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

In this episode of CRE Exchange, special guest Ed Pierzak, Senior VP of Research at Nareit, discusses real estate investment trusts (REITs). Originally created in the 1960's, the REIT industry has grown significantly over the decades as it provides accessibility for many investors to invest in real estate. Ed discusses with the hosts Nareit's mission, research initiatives, investment characteristics of REITs, and recent market trends.Key moments:01:05 - Ed’s background and path to Nareit07:56 - Overview of real estate investment trusts11:07 - Overview of Nareit12:53 - Biggest areas of focus for Nareit and its membership15:20 - The status of REITs in American investments17:29 - What questions is Nareit trying to answer in the market?19:21 - Trends affecting REITs today22:37 - Perspectives on REITs in the broader macro environment26:44 - Nareit’s T-Tracker27:47 - What are investors looking for in Q1 REIT earnings? 28:56 - Emerging trends for REITs31:11 - Recommendations for professionals just starting their careers in commercial real estate32:08 - About REITweekResources mentioned:Edward Pierzak -https://www.linkedin.com/in/edwardfpierzak/Nareit | LinkedIn -https://www.linkedin.com/company/nareit/Nareit T-Tracker® | Website -https://www.reit.com/data-research/reit-market-data/nareit-t-tracker-quarterly-operating-performance-seriesREITweek -https://www.reit.com/events/reitweek/retweek-2024-investor-conferenceContact Nareit -https://www.reit.com/reit/contact-usThanks 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

As of this episode (April 30, 2024), approximately 25% of the near 200 publicly-traded REITs in the US have reported their Q1 2024 results. Over the next week, the remaining 75% of REITs will be reporting their results and hosting their earnings calls.During this episode, we share the more interesting highlights we've heard from REITs that have already been reported. We'll go sector by sector, calling out key takeaways that we noted on a handful of these company calls.Key highlights:02:20 Industrial REIT results.07:28 Office REIT results.18:46 Retail REIT results.27:05 Multifamily REIT results.32:43 Multifamily adjacent - self-storage results.36:26 Mortgage REIT results.38:32 Upcoming REIT earnings calls.39:13 Upcoming macroeconomic updates.Resources Mentioned:Cole Perry -https://www.linkedin.com/in/coleperry1/Omar Eltorai -https://www.linkedin.com/in/omareltorai/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

On this episode of CRE Exchange, we’re joined by Forum Investment Group’s Founder and CEO, Darren Fisk, and Chief Investment Officer, Jay Miller. They discuss the founding of the company; their perspectives and philosophies on multifamily investment; how the company differentiates itself through its team; Forum’s diverse fund strategy and how this strategy has kept them nimble and opportunity-rich over the past few years.Key Takeaways:00:55 Introducing Darren Fisk and Jay Miller.02:56 The story behind the founding of Forum Investment Group.09:12 Forum’s philosophy, evolution and key milestones.20:02 Team and talent dynamics at Forum.22:48 From equity to debt — creating and delivering diverse investment strategies at Forum.27:45 Forum’s approach to identifying and assessing opportunities.31:49 How are the macro and micro-level impacting Forum’s decision-making process?33:48 What characterizes Forum’s next phase of growth?38:13 Are there concerns for the multifamily market?42:29 Major events or catalysts that Forum’s watching out for.46:04 If you could snap your fingers and change something in the industry, what would it be?Resources mentioned:Forum Investment Group -https://www.forumre.com/Darren Fisk -https://www.linkedin.com/in/dfiskforumre/Jay Miller -https://www.linkedin.com/in/james-miller-0bba47114/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

On this episode, Altus Group's Director of Research, Omar Eltorai, and Senior Market Analyst, Cole Perry, are hosting a special episode of CRE Exchange. They discuss some of the most significant changes and surprises from the latest edition of the CRE Industry Conditions and Sentiments Survey. This quarterly survey is conducted across the US and Canada and provides valuable insights on market sentiment, conditions, metrics and other issues affecting the CRE industry.Key Takeaways:01:01 What is the CRE Industry Conditions and Sentiment Survey.01:56 Expectations for recession.04:07 Shifts in capital deployment.05:17 Cost of capital expectations for CRE.07:17 Capital availability for CRE.08:38 Perception of pricing and competition.09:59 Operating environment expectations.10:59 Transaction intentions.12:56 Top concerns for CRE.13:50 ESG’s place in CRE.16:12 Biggest survey takeaway.19:11 Biggest survey surprise.22:56 Participating in the survey.Resources Mentioned:Commercial Real Estate Industry Conditions and Sentiment Survey:Omar Eltorai - https://www.linkedin.com/in/omareltorai/Cole Perry - https://www.linkedin.com/in/coleperry1/US Q1 2024 results - https://www.altusgroup.com/insights/cre-industry-conditions-and-sentiment-survey-us-q1-2024/Canada Q1 2024 results - https://www.altusgroup.com/insights/cre-industry-conditions-and-sentiment-survey-canada-q1-2024/A request for your participation in our quarterly surveyYour participation is instrumental in shaping the narrative of the commercial real estate landscape, please support this survey program by sharing your perspective on our next installment of the CRE Industry Conditions and Sentiment survey.Participate in the surveyThanks 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

