Bisnow Week In Review: The Most Consequential CRE Stories From Last Week

Bisnow’s week in review offers a quick bullet-by-bullet dive into the most notable ebbs and flows of the U.S. real estate from last week — from WeWork’s $95M interest payment skip to the U.S. Supreme Court’s decision against hearing a pivotal New York rent control case and much more. 

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SFR Investors Test Build-To-Rent Waters As Well Of For-Sale Homes Dries Up

Single-family rental investors are increasingly exploring the build-to-rent sector as the housing shortage and elevated mortgage rates hinder their ability to purchase existing homes. Amidst the difficulty of accumulating inventory, investors are seeking to create new homes, with companies like American Homes 4 Rent and Pretium Partners making significant investments in constructing and operating new rental homes. The shift to BTR is also influenced by rising mortgage rates and a competitive purchase market, which have altered profit targets and reduced investors' buying power. Read more

Supreme Court Declines To Hear Rent Control Case

The Supreme Court has opted not to hear a case challenging New York's Housing Stability and Tenant Protection Act of 2019. A ruling by the Supreme Court on the case could have impacted rent control laws nationwide. The plaintiffs, landlord groups Community Housing Improvement Program and the Rent Stabilization Association, asserted that rent control equates to an unconstitutional property takeover. Despite lower courts upholding the state's right to regulate landlord-tenant relationships, the plaintiffs hoped for a different outcome from the Supreme Court. Read more

WeWork Skips $95M In Interest Payments 

WeWork has opted not to make interest payments totaling approximately $95M while it negotiates with landlords and creditors to stabilize its financial situation. The company, which has a 30-day grace period to make the payments and claims to have sufficient funds to do so, is in the process of renegotiating the majority of its leases and plans to exit “unfit and underperforming locations.” Despite financial struggles, WeWork said it intends to maintain a presence in most of its buildings and markets. Read more

'You Sure You Want To Do This?’: Rookie Office Brokers Pursue CRE Careers Despite Downturn 

Despite the challenging office market, young brokers express optimism and resilience in building careers in commercial real estate. Many see the downturn as an opportunity to develop skills and forge relationships, while others appreciate the entrepreneurial aspects of the role. However, the financial challenges and competitive nature of the industry, especially amidst decreased transactions, necessitate grit, persistence and often supplementary income strategies for those starting in CRE. Read more

Nightingale Strikes Deal To Pay Back CrowdStreet Investors By Selling Its Assets 

Nightingale Properties has reached an agreement to repay CrowdStreet investors after Nightingale CEO Elie Schwartz misappropriated funds. The settlement involves repaying tens of millions of dollars in quarterly installments through asset sales, including Schwartz's New York penthouse and portions of Nightingale’s commercial real estate portfolio. Read more

Dallas-Based JPI To Be Acquired By Japanese Investor Sumitomo Forestry 

JPI, a Texas-based apartment developer, is to be acquired by Japanese housing developer Sumitomo Forestry in a deal potentially worth $215M. JPI will retain its name and Irving headquarters, continuing to build market-rate, workforce and affordable housing communities mainly in Texas and California. Read more

SEC Signs 1M SF Lease Extension As New Headquarters Plan Remains Stalled 

The Securities and Exchange Commission has extended its lease at D.C.'s Station Place complex due to delays in its new headquarters project. The SEC has renewed its lease for approximately 1.1M SF at Station Place I and II, while relinquishing about 210K SF at Station Place III. This extension comes as the SEC's plan with developers Douglas Development and Midtown Equities for a new office in NoMa faces uncertainties, primarily due to financing challenges. The new lease term began on Oct. 1 and will expire in 2028, with an early termination option included. Read more

Trammell Crow's 16-Acre District NoHo Clears Planning Commission

District NoHo, a substantial joint development in North Hollywood, California, has secured crucial approval from the city's planning commission. The 16-acre project, situated near the North Hollywood subway station, is spearheaded by Trammell Crow Co. and High Street Residential. Upon completion, it could feature around 1,200 market-rate apartments, 311 affordable units, 105K SF of retail space and potentially 580K SF of office space. The development, which may undergo design modifications, is anticipated to commence in phases starting 2025, targeting completion by 2031. Read more

