• Weekend Articles of Interest

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    10 Must Reads for the CRE Industry Today 

    NMHC’s first rent payment tracker numbers for 2021 show that 76.6 percent of renters had paid full or partial rent by January 6. Before Trump supporters turned violent at the Capitol they had been providing a boost to local hotel occupancies, reports Bisnow. These are among today’s must reads from around the commercial real estate industry.
    1. NMHC Rent Payment Tracker Finds 76.6 Percent of Apartment Households Paid Rent as of January 6 “The National Multifamily Housing Council (NMHC)’s Rent Payment Tracker found 76.6 percent of apartment households made a full or partial rent payment by January 6 in its survey of almost 11.3 million units of professionally managed apartment units across the country.” (NMHC)
    2. Trump Supporters Gave D.C. Hotel Business Shot In The Arm Before Capitol Insurrection “The group largely consisted of visitors to D.C., and they filled up the city's hotels to the highest level many have seen since the start of the coronavirus pandemic. Four hotel owners, three of whom spoke to Bisnow Wednesday morning before the scene turned violent, said they were at or near full occupancy.” (Bisnow)
    3. What will $126 billion in distressed asset sales mean for the future of CRE? “That means that as a percentage of US CRE equity, the $126 billion represents less than post-2008 distress sales. It remains, however, a significant number with the potential to reshape the CRE landscape for, potentially a decade to come.” (Mortgage Professional America)
    4. NPC International agrees to $801M sale of its Wendy's, Pizza Hut assets “The two separate transactions also satisfy Wendy’s concerns over having one franchisee holding too many units. Wendy's typically caps operators at 400 units. By allowing for the sale of half the units, it gives Flynn the opportunity to expand its Wendy's footprint.” (Restaurant Dive)
    5. MedCraft, Cadence Launch $500M MOB Acquisition Fund “MedCraft Healthcare Real Estate and Cadence Healthcare Group have launched a $500 million medical office building investment platform—MedCraft Investment Partners—to acquire medical office buildings and ambulatory assets over the next 18 to 24 months. The platform is capitalized through an unidentified institutional partner.” (Commercial Property Executive)
    6. Rental Home Construction Climbs as Purchase Prices Surge “Individuals, family offices, pension funds and Wall Street’s boldfaced names are shoveling billions of dollars into build-to-rent projects. Home builders are embracing the business of selling houses wholesale to landlords, and even teaming up with them to build neighborhoods that blur the line between houses and apartment complexes.” (The Wall Street Journal)
    7. Realterm, JP Morgan Buy 1.75M-SF Logistics Portfolio “The portfolio is located in 28 core US industrial markets, including Chicago, Atlanta, Dallas, New Jersey, New York, and Philadelphia. The portfolio has impressive stats. It totals 54 properties and is located on a combined 717 acres with 2,090 doors.” (GlobeSt.com)
    8. Retail rents tumble to historic lows in New York City amid bankruptcies and store vacancies “Rents for retail space in New York City have tumbled to historic lows, dropping as much as 25% from 2019 levels, as troubled retailers like Neiman Marcus and Century 21 closed stores and vacancies soared, according to a report Friday.” (CNBC)
    9. PGIM Real Estate acquires multifamily portfolio in Japan for $120m “Five of the properties are located in Tokyo and one is located in Yokohama, just south of Tokyo. All are situated in mature residential submarkets with neighborhood amenities and access to nearby metro and rail lines within a short walking distance.” (CRE Herald)
    10. Mall giant Simon says yes to running a swanky Charleston retail hub “It took some posturing and legal wrangling, but the company that has overseen one of downtown Charleston’s poshest and priciest shopping destinations for years came under new ownership just in time for the holiday gift-return rush.” (The Post and Courier)