CRE Exchange: Commercial Real Estate, Property Valuations, Real Estate Analytics and Property Tax

Every quarter, Omar Eltorai and Cole Perry listen in to the latest round of REIT earnings calls. The calls provide a glance into REIT portfolio performance, and some insight into what the management teams at these companies are focused on for the coming quarters. Today’s episode is devoted to covering a selection of calls they’ve listened into over the last couple of weeks touching on the company overviews, key results, and valuable nuggets they picked up during each call’s Q and A portion. Key Moments:00:50 - Overview of REIT earnings calls01:42 - Retail sector insights10:27 - Office sector insights18:05 - Industrial sector insights23:58 - Multifamily sector insights33:17 - Upcoming data releases and REIT earnings calls Resources Mentioned:Q1 2025 CRE Industry Conditions and Sentiment Survey - https://altusdxm.qualtrics.com/jfe/form/SV_b9o1eKvI9zglrZc?Q_CHL=CREThisWeekLeave us a message! - https://www.speakpipe.com/CREexchange%C2%A0  Email us - altusresearch@altusgroup.comThanks for listening to the “CRE Exchange” podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.#CRE #CommercialRealEstate #Property

Discover the latest economic indicators affecting U.S. commercial real estate, including inflation trends and the Federal Reserve's interest rate impacts. Dive into construction spending analyses that reveal rising costs, especially in data centers. Explore the interplay between treasury yields and recent earnings reports, showcasing S&P 500 companies surpassing expectations. Gain insights into the growing optimism among stakeholders in the CRE market despite challenges, and learn about the key economic data set for release this week.

Stephen Buschbom, a real estate finance lecturer at Clemson University and co-host of The TreppWire Podcast, returns to share his insights on the U.S. debt market. He reflects on his 2024 predictions and analyzes key trends like maturity defaults and regional market dynamics in Washington, DC, and San Francisco. The conversation extends to economic scenarios that could shape 2025, along with challenges faced by the insurance market and their implications for real estate financing. Exciting forecasts for commercial mortgage-backed securities also highlight potential market shifts.

Omar and Cole kick off this week’s episode with some recent macro releases that help set the stage for 2025, then touch on some of what's happened in the capital markets since this year started. Finally, they share a number of initial industry themes for 2025 from the recent CREFC conference in Miami, and others based on personal observations of the commercial real estate market. Key Moments:01:23 Federal Reserve's Beige Book insights06:38 Capital markets and economic indicators07:50 Small Business Optimism Index and housing data11:26 Retail sales and market reactions21:58 Commercial Real Estate Finance Council Conference highlights26:13 Legislative and regulatory priorities31:25 Upcoming episodes and announcements Resources Mentioned:Beige Book - https://www.federalreserve.gov/monetarypolicy/publications/beige-book-default.htmNFIB Small Business Optimism Index - https://www.nfib.com/news-article/optimism-index-reaches-six-year-high-as-inflation-remains-top-concern/CREFC conference – Miami - https://www.crefc.org/january2025Q4 2024 CRE Industry Conditions and Sentiment Survey - https://www.altusgroup.com/featured-insights/us-cre-industry-conditions-and-sentiment-survey/ Thanks for listening to the “CRE Exchange” podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.#CRE #CommercialRealEstate #Property

CRE Exchange hosts, Omar Eltorai and Cole Perry, share the Q4 2024 results from the CRE Industry Conditions and Sentiment Survey. They discuss major shifts in market perceptions of property pricing, top-performing property types, transaction intentions for 2025, expected capital availability, and the various risks and opportunities predicted for the coming year. Additionally, they spotlight their biggest takeaways and surprises from this quarter's results.Key Takeaways:(00:56) Survey overview and objectives(01:47) Key findings: Pricing perceptions(03:43) Property sector performance insights(06:04) Transaction intentions and capital availability(09:41) Survey takeaways and future outlook(13:32) Surprises and priority issues(17:46) Accessing survey resultsResources Mentioned:Q4 US CRE Conditions and Sentiment Survey report - https://www.altusgroup.com/featured-insights/us-cre-industry-conditions-and-sentiment-surveyQ4 Canada CRE Conditions and Sentiment Survey report - https://www.altusgroup.com/featured-insights/canada-cre-industry-conditions-and-sentiment-surveyLeave us a message! - https://www.speakpipe.com/CREexchange%C2%A0Email us - altusresearch@altusgroup.comThanks for listening to the “CRE Exchange” podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.#CRE #CommercialRealEstate #Property