Manhattan Office Leasing Sinks 30% Despite String Of Big Deals

Manhattan experienced a 31% year-over-year decrease in office leases in Q3 2021, with 6.3M SF signed. The availability increased to 19.6%, though sublease availability dropped to 20.6M SF. Notable leases were signed by Davis Polk and the Department of Citywide Administrative Services, among others. Challenges like WeWork potentially putting space up for sublease could impact the market in the coming months. Read more

Social Media Giant Looks To Sublease Chunk Of London HQ 

X, formerly Twitter, is negotiating to sublease approximately two-thirds of its London headquarters at 20 Air Street, potentially reducing its office space from 84K SF to 20K SF, reflecting a recalibration of space requirements amidst evolving corporate strategies. Read more

Distress Coming For Atlanta Apartments, But Lenders Continue 'Kicking The Can' On Foreclosure

An $8B wall of multifamily mortgage-backed securities maturing soon raises concerns about potential defaults in the multifamily sector. However, lenders seem likely to work with borrowers rather than foreclose and take distressed assets onto their balance sheets. Rising interest rates and aggressive valuation projections from 2021 and 2022 are cited as primary culprits for the anticipated distress, with some borrowers expected to default, presenting buying opportunities next year. Read more

Online Brokerage Redfin Cuts Ties With National Association Of Realtors

Redfin has instructed its brokers and agents to resign from the National Association of Realtors due to allegations of sexual harassment and a reported culture of intimidation within the NAR. The company itself resigned its seat on the NAR board earlier this summer. However, in about half the U.S., including several major cities, Redfin cannot quit NAR due to membership being required for access to essential resources like listing databases and lockboxes. Read more

The ‘Avalanche Of Loan Maturities’ Coming For Houston’s Office Market Could Benefit Opportunists

Houston's office market is grappling with financing challenges due to high interest rates and stringent loan-to-value ratios, but an anticipated surge of loan defaults could present opportunities. The financing market is described as "horrendous," with interest rates having doubled since last year and lenders being reluctant to renew loans. However, some industry professionals foresee financing conditions may become more reasonable by the end of the year. Read more

KKR Sells 50 Industrial Properties For $560M

KKR has sold over 50 industrial properties across Atlanta, Dallas-Fort Worth, Chicago, Lehigh Valley and Central Pennsylvania in five separate transactions, totaling more than 5M SF, for a combined $560M. The properties, from KKR’s Real Estate Partners Americas II fund, are in high-growth, infill markets. KKR has been actively acquiring and selling industrial assets, demonstrating the robust demand for quality assets in supply-constrained locations. Read more

Toys R Us Plans Comeback With 'Air, Land And Sea' Expansion

Toys R Us, under parent company WHP Global, is planning a nationwide comeback, starting with a store at Dallas-Fort Worth International Airport in November. The revival includes up to 24 flagship stores in prime U.S. cities starting in 2024, and expansion into nontraditional spaces like airports and cruise ships. The brand, which generates over $2B in retail sales annually, aims to create epicenters of immersive fun and explore various retail formats after its bankruptcy and liquidation in 2017 and 2018, respectively. Read more

BREIT Fulfills 29% Of Withdrawals As Redemption Requests Fall Again

The Blackstone Real Estate Income Trust met 29% of its redemption requests in September, despite a decline in such requests for the fifth consecutive month. BREIT received $2.1B in repurchase requests, down 28% from August. The trust has been under buyback restrictions since November. Despite the continued high volume of redemption requests, BREIT's net asset value increased by 0.9% at the end of August. The trust has sold $15B worth of real estate since January 2022, using the proceeds to pay out $11.3B to shareholders. Read more

How Hydrogen’s $46B Surge Will Fuel Real Estate

Investment in North American hydrogen production soared by nearly two-thirds year-over-year to $46B in 2023, driven by governmental clean energy initiatives and private industry's push for electrification. This surge presents commercial real estate development opportunities for manufacturing and distribution hubs for this emerging fuel source. Despite being behind globally in hydrogen production, North America's announced production capacity has grown 1.5 times faster than the rest of the world since 2021. Read more

D.C. Office Vacancy Keeps Hitting New Highs As Private Sector, Government Tenants Shrink

The D.C. office market continues to face challenges as vacancy rates reached an all-time high of 20.9% in Q3, according to CBRE's report. This trend is driven by both private sector and federal government tenants reducing their office footprints. Notable moves include health insurance provider CareFirst BlueCross BlueShield shrinking its NoMa lease by 140K SF and law firm Kelley Drye & Warren downsizing by 42K SF in a move to The Wharf. Despite the overall trend, trophy buildings in D.C. have a lower vacancy rate of 11.8%, indicating a preference for high-quality spaces. Read more