In the latest episode of the CRE Exchange podcast, Altus’ Omar Eltorai, Director of Research, and Cole Perry, Senior Market Analyst, cover Jerome Powell’s recent testimony on Capitol Hill and the SEC climate disclosure walkback. They also discuss last week’s macro data releases, including employment, construction data, beige book and the most recent FDIC quarterly banking profile. They wrap the episode up by touching on what’s happening in capital markets, the banking sector and some notable earnings calls from large retailers.Key Takeaways:(01:37) - Powell’s testimony on Capitol Hill(03:31) - SEC climate disclosure walk back(08:30) - February JOLTS and employment situation(11:27) - Fed Beige Book(18:01) - Construction spending(19:56) - FDIC Quarterly Banking Profile(26:59) - Banking and NYCB(29:26) - Retailer Earnings(34:21) - Upcoming data releasesThanks 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

In this episode of CRE Exchange, Cole Perry, Senior Market Analyst of Altus Group, and Omar Eltorai, Director of Research of Altus Group, discuss the overall market’s return to Earth as it moderates its expectations around the pace and magnitude of the Fed rate cuts. The team also discusses PMI, home sales, construction, and REIT earnings that portray a mixed CRE sector whose values and activity continue to be weighed down by the delay in rate cuts. Key takeaways:(00:56) Market expectations for Fed cuts(08:07) Purchasing Manager’s Index(10:31) Existing home sales(11:36) New home sales(12:31) Building permits and new residential construction(14:02) Retail sales(15:04) University of Michigan consumer sentiment index(16:30) Takeaways for the broad market(19:43) REIT performance(22:27) Retailer earnings(27:15) Data releases this week(28:16) Earnings calls this weekResources mentioned:Cole Perry -https://www.linkedin.com/in/coleperry1/Omar Eltorai -https://www.linkedin.com/in/omareltorai/Altus Group -https://www.linkedin.com/company/altus-group/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 welcome Conrad Madsen, Co-Founder and Partner at Dallas-based Paladin Partners, to this week’s podcast. Conrad shares his journey into commercial real estate, specifically what led him to establish a leading industrial real estate brokerage in North Texas. We also dig into Conrad’s perspective on the industrial real estate sector, discussing Texas’ role as a dominant player in America’s manufacturing reshoring, market drivers for growth and resiliency, and the changing ways tenants use industrial space.Key Takeaways:(02:04) What led Conrad to a career in commercial real estate(03:41) Seeing brokers at Addison Circle provided inspiration(05:47) Getting started as a commercial real estate broker(08:24) Why Conrad chose the industrial sector(10:56) Texas’ advantages in the industrial real estate market(14:46) The founding of Paladin Partners focused on industrial real estate(18:10) Starting the Paladin Partners Foundation for charitable work(21:57) Industrial subsectors and DFW’s role as a logistics hub(25:57) How industrial space is evolving(28:23) Conrad’s optimistic forecast for industrial real estate in 2024(31:56) The impact of AI and technology on CRE’s future(34:00) Conrad’s wish for a change in the industry: reversing rate hikesResources Mentioned:Conrad Madsen -https://www.linkedin.com/in/conradmadsen/Paladin Partners | LinkedIn -https://www.linkedin.com/company/paladin-partners-commercial-real-estate-services/Paladin Partners | Website -https://paladin-partners.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

