Industry News
Commercial Real Estate
Top stories summarized by our editors
7/13/2020

The Philippines Securities and Exchange Commission has granted permission for an initial public offering of a REIT with Ayala Land as the sponsor. The offering would be the first of its kind for the country, and shares would list on the Philippine Stock Exchange on Aug. 7.

7/13/2020

Simon Property Group and Authentic Brands Group won a bid to supply Brooks Brothers with a zero-interest $80 million loan that will carry the retailer through bankruptcy. Brooks Brothers' branding and trademarks are required as collateral for the loan.

7/13/2020

Many companies are rethinking their space needs after having realized that remote work is a viable strategy. Office rent collection has held up relatively well during the pandemic, but Victor Calanog of Moody's Analytics predicts that the office vacancy rate could reach 19.4% by December.

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USA Today
7/13/2020

Commercial construction costs fell for the first time since 2010 in the second quarter, a Turner Construction index shows. Turner's Attilio Rivetti noted that competition among trade contractors has intensified, and he said that the third quarter could "more clearly define the fluctuation of escalation of cost in the construction industry."

7/13/2020

In this interview, Boston Properties CEO Owen Thomas explains how the company assembled a task force to aid the creation of a health security strategic plan. Looking forward, expect the office market to have an increased focus on spacing and healthy building policies related to light and air, he said.

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Nareit
7/13/2020

The Small Business Reorganization Act, which took effect earlier this year, could help smaller companies use Chapter 11 bankruptcy protection. Federal stimulus measures and other factors appear to have limited bankruptcy filings so far, but Amy Quackenboss of the American Bankruptcy Institute notes, "I do think there is going to be a surge."

7/10/2020

US companies raised a quarterly record of almost $190 billion from the end of March to the end of June, according to Dealogic, as they rushed to insulate balance sheets from the coronavirus pandemic through initial public offerings and stock issuance. The activity prompted a surge in bank fees.

7/10/2020

Pension funds are having difficulty valuing the real estate assets in their portfolios as pricing has become opaque amid the pandemic. The percentage of public-pension portfolios invested in real estate has grown from 3.8% in 2007 to 6.1% in the first quarter of this year.

7/10/2020

Some asset managers are pushing back against a proposal from the Labor Department that could discourage the use of ESG investments in retirement portfolios.

7/10/2020

Pacific Life Fund Advisors, which bet on the market recovery in late March, is now dialing back its risk position. Max Gokhman, head of asset allocation, points to a disconnect between the performance of the S&P 500 and the threats facing the broader economy.