Lenders Take Control Of £1B In Assets — But Finding Buyers Right Now Isn’t Easy

Lenders have seized assets with over £1B of debt in recent months, yet attracting buyers in the current market is challenging. The complexity of selling distressed assets, especially in sectors with declining demand, is evident. The development sector is experiencing the most distress due to shorter loan periods and the need for new equity. Several key assets, such as Parkview in West London, 1 Palace Street in Central London and Highcross Shopping Centre in Leicester, have been affected. The market's liquidity is primarily from cash buyers, as leveraged buyers are scarce. Read more

GI Partners Loans $450M To Fast-Growing Data Center Developer

GI Partners is providing a $450M term loan to Denver's Vantage Data Centers, a major data center campus provider for the hyperscale market. This funding will support Vantage's expansion in key North American regions. Vantage, backed by DigitalBridge, is expanding its U.S. presence, with projects like the $1.5B "megascale" campus in Goodyear, Arizona, and a new data center complex in Douglas County, Georgia. GI Partners, with over $100B in assets, acquired CyrusOne in 2021 and continues to invest heavily in the data center sector. Read more

Sales Of New Condos In Manhattan Fall 40% From Prior Quarter 

Manhattan's new condo sales have plummeted, with contracts down 40% from the previous quarter and 30% from last year, totaling $911M in Q3. Despite the decline, absorption still surpasses supply due to few launches and buyers adapting to new mortgage rates. Read more

Second Chicago Packaging Company Announces Plans To Close Up Shop 

WestRock Co., an Atlanta-based packaging plant, will close its Chicago facility, impacting 73 jobs, amid an ongoing efficiency-boosting effort. This follows several closures in various locations and is unrelated to its potential $11B merger with Smurfit Kappa, which would form the world's largest paper and packaging company. Read more

Powered Down: Denver’s Energy Grid Causing Headaches For Some Industrial Businesses 

Denver's energy grid is under strain, causing issues for industrial businesses due to supply chain disruptions, increased costs and extreme weather conditions. The state, moving toward 50% renewable energy by 2030, faces challenges like delayed electrical gear deliveries and higher power costs, prompting businesses to reconsider energy strategies and lease signings. Read more

Vote On Ordinance Change That Could Protect Heavy Polluters Delayed Until November 

West Dallas residents are opposing a proposed zoning amendment that could hinder their efforts to remove a heavy polluter, GAF’s shingles plant, from their area. The amendment would complicate citizen-driven removal of polluters and might allow companies to be reimbursed for lost revenue due to cessation of operations. The decision has been postponed until Nov. 14. Read more

TikTok, Parent Company Expand Into New Space In Culver City 

TikTok and its parent company, ByteDance, have secured approximately 143K SF of office space in Culver City through two deals. TikTok added over 53K SF to its existing 172K SF at C3 at Culver Pointe, while ByteDance subleased about 90K SF at 900 Corporate Pointe. The expansion reflects a broader growth trend for the social media company. Read more

‘The Place Is Garbage’: Former Applesway Property Tenants Demand Action 

Tenants of The Redford and Cabo San Lucas, former properties of Applesway Investment Group, are protesting alleged abusive evictions and uninhabitable conditions. The tenants, some placed by the Houston Housing Authority and homelessness service providers, formed the Southeast Tenant Information Organization, demanding action and alleging they were intentionally placed in dangerous and inhabitable complexes. Read more

Could Discounted Loan Payoffs Be What Finally Restarts The CRE Debt Market? 

The commercial real estate sector is grappling with maturing or overdue loans amidst difficulties in refinancing and falling property values. Discounted payoffs, where lenders agree to be repaid at a lower price than the outstanding loan balance, are being considered as a potential solution. Read more

GPE Snags £250M Debt Facility As Redevelopment Programme Heats Up 

Great Portland Estates has secured a £250M unsecured term loan, following a series of investments in office, leisure and retail sectors. The company has recently acquired several properties and has embarked on numerous development projects, including refurbishments and redevelopments in various London locations. The new debt facility, agreed with three banks, has an initial three-year term, extendable to five years, and will support GPE's strategic priorities and development programmes. Read more

