Each Wednesday, The Wrap presents a compilation of recent noteworthy commercial real estate stories from a variety of publications. Below are links to five stories that caught our eyes in recent days:
Outlook for Apartment Loans Remains Bright in Wake of Brexit, by Bendix Anderson, REITOnline.com
Key Excerpt:
“The interest rates borrowers pay on new, 10-year, permanent loans to apartment properties now range from 3.5 percent to 3.75 percent. That’s down more than 50 basis points from the rates borrowers paid over the first half of 2016, which ranged from 4.25 percent to 4.5 percent, according to Colliers [International].”
Economy Watch: Total Construction Spending Down, Though Spending on Apartments, Offices Up, by Dees Stribling, Multi-Housing News
Key Excerpt:
“Spending on office construction dropped 0.4 percent for the month in May, but was up for the year by 22.5 percent. Spending on hotel projects rose by 1.9 percent for the month, and by 20.6 percent for the year. Spending on new manufacturing facilities, on the other hand, seemed to be taking a hit because of the persistence of the strong dollar: it was down 1.9 percent for the month and 6.9 percent for the year.”
CRE Price Gains Return for Second Straight Month with Boost from Net Absorption, by Randyl Drummer, CoStar
Key Excerpt:
“U.S. commercial property prices continued their solid growth in May, returning to the average monthly pace established in the previous several years and erasing declines from a pricing pull-back in the first quarter of the year, according to the latest CoStar Commercial Repeat Sale Index.”
JLL Releases Global Real Estate Transparency Index, by Gail Kalinoski, Commercial Property Executive
Key Excerpt:
“The index, which examined 109 markets this cycle, is considered an essential guide for companies operating in foreign markets and measures transparency by looking at factors including data availability, governance, transaction processes and the regulatory and legal environment. Transparency is important for both commercial real estate investors and occupiers because it reduces uncertainty in cross-border transactions.”
Economy Watch: CRE Prices, Other Metrics Gain Ground in May, by Dees Stribling, Multi-Housing News
Key Excerpt:
“U.S. commercial real estate enjoyed solid price gains in May, coming on the heels of declines during the early part of the year, according to the latest CoStar Commercial Repeat Sales Indices (CCRSI).”