Shlomo Chopp, managing partner of Case Equity Partners, drops in for a discussion about distressed commercial real estate. Shlomo shares his career path and expertise in advisory, restructuring, investing, and asset and property management. Chopp provides an in depth perspective, and important lessons on the complexities of investing in and restructuring distressed CRE assets. He also details the challenges of the current market environment, the importance of strategic planning for borrowers, and the disconnect between lenders ang borrowers.Key Takeaways:(01:36) Shlomo’s career journey(06:59) Founding Case Equity Partners(08:03) Navigating distressed assets(12:15) Due diligence in deal assessment and client selection (21:17) Challenges and solutions for borrowers(27:26) Investing in distressed properties(30:12) Navigating tight liquidity in deals(31:25) Current macro and market environment(33:48) Interconnectivity and distressed sales(34:47) Challenges in commercial real estate(45:49) Restructuring and market realities(48:21) Innovation and technology in real estate(50:47) Staying up-to-date in CRE debt(54:19) Final thoughts and industry changesResources Mentioned:Shlomo Chopp -https://www.linkedin.com/in/chopp/Case Equity Partners | LinkedIn -https://www.linkedin.com/company/case-equity-partners-llc/Case Equity Partners | Website - https://www.caseinv.com/ Thanks for listening to the “CRE Exchange” podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.#CRE #CommercialRealEstate #Property

Our hosts, Omar Eltorai and Cole Perry, share a round-up of the latest macroeconomic indicators, upcoming policy changes, and CRE market matters both present and future. During the episode, they review US economic releases covering GDP, inflation, housing, construction, and manufacturing data; discuss upcoming moves by the incoming administration, including potential effects of tariffs planned for the new year; and analyze recent retail earnings calls along with preliminary retail data for Black Friday. They wrap up with some observations and important questions about the market outlook for 2025.Key Takeaways:00:48 - Macro releases: GDP, inflation, and more05:31 - Housing and construction data insights10:47 - Policy and market reactions14:44 - Potential tariffs in 202519:32 - Credit and equity market updates29:16 - Retail sector performance and Black Friday data37:11 - Looking ahead to 202543:59 - Upcoming earnings calls and economic data45:26 - Announcement and closing remarksResources Mentioned:Q3 2024 US CRE Investment and Transactions Quarterly reportUS commercial real estate investment trends and transaction volume: https://www.altusgroup.com/featured-insights/cre-transactions/ US commercial real estate investment sales - pricing and pacing: https://www.altusgroup.com/featured-insights/cre-transactions/pricing-pacing/ US commercial real estate investment sales - property sectors: https://www.altusgroup.com/featured-insights/cre-transactions/property-sectors/ US commercial real estate investment sales - markets: https://www.altusgroup.com/featured-insights/cre-transactions/markets/ The 5 US cities for retail investing that are most likely to outperform benchmarks - https://www.altusgroup.com/insights/5-us-cities-for-retail-investing-to-outperform-benchmarks/ CRE market hits lowest transaction count since 2011https://www.globest.com/2024/11/21/cre-borrowers-split-on-financing-outlook-despite-improving-economic-conditions/ Commercial real estate recovery hinted at in reporthttps://www.mpamag.com/us/specialty/commercial/commercial-real-estate-recovery-hinted-at-in-report/516261CRE investment falls to decade low, but that could soon changehttps://www.bisnow.com/national/news/capital-markets/report-finds-cre-investment-has-hit-a-decade-low-but-that-could-soon-change-126978 Leave us a message! - https://www.speakpipe.com/CREexchange Email us - altusresearch@altusgroup.com Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.#CRE #CommercialRealEstate #Property