NRG Energy Is Latest Houston Firm To Downsize As It Signs New HQ Lease 

NRG Energy will relocate its headquarters to 3 Houston Center in January 2026 after signing a 245K SF lease to occupy the top 10 floors. This move indicates a significant downsizing from its 431K SF sublease at 910 Louisiana St. The decision aligns with providing new amenities for its workforce and creating collaborative workspaces, amidst a trend of downsizing in Houston’s office leasing activity. Read more

'Maybe This Is The New Normal': Investor Buys Downtown Boston Office At 74% Discount

Kendall Capital acquired a Class-B office building at 33-41 West St. in downtown Boston for $4.1M, a stark 74% discount from the $16M paid by the seller, Bay Management Corp., in 2016. The eight-story, 38K SF building is 50% occupied and was listed on the auction site Ten-X. The deal reflects potential new market norms amidst the thawing of a previously frozen market, with fluctuating values and emerging deals providing a glimpse into the state of the office sector. Read more

All-Affordable Housing Development Proposed In Navy Yard 

The NRP Group and Marshall Heights Community Development Organization have proposed a fully affordable housing development in Washington, D.C.’s Navy Yard, a notable shift in a neighborhood known for high-end apartments. The 127-unit project, planned between the Department of Transportation headquarters and The Yards, has been presented to Advisory Neighborhood Commission 8F, sparking interest and optimism amidst concerns about congestion and curb access. Read more

With £500M In Firepower, World’s First EV Charging Fund Buys Trio Of Sites To Pioneer New Asset Class 

Infinium Logistics, managing the FleetHubs EV fleet-charging real estate fund, has invested £120M across several UK sites, aiming to facilitate the transition to electric vehicles in the transport sector. The fund, which raised £500M of equity in 2022, acquires and develops sites for electric vehicle fleet charging, providing the necessary infrastructure and real estate to accelerate the decarbonization of transport. The acquisitions are strategically located near significant transport and logistics hubs, including Heathrow Airport. Read more

Sports Illustrated-Licensed Resorts Coming To College Football Towns, Starting With Alabama 

Sports Illustrated, under Authentic Brands Group, is venturing into sports-oriented resort hotels, beginning with a location in Tuscaloosa, Alabama, home to the University of Alabama. Development is facilitated by a $320M investment from Kituwah, the business arm of the Eastern Band of Cherokee Indians that is joint venturing with Sports Illustrated and Experiential Ventures Hospitality on the resorts. The JV is targeting a 2025 opening for its first U.S. location and is targeting future sites near the University of Michigan and the University of Georgia. The resorts will offer entertainment spaces, condos and timeshares, focusing on redevelopment prospects of 150 to 200 rooms. Read more

Macy’s Hits Fast Forward On Small-Format Store Plans, Aims To Open 30 New Stores 

Macy’s plans to open up to 30 new small-format stores in the next 18 months, tripling its current small-format footprint of 15 locations. The expansion, paired with a “premier digital experience,” aims to provide an efficient operational model and a unique shopping alternative within Macy’s omnichannel ecosystem. The small-format strategy, particularly prevalent in Sun Belt markets, is part of Macy’s approach to deliver sustainable, profitable sales growth starting in 2024. Read more

Developers Pitch 55-Story Residential Tower In Brickell With 2,060-Seat Theater 

Millennium Developments, an affiliate of G&G Business Developments, plans a 55-story, 464-unit residential tower in Brickell, potentially featuring a large theater component. The development, named Calle 8, proposes either a retail component or a multilevel concert hall seating up to 2,060 people. The project, near the Brickell Metromover station, aligns with Miami-Dade’s Rapid Transit Zone, encouraging higher-density developments near transit stations. Read more

Over 1,400 Municipalities Have Altered Parking Minimums In Affordable Housing Push. Has It Worked? 

