Month: April 2020

This video is a recording of theApril 30th Brickell Alliance’s virtual town hall conversation with Miami City Commissