Apartment investments remain well positioned entering 2017, though several important macro-level dynamics have begun to shift course.  The November election set in motion a range of fiscal, monetary, regulatory and economic changes that will merit close investor attention.  Prospective modifications to tax laws, a rising interest rate environment and upward revisions to economic forecasts could all influence investor behavior, while rising apartment completions will also generate a dynamic landscape.  While the outlook points to another… Read More

As the single-family housing supply falls to a record low, a tight market strengthens apartment demand.

Broad-based and robust hiring during January extends last year’s labor market momentum thus offering an upbeat commercial property outlook.

Investors Dial Back Transactions Amid Murky Policy Outlook, yet clarity and healthy fundamentals will likely revive activity.

The employment market consistently signaled steady economic growth last year despite numerous unanticipated events that could have upended the expansion.  Additionally, the tightening labor market achieved accelerated wage growth as average wage growth jumped 2.9 percent since last December.

Unforeseen events tap the brakes of the investment market.  The unanticipated results of the presidential election sparked a shift in several macro-level dynamics that have begun to ripple through the commercial real estate market.

Job creation still supporting positive outlook; robust delivery schedule weighs on vacancy and rent growth.  New jobs are consistently being created in the New York City economy, even as the pace of hiring has slowed over the past year.  As a result, demand for local housing has remained high, particularly in the core areas of Manhattan and Brooklyn where mortgage payments are far above rental rates.  As a result, multifamily development has risen to a… Read More

The December 2016 rate increase creates mixed signal for investors.

Following the lengthy campaign, Donald Trump surprised pundits and pollsters by winning the presidential election.  This unanticipated turn of events set off a rapid drop in both stock market and Treasury rate futures before they recovered early Wednesday morning.  In the wake of this unexpected outcome, markets are repricing both debt and equity to factor in increased government infrastructure and defense spending as well as the prospects of higher inflation.  Sentiment is fragile and volatility… Read More

Vacancies tighten in the Third Quarter despite elevated completions and investors broaden their acquisition criteria.