More than 1,400 cities are reevaluating parking requirements, with some eliminating or reducing parking minimums to facilitate affordable housing development. A Rutgers Center for Real Estate white paper suggests reducing parking requirements can lower rents by reducing construction and operating costs. For instance, a reduction by half a car per unit could potentially lower New Jersey rents by nearly 4%. However, the impact varies by geography and demographic needs, and further studies are needed to fully understand the correlation between parking and affordability. Read more

Luxury Retailers Leasing More Than Double The Space They Did Last Year 

Luxury retailers in the U.S. have significantly expanded, leasing 650K SF of new space over the past year, up from last year's 250K SF, according to JLL. With sales projected to reach $75B this year, luxury brands are focusing on expansion, particularly in urban centers and the Sun Belt, utilizing real estate as a pivotal element in their growth strategies. While leasing is booming, JLL anticipates a potential slowdown in expansion due to low retail vacancy, with the national average at 4.2%. Read more

Construction Firm Grows Boston Operations With New 200-Person Waltham Office 

California-based DPR Construction has expanded its Boston operations, opening a 200-person office in Waltham to accommodate its growth in the New England region. The company, which has outgrown its startup office in Cambridge, leased a 16K SF office at 950 Winter St. in Waltham. The move is attributed to an increase in biotech, healthcare and university clients and projects, including work for Baystate Behavioral Health Hospital, Biogen and Boston University. Read more

Developers Pitch $120M Mixed-Use Project For Panther Island In Fort Worth 

Tillar Partners proposed a $120M mixed-use project, Vaquero Panther Island, on 12 acres of Panther Island, north of Downtown Fort Worth. The plan includes 512K SF of Class-A offices above retail spaces with structured parking. This project, anticipated to spur further development, follows a $403M federal grant awarded last year for the Panther Island/Central City Flood Control Project, aiming to reroute part of the Trinity River and unlock land for development. Read more

Controversial 234-Acre Uplands Development In Westminster Breaks Ground 

The Uplands development in Westminster, Colorado, has broken ground amidst controversy and protests aimed at preserving the farmland it will occupy. The 234-acre, medium-density neighborhood project, led by Oread Capital and Development, will introduce over 2,300 affordable homes, 34 acres of parks and additional amenities. Expected to house over 5,400 people and take 15-20 years to complete, Uplands has faced regulatory battles and community opposition, with concerns ranging from environmental impact to disrupting local aesthetics. Read more

Another WeWork Bites The Dust In The Financial District 

WeWork continues its strategy to alleviate its substantial rent burden by closing its 56K SF space at 83 Maiden Lane in the Financial District, New York. The company signed an exit agreement in late 2022, aiming to cut back on underperforming locations. The space, spanning the third through sixth floors, is now available for a direct lease. WeWork, grappling with the leases made during its rapid expansion, is negotiating globally to improve lease terms and exit poorly performing locations. Read more

Unit Sizes Coming Down Again As Remote Work Renters Gravitate To Common Spaces 

Atlanta's luxury apartments are emphasizing social amenities as renters seek places to gather outside their units. The work-from-home trend and rising construction costs have led to smaller apartment units. Amenities like pools, property-wide WiFi, coworking spaces and storage rooms are in demand. Developers are also integrating smart technology into units for a personalized experience. However, to achieve affordable housing, developers are considering reducing unit sizes and amenities due to increasing construction costs and land prices. Read more

New Jersey Landlord To Compensate Service Members For Charging Illegal Lease Termination Fees 

Landlord JAG Management Co. will compensate nine U.S. military members for unlawfully charging them lease termination fees, up to $2,750, when they had to move due to military orders. Such charges violate the Servicemembers Civil Relief Act. The proposed consent order requires JAG Management, the property manager of Jefferson Place in Mount Laurel, New Jersey, to pay nearly $42K in damages to the affected service members and a $20K civil penalty to the federal government. Read more

Arena Plans Revealed For Virtual Golf League Backed By Tiger Woods, Rory McIlroy

A golf simulator league endorsed by Tiger Woods and Rory McIlroy is collaborating with financial firm SoFi to construct a 250K SF arena in Palm Beach Gardens. The SoFi Center, set to be built on Palm Beach State College's campus, will accommodate nearly 2,000 spectators and will be the venue for the TGL's debut tournament in January. The arena will feature a massive virtual golf screen, adjustable putting greens and sand bunkers. This partnership aims to revolutionize how fans experience golf, blending technology and sports for a more immersive experience. Read more

Boulder's New Net-Zero Lab Highlights Life Sciences’ Sustainability Gap

The Ridgeway Science & Tech project in Boulder, Colorado, aims to pioneer sustainable life sciences construction with its all-electric, net-zero approach. Utilizing geothermal wells and solar power, the 112K SF building will offer lower operating costs despite a 5% development premium for enhanced sustainability features. The project aligns with Boulder’s 2030 net-zero new building requirement and is set to break ground in 2024, with an opening planned for 2026. Read more

