Category: Real Estate

More Pension Fund Money Flowing to Commercial Real Estate

by Randybaconin Real EstateLeave a Comment on More Pension Fund Money Flowing to Commercial Real Estate

e15f3c9f885adc5ba4dfc6a4_1920

Pension funds have been following a clear path of increasing allocations to real estate over the past several years. Despite signs of a maturing market cycle, it appears that most institutions are likely to maintain that same course in 2017.

In past down cycles, institutions have become a bit skittish about real estate and pulled back on allocations. This time, there has been a bigger move towards real estate, says Greg MacKinnon, director of research with Pension Real Estate Association (PREA).

View entire article in National real Estate Investor

View more about mortgage financing or contact Liberty Realty Capital to discuss a project.

 

 

Commercial Real Estate Plays It Safe

by Randybaconin Real EstateLeave a Comment on Commercial Real Estate Plays It Safe

U.S. commercial real estate prices have reached new highs, but the sector is a much safer place today than it was before the 2008 financial crisis.

Moving On Up
Commercial property prices have surpassed pre-recession levels, but that doesn’t mean a crash is inevitable
commpercial property prices
Low capitalization rates — the net operating income a property generates relative to its price — might normally keep investors away, but low borrowing costs have made potential returns from commercial real estate attractive.
View entire article at Bloomberg.com
Find out more about commercial mortgage financing or contact Liberty Realty Capital to discuss your next project.

Retailers on the verge of bankruptcy

by Randybaconin Real EstateLeave a Comment on Retailers on the verge of bankruptcy

 

Retail MallsSeven major retailers are at high risk of going bankrupt within the next two years, according to a Fitch Ratings report.

The at-risk companies include: Sears Holdings, Claire’s Stores, True Religion Apparel, Nine West Holdings, Rue21, 99 Cents Only Stores, and Nebraska Book Company.

View entire article in Business Insider online

To find out more about mortgage financing contact Liberty Realty Capital Group

 

Sears could kill hundreds of American shopping malls

by Randybaconin Real EstateLeave a Comment on Sears could kill hundreds of American shopping malls

Sears Store

Sears’ decline is threatening to kill off at least 200 shopping malls, according to a new report.

 

Sears threat to shopping malls

The retailer has closed 22% of its stores in the last decade, and it’s expected to shutter even more locations as it struggles to stay afloat following years of declining sales, Credit Suisse analysts wrote in a recent report.

When anchor stores like Sears shut down, shopping malls tend to suffer financially and eventually shut down.

That’s because malls must find a replacement tenant for the massive retail space that the anchor store occupied, which is nearly impossible — especially in malls that are already financially strapped — when every major department store is reducing its retail footprint.

Read entire article in Business Insider.

Find out more about commercial mortgage financing or discuss a project contact Liberty Realty Capital Group

 

Arkansas Apartment Market

by Randybaconin Real EstateLeave a Comment on Arkansas Apartment Market

Arkansas Apartments

When it comes to shelter, the millennial generation has established a reputation for its lingering embrace of apartments over homeownership. The market impact of the 18-34 age group is helping drive occupancy rates higher, to the delight of landlords.

The demographic shift of the generation also is enlarging an affluent renter-by-choice class that isn’t lost on multifamily developers.

Richardson Properties of North Little Rock is among the developers tapping into apartment-bound millennials who can tote their college notes and still swing monthly rents for amenity-laden digs.

Read entire article here in Arkansas Business.

Find out more about financing commercial real estate in Arkansas or contact Liberty to discuss a project.

Debt Doomsday Looms for Zombie Mall Operators

by Randybaconin Real EstateLeave a Comment on Debt Doomsday Looms for Zombie Mall Operators

The divide between good malls and bad malls is about to widen even further.

Retail Malls

Despite popular belief, not all malls are dying. The highest quality shopping centers are minting money as a dearth of high-end properties drives up rents for the best locations. The Zombie Mall Apocalypse trope better describes a much larger group of middling-to-poor malls that are, in fact, in need of salvation — or a wrecking ball.

Things are about to get even harder for the latter group of properties in the coming year, as the bill comes due on a credit binge that began in the heady, pre-financial-crisis days of 2006 and 2007.

View entire article at National Real Estate Investor online.