We discuss Altus Group’s newly launched report, the US CRE Investment and Transactions Quarterly. This report introduces uniquely expansive and granular insights into the volume, pricing, and pacing of commercial property investment sales during Q3 2024, both at the national level and within select metropolitan statistical areas (MSAs). Don’t miss this episode where our hosts, Cole Perry and Omar Eltorai, break down some of the most interesting trends from the report across major property sectors and leading markets.Key Takeaways:01:21 - US CRE Investment and Transactions Quarterly report overview05:16 - How this report differentiates itself from other CRE transaction activity reports06:56 - US CRE transaction volume insights09:03 - US CRE transaction pacing trends10:29 - US CRE transaction pricing - nationally and by major property sectors12:32 - MSA-specific transaction data16:35 - Market environment and sentiment22:57 - How to access the report22:48 - Conclusion and request for feedbackResources Mentioned:Q3 2024 US CRE Investment and Transactions Quarterly reportUS commercial real estate investment trends and transaction volume: https://www.altusgroup.com/featured-insights/cre-transactions/ US commercial real estate investment sales - pricing and pacing: https://www.altusgroup.com/featured-insights/cre-transactions/pricing-pacing/ US commercial real estate investment sales - property sectors: https://www.altusgroup.com/featured-insights/cre-transactions/property-sectors/ US commercial real estate investment sales - markets: https://www.altusgroup.com/featured-insights/cre-transactions/markets/ Leave us a message! - https://www.speakpipe.com/CREexchange Email us - altusresearch@altusgroup.com Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.#CRE #CommercialRealEstate #Property

Cole Perry, Associate Research Director at Altus Group, recaps the first full week of REIT earnings calls. Cole shares key highlights and insights across a selection of industrial, office, retail, manufactured housing, gaming, and data center REITs.Key Takeaways:(01:36) Industrial REITs results(05:39) Office REITs results(10:39) Retail REITs results(15:01) Manufacturing housing REIT results(17:52) Gaming REIT results(19:43) Data center REIT results (24:15) Participate in our Q4 industry conditions and sentiment survey(24:48) Upcoming data releasesResources Mentioned:Participate in the Q4 2024 CRE Industry Conditions and Sentiment surveyhttps://altusdxm.qualtrics.com/jfe/form/SV_bCw519OV8S9r2sK?Q_CHL=CREExchangeLeave us a message!https://www.speakpipe.com/CREexchangeThanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.#CRE #CommercialRealEstate #Property

Co-host Cole Perry, shares insights he gained from the recent NAIOP CRE.Converge and Groceryshop conference. Discussion then turns to economic indicators covering NFIB Small Business Optimism Index, labor market, and the potential impact on inflation from the latest CPI and PPI releases. With US elections looming, Omar and Cole also touch on potential implications for CRE.The team then welcomes special guest Sandi Prendergast, from Altus Group’s Tax Research team. Together, they dig into property tax with a deep dive into the complicated world of 'doom loops'. Sandi helps to unravel what doom loops are, how they can affect both CRE property owners and the local community, and how state and municipal governments can avoid them.Key Takeaways:(01:14) Conferences recap: NAIOP CRE Converge(02:55) Conferences recap: GroceryFest insights(04:49) Economic data and market trends(10:17) NFIB Small Business Optimism Index and CRE impact(13:17) CRE Industry Conditions and Sentiment Survey results and political uncertainty(14:55) Property Tax Benchmark Report(18:15) Doom loop theory and property tax(21:03) Understanding property tax policies(21:23) Factors putting cities at risk(22:46) Political influence on property taxes(24:56) Addressing the doom loop(27:25) Property tax reforms and their implications(29:35) Challenges with additional taxes(35:08) Recommendations for property owners and investors(37:19) Multifamily sector insights(40:11) Survey announcements and closing remarksResources Mentioned:Participate in the Q4 2024 CRE Industry Conditions and Sentiment surveyhttps://altusdxm.qualtrics.com/jfe/form/SV_bCw519OV8S9r2sK?Q_CHL=CREExchangeUS multifamily sector rallies for quick rebound as sentiment slips for other CRE sectorshttps://www.altusgroup.com/insights/us-multifamily-sector-rallies-for-quick-rebound-as-sentiment-slips-for-other-cre-sectors/CRE industry conditions and sentiment survey - US Q3 2024 resultshttps://www.altusgroup.com/featured-insights/us-cre-industry-conditions-and-sentiment-survey/CRE industry conditions and sentiment survey - Canada Q3 2024 results https://www.altusgroup.com/featured-insights/canada-cre-industry-conditions-and-sentiment-survey/Leave us a message!https://www.speakpipe.com/CREexchangeThanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.#CRE #CommercialRealEstate #Property