Landsec Commits To Building 380K SF Spec Office, Betting Tenants Will Lease Green Space

Landsec, London's largest office owner, is advancing with the speculative development of a 380K SF office in London, anticipating that businesses will prioritize leasing eco-friendly spaces. Landsec has initiated the Timber Square development in Southwark, awarding a £200M construction contract to Mace. Despite no tenant commitments, Landsec is banking on sustainability as a key leasing determinant. Timber Square, set to complete by the end of 2025, will be a net-zero office, integrating existing structures with modern construction methods, including cross-laminated timber, to significantly reduce carbon emissions. Read more

Universities Gobbling Up Office Buildings In A Bid To Expand Footprints At A Discount 

Universities are acquiring and renovating office buildings to expand at reduced costs. The group of schools snagging properties since 2018 includes 49 four-year private institutions and 16 four-year public universities. The trend is driven by the availability of discounted office spaces, offering institutions opportunities for growth. Read more

Fitch: Life Insurance Companies, Among CRE's Remaining Lenders, Aren't Overexposed 

Life insurance firms, still financing commercial real estate, aren't overexposed, according to Fitch Ratings. Stable portfolios, conservative underwriting and effective asset management contribute to their safety. Read more

QTS Plans New $180M Data Center For Irving Campus 

QTS is set to start construction on a 264K SF data center in Irving, Texas, costing $180M. This addition will be part of QTS's existing 55-acre campus, which already houses two data centers. Read more

Landlords Nab Rare Refinancing For 2 Grand Central-Area Office Towers 

Triangle Assets and investor Faraj Srour secured a $101.5M refinancing package for two Midtown Manhattan office properties. The Bank of Montreal and Citibank provided the funding, replacing previous debt. Read more

From Bedroom Community To Mixed-Use: Prince William County Developers, Officials Say The Narrative Is Changing 

Prince William County, traditionally a bedroom community, is evolving into a destination with several large-scale mixed-use developments underway. Developers and officials are focusing on creating self-sustaining ecosystems, attracting companies and addressing challenges like transportation and affordable housing to support this transformation. Read more

Apartment Construction Surges To Levels Not Seen Since 1980s, Weighing Down Rents 

Apartment construction reached its highest level since the 1980s, dampening rent increases and even reducing rents in some markets, according to a RealPage report. Over 128,100 new units were introduced in Q3, while about 90,800 units were absorbed, slightly dropping occupancy to 94.4%. The report highlights significant regional variations in rents, with the Northeast and Midwest experiencing growth, while rents declined in the West and South. Read more

1M SF Of Purpose-Built Real Estate Could Boost Houston’s Life Sciences Market Ranking

Houston's life sciences market is set to gain nearly 1M SF of purpose-built real estate in 2023, potentially elevating its national ranking. The addition of four buildings, providing specialized facilities for life sciences companies and talent, aims to resolve the city's "chicken-or-the-egg" dilemma of needing buildings to attract tenants and vice versa. The new spaces offer features like redundant power and move-in-ready laboratories. Read more

Charlestown Set For Big Changes After City Adopts Controversial Plan 

Charlestown, Boston's oldest neighborhood, is undergoing significant development changes following the adoption of PLAN: Charlestown, despite facing opposition regarding density and height concerns. The plan, which unlocks potential for economic development and housing production, is part of a broader effort to transform city neighborhoods into mixed-use hubs, sustaining employment and housing growth. It has sparked various large-scale projects across the neighborhood. Read more

CoStar Lawsuit Accuses Homesnap Founder Of Stealing Trade Secrets 

CoStar is suing Homesnap's founder, Guy Wolcott, and three former employees, alleging trade secret theft and employee poaching. The lawsuit follows CoStar's $250M acquisition of Homesnap in 2020 and accuses Wolcott of utilizing confidential data for his new venture, Happening Technology, launched after he left CoStar. Read more

Howard Hughes Spinning Off Seaport, Vegas Assets, Tapping Casino Vet As CEO 

Howard Hughes Corp. is forming a subsidiary, Seaport Entertainment, spinning off its New York and Las Vegas assets, and appointing Anton Nikodemus, a Vegas veteran, as CEO. The subsidiary will include South Street Seaport holdings, the Las Vegas Aviators, air rights above Fashion Show Mall and a stake in Jean-Georges Restaurants. Read more

