Patrick Carroll To Sell His 28,000-Unit Multifamily Business For $80M

Anyone hoping for a bank lending comeback to revitalize the commercial real estate debt market got some disappointing news Thursday.

U.S. bank regulators proposed a new set of rules that would impose stricter capital requirements on banks, requiring them to hold more assets for each loan they hand out and preventing them from using their own internal risk models. Though it will be years before a finalized rule…

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The Supreme Court’s decision to strike down affirmative action in college admissions has already fanned a widespread movement to tear down corporate DEI programs across the U.S. — and commercial real estate’s resolve to diversify its ranks is already being tested.

Advocates for and against diversity, equity and inclusion initiatives told Bisnow this week that over the next few years they expect a wave of lawsuits, shareholder actions and judicial decisions will reshape corporate diversity policies nationwide.

The real estate industry has long lagged other industries in terms of diversity and has struggled to live up to its promises to address the problem, especially in the wake of George Floyd’s murder in 2020.

Bisnow’s reporting and analysis of diversity efforts in CRE have most recently found that momentum for change has been waning. While no such changes or announcements have been made by any CRE companies since the high court’s decision, many worry the changing landscape will lead companies to pull back or water down their pledges.

“Some of the passion, enthusiasm and focus has been lost,” CRE Recruiting founder Allison Weiss said. “And people are so afraid of stepping on a land mine, they’re thinking of other ways of pursuing this that aren’t as risk averse. They look at Budweiser and public examples of taking a principled stance on diversity.” 

Corporate hesitation or even reversal on DEI is coupled with a societal movement pushing back against the programs and representation of some groups, at the same time that many companies are looking to cut costs. “There is a cottage industry of attorneys who have been waiting for the Harvard case…

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