Economic uncertainty is changing lending practices, but that doesn’t mean there isn’t financing available for commercial real estate in Los Angeles. The trick, though, is finding that financing and getting the right terms. “Whatever underwriting people were using in January and February has clearly changed now,” said Kevin Shannon, co-head of capital markets at Newmark Knight Frank. “The loan terms — they are getting so dramatically different from what they were.
Christine Bryant
In violent storms, cracks in vessels suddenly reveal themselves. The same can be said for the nation’s commercial mortgage-backed securities market, as it faces a month of wider spreads and liquidity fears. The pain points emerging are not a surprise to Mosaic Real Estate Investors’ Ethan Penner, who is credited with creating the CMBS market for commercial real estate some 30 years ago. He thinks the whole system needs an update.
One would be willing to wager that Las Vegas, a town that lives and breathes hospitality, would be doomed in a total shutdown from a global pandemic. But, as it turns out, that’s a sucker bet. In a city that likes the gamble, a number of the major Las Vegas property owners and investors have been more conservative than in the past,
California, like many other states, has shut down its economy to slow the spread of the coronavirus, causing heightened volatility in every market and uncertainty as to how long it will last. Executive orders and unprecedented measures from state and local officials are mounting almost every day, adding layers of consequences to real estate markets and the rest of the economy.
A new housing development aimed at UC Merced students is expected to be the closest off-campus housing alternative for the ever-expanding university. Called “Merced Station,” the development at the corner of Yosemite Avenue and Lake Road is set to include 15 residential buildings with 270 units and 885 beds — plus retail and dining spaces.
I don’t think I’ll ever forget the Republican Presidential debate in 2008 when the moderator asked the candidates what they would do to “run the economy.” Senator McCain, the front-runner and eventual nominee gave a response typical for career politicians about how he would do this or that.
“As Ginger Rogers said, ‘I do everything that Fred Astaire does, backwards and in heels,’ ” said New York City Deputy Mayor Vicki Been, who opened Commercial Observer’s Women in Real Estate conference on Nov. 13.
There our powerful forces that influence how we think about things, and these forces often create and use terminology to advance their objectives. In the field of finance/investments this is certainly the case.
Join the Bisnow team on September 24th as we unpack everything you need to know about capital markets, the lending and investment climate, who’s buying and who’s selling, how to land your next deal, and how to weather future unpredictable factors.