NNN Lease Market News
NNN Lease investments activity will speed up...
Robust job growth and an increase in tourism will encourage consumer spending in New York City this year, driving retail operations to outperform most of the nation, predicts Marcus & Millichap in a second-quarter retail research market update, released yesterday.
As the local economy improves, the report predicts, retail investment activity will speed up, most notably in single-tenant and mixed-use sectors, with easing capital markets and low interest rates encouraging REITs and institutions to acquire single- tenant assets in high-traffic corridors of Manhattan. The Financial District and Times Square on the other hand will draw keen interest from risk-weary investors seeking long-term stability.
The report estimates that developers will deliver nearly 775,000 square feet of retail space to the New York City market this year, more than 40 percent of which will come online in Manhattan. That figure is down from 2010, when approximately 1.5 million square feet was finished within in the metro area.
http://therealdeal.com/
Showing posts with label New York City. Show all posts
Showing posts with label New York City. Show all posts
Wednesday, June 15, 2011
Wednesday, June 8, 2011
Office Owners Seek to Cash In as Prices Boom
NNN Lease Market News
Big-Name Buildings Go on Block as Prices Boom; 'Who Knows What Market Will Be Like' in a Year? says Tim Jaroch, one of the general partners who own the 1.4 million-square-foot Constitution Center.
Until recently, post-recession sales activity in the office market has been slow. Lenders have held onto distressed assets rather than sell them, frustrating many investors who hoped to take advantage of the pain of others. Even as values rise, many owners continue to resist selling because they don't like their options for investing the proceeds.
The sharp rise in values has come over the past year, a relatively short time frame in the real-estate market. Recent deals include the sale of 750 Seventh Ave. in New York's Times Square by Hines Interests for a surprisingly high $485 million and Beacon Capital Partners' sale of Market Square in Washington for a record $905 a square foot. Beacon also is considering bringing to market 1211 Ave. of the Americas in coming weeks, for which the company would look to retrieve well above the $1.5 billion that it paid in 2006, according to people familiar with the matter.
Building owners in some office markets contrast sharply with the residential market, where home prices have declined for months. Last week, the S&P/Case-Shiller Home Price Index reported home prices were down 4.2% in the first quarter of 2011.While new buyers are betting on a strong future in the market, the high prices—back so rapidly from the market's trough—have given some investors pause. Building owners in some office markets contrast sharply with the residential market, where home prices have declined for months. Large New York City developers, including Douglas Durst, have said prices have risen too high to justify acquisitions.
http://online.wsj.com/article
Office Owners Seek to Cash In
Big-Name Buildings Go on Block as Prices Boom; 'Who Knows What Market Will Be Like' in a Year? says Tim Jaroch, one of the general partners who own the 1.4 million-square-foot Constitution Center.
Until recently, post-recession sales activity in the office market has been slow. Lenders have held onto distressed assets rather than sell them, frustrating many investors who hoped to take advantage of the pain of others. Even as values rise, many owners continue to resist selling because they don't like their options for investing the proceeds.
The sharp rise in values has come over the past year, a relatively short time frame in the real-estate market. Recent deals include the sale of 750 Seventh Ave. in New York's Times Square by Hines Interests for a surprisingly high $485 million and Beacon Capital Partners' sale of Market Square in Washington for a record $905 a square foot. Beacon also is considering bringing to market 1211 Ave. of the Americas in coming weeks, for which the company would look to retrieve well above the $1.5 billion that it paid in 2006, according to people familiar with the matter.
Building owners in some office markets contrast sharply with the residential market, where home prices have declined for months. Last week, the S&P/Case-Shiller Home Price Index reported home prices were down 4.2% in the first quarter of 2011.While new buyers are betting on a strong future in the market, the high prices—back so rapidly from the market's trough—have given some investors pause. Building owners in some office markets contrast sharply with the residential market, where home prices have declined for months. Large New York City developers, including Douglas Durst, have said prices have risen too high to justify acquisitions.
http://online.wsj.com/article
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