Bloomberg Businessweek Staying Bullish on Commercial Real Estate
Oct 23, 2025
Ran Eliasaf, founder and managing partner of Northwind Group, dives into the evolving landscape of commercial real estate. He discusses the surge in office-to-residential conversions in NYC, explaining the challenges and advantages of such projects. Eliasaf believes 2025 will be a standout year for private lenders, highlighting their speed and flexibility compared to traditional banks. He also tackles the impact of political factors on real estate values and stresses that expanding housing supply is key to addressing affordability issues.
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Shift From Equity To Credit
- Northwind moved from equity to 100% credit investing by 2017 after comparing risk-adjusted returns.
- Ran Eliasaf says credit outperformed equity, especially through COVID and rising rates.
Pfizer HQ Converted To 1,600 Rentals
- Northwind is heavily involved in office-to-residential conversions and is the first mortgage lender on 235 East 42nd Street.
- That Pfizer headquarters conversion will become 1,600 rental units aided by a large tax abatement program.
Conversions Favor Rentals Over Condos
- Most office-to-residential conversions in New York target rentals rather than condos.
- Eliasaf explains buyers pay top dollar for condos and conversions better support rental product demand.