecting the credit markets, i.e., LIBORgate; Euro-crises; increased CMBS delinquencies, and widening spreads in CMBS new issues, to name just a few. Maybe it’s the heat as no one seems to be using these spreads to actually price borrower cost, relying solely on floor pricing.

The Trepp LLC weekly and Cushman & Wakefield Sonnenblick-Goldman monthly surveys show that spreads have widened by 20+ basis points over the past month, partially to accommodate perceived increases in risk and partially to absorb the incredible decline in Treasury yields.

The Trepp LLC survey showed spreads widening 10 to 15 basis point solely in reaction to Treasury yields dropping, then regaining a little luster. With the 10-year Treasury trading at 1.64 percent (as of June 9) and spreads averaging 228 basis points, all-in cost remains in the very attractive 4.00 percent range, subject to floor pricing by most lenders.

The Trepp LLC survey showed spreads unchanged during the survey period as the market participants held their breath waiting to see how Greece fares following the critical election on June 17. Pricing remains subject to floors from both conventional and securitized lenders with all-in costs said to be 3.5 percent (+/-) for five year funds and 4.0 percent (+/-) for 10-year financing.

According to Trulia’s chief economist, U.S. home prices were 2 percent undervalued in the fourth quarter of 2014. But the most overvalued market in the country is now Austin, at 16 percent overvalue, followed by Orange County and Los Angeles in southern California. Nine of the 100 largest metro areas are 10 percent or more overvalued.

The latest survey of U.S. real estate economists shows continued declines in expected economic and real estate growth rates. Compared with six months ago, real estate economists have reduced their expectations about economic growth, interest rates, commercial mortgage–backed securities (CMBS) issuance, housing starts, and private real estate returns. One area of greater optimism is the industrial sector, with forecasts of lower availability and higher rents and returns.