On this episode of the CRE Exchange, Cole Perry, Senior Market Analyst of Altus Group, and Omar Eltorai, Director of Research of Altus Group, take a look at recent central bank actions across the globe as each major market grapples with whether to hike, hold or cut their rates. Narrowing the lens to US regional banks, they review the latest earnings reports, which continue to contend with CRE-related risk in their portfolios. In addition, they analyze how the latest US macro indicators support an evolving narrative toward a soft landing or no landing for the economy.Key Takeaways: (00:56) Global central banks are pursuing diverse monetary policies.(04:38) December’s PCE and income data indicate strong US consumer spending and potential for a soft economic landing.(05:52) Q4 2023 GDP growth exceeded expectations, driven by strong consumer spending.(07:18) LEI indicates potential economic contraction in Q2 and Q3 2024.(08:52) Consumer sentiment significantly improved in January.(09:54) Home sales declined, reflecting high mortgage rates.(11:48) Regional banks report declining earnings and deposits.(14:22) The airline sector reports increased revenue and strong leisure travel demand.(17:38) Cole discusses the resilience and growth of the grocery sector in post-pandemic retail trends.(19:37) The CRE sentiment survey is live, seeking broad industry participation for comprehensive insights.(20:53) Upcoming economic data releases include consumer confidence, FOMC rate decisions and job market insights.Resources Mentioned:Cole Perry -https://www.linkedin.com/in/coleperry1/Omar Eltorai -https://www.linkedin.com/in/omareltorai/Altus Group -https://www.linkedin.com/company/altus-group/CRE Industry Conditions and Sentiment Survey Signup -https://www.altusgroup.com/insights/cre-industry-conditions-and-sentiment-survey-register/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

In last week’s CREFC conference, a panelist perfectly captured the initial CRE outlook for 2024 as “not negative.” There's much in those two words but also in what's not being said.On this week’s podcast episode, we recap key themes for the 2023 CRE market, including the importance of monetary policy and the potential potency of technology, also saw capital and credit concerns overshadowing positive factors. Looking ahead to 2024, we discuss the latest macroeconomic indicators covering jobs, inflation, consumer credit, construction spending, rates expectations and more!For a more in-depth recap of 2023's trends, check out the US Monthly Market Update article on the Altus Group website.Key takeaways:(01:06) 2023 market recap.(04:00) Initial themes for 2024.(05:58) December jobs numbers from JOLTS.(09:19) December inflation numbers from the Consumer Price Index and Producer Price Index.(10:22) Consumer credit.(12:59) Construction spending.(15:30) Rate expectations – Fed vs. Market.(16:48) Q4 earnings from the big 4 US banks.(18:34) CREFC conference top takeaways.(23:01) Upcoming data releases and earnings.(24:30) Announcements. Resources mentioned during this episode:Q1 2024 CRE Industry Conditions and Sentiment Survey - https://www.altusgroup.com/insights/cre-industry-conditions-and-sentiment-survey-register/Job Openings and Labor Turnover Survey (JOLTS) - https://www.bls.gov/jlt/Consumer Price Index - https://www.bls.gov/cpi/Producer Price Index - https://www.bls.gov/ppi/Consumer credit - https://www.federalreserve.gov/releases/g19/current/Construction spending - https://www.census.gov/construction/c30/pdf/release.pdfCREFC - https://www.crefc.org/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

On this episode of the CRE Exchange podcast, we welcome a special guest, Stephen Buschbom, Research Director of Trepp. Our hosts, Omar Eltorai and Cole Perry, pick Stephen’s brain on a wide spectrum of topics focused on the US commercial real estate debt space. Their discussion covers parallels to past markets, prevalent themes in 2023, predictions on market shifts, performance in 2024, and more.Key Takeaways:(03:39) Stephen’s passion for the CRE asset class(06:54) Background on Trepp(10:27) 2023’s key CRE debt market themes                                                                        (11:57) Drawing parallels between today’s market and past periods(13:11) Breakdown of the CRE debt space(16:16) Thoughts on what will get transaction activity back up(19:33) Capital availability over the next 12 months(20:29) Areas of risk(21:25) Outlook for 2024(23:08) Main priority for lenders in 2024(25:32) CRE debt market performance expectations for 2024(28:19) How Stephen expects to focus his research in 2024(30:53) Biggest expected industry changes in the next 3-5 years(32:06) Expected changes to capital stacks in the next 3-5 years(33:02) Career tips for young CRE professionalsResources Mentioned:Stephen Buschbom -https://www.linkedin.com/in/stephen-buschbom-36738a64/Omar Eltorai -https://www.linkedin.com/in/omareltorai/Cole Perry -https://www.linkedin.com/in/coleperry1/Trepp Website -https://www.trepp.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