'The Worst Market I've Seen': NYC Commercial Real Estate Sales On Pace For Worst Year Since 2009 

New York City's investment sales market is expected to close under $10B in commercial real estate deals this year, a stark contrast to the 10-year average of $34.2B. Factors such as the banking turmoil, high interest rates and a slumping office leasing market contribute to the decline, while retail is the only asset class showing somewhat positive numbers. Read more

Greenlaw Partners And Walton Street Planning Office-To-Industrial Redevelopment In Orange County 

Greenlaw Partners and Walton Street Capital plan to convert a Santa Ana, California, business park into industrial space, replacing two office buildings with three new industrial structures, totaling nearly 176K SF. The Orange County office market has seen a trend of converting office spaces to industrial uses. Read more

Can Chicago Become The Nation's Climate Innovation Capital? State, Local Leaders Want $1B To Find Out 

Illinois Gov. J.B. Pritzker and Chicago Mayor Brandon Johnson have formed the Chicagoland Climate Investment Alliance, aiming to foster climate technology commercialization and tackle climate issues through innovation and technology. They have submitted a $1B proposal, the Rust Belt to Green Belt Initiative, to the EPA's Clean Communities Investment Accelerator. Read more

IOS Activity In DFW Slows As Stormy Economy Spins Sector Off Course 

Despite persistent demand for industrial outdoor storage in Dallas-Fort Worth, financial challenges are hampering momentum. IOS acquisitions have declined due to capital market issues, with only 21 local IOS sites sold this year compared to 55 in 2022. The Federal Reserve's interest rate hikes and a lack of liquidity in the banking sector are notable contributors to the slowdown, even as the underlying fundamentals of the IOS market remain robust. Read more

A Choppy South Florida Office Market Sees Sales Fall As Prices Rise 

South Florida's office market, which has been one of the strongest in the U.S. over the last few years, is experiencing turbulence as sales decline. Still, prices continue to ascend, keeping the city in rare air. Read more

Political Unrest, Office Usage, Housing Shortage Top List Of CRE's Biggest Issues For 2024 

The Counselors of Real Estate highlight the top 10 concerns for the real estate industry in 2024, reflecting the multifaceted challenges and disruptions faced by the sector. The potential impacts of artificial intelligence and a continued labor shortage are also worrying CRE pros. Read more

Big Tech Holds The Aces In A Market Primed For Data Center Landlords 

Despite a market seemingly favorable for data center landlords with record demand and limited supply, Big Tech companies, particularly hyperscalers, are dictating lease negotiation terms, maintaining a tenant-favorable environment in the data center industry. Read more

‘It's Time For Something New': Top Baltimore Developers Support Plan To Raze Harborplace

Prominent Baltimore developers back MCB Real Estate's proposal to demolish Harborplace pavilions, signaling a potential shift toward redeveloping the Inner Harbor area. The plan aligns with a broader trend of converting outdated shopping malls into mixed-use developments. Read more

'Yowzas': Economists React To The September Jobs Report On X, Formerly Twitter

September's nonfarm payroll employment surged by 336,000 jobs, nearly double the consensus estimates, holding the unemployment rate at 3.8%. The substantial job additions, especially in leisure and hospitality, sparked various reactions from economists on social media platform X. Read more

Delshah Capital Entity Files For Chapter 11 To Avoid Default 

Delshah Capital filed for Chapter 11 bankruptcy, averting default on Israeli bonds and securing a maturity extension for its New York City portfolio. The strategic move involves property sales and restructuring efforts amidst ongoing liquidity and cash burn issues. Read more

Fitch Downgrades WeWork: Improvements 'Not Materializing,' Bankruptcy Close 

WeWork faces a downgrade from Fitch Ratings from CC to C, indicating that default or a “default-like process” has commenced. Despite restructuring efforts and cost-cutting measures, the coworking company's cash burn persists, and its solvency remains in jeopardy amidst declining stock value. Read more

Flexport To Cut Staff By 30% Amid Shipping Slowdown 

Flexport, a digital freight company, announced a 30% staff reduction, impacting approximately 950 employees, amidst leadership changes and corporate retrenchment. The company, grappling with revenue declines and a challenging freight industry, aims to return to profitability through various strategic adjustments. Read more

EDITOR’S NOTE: Parts of this story were generated by AI and have been reviewed by our editorial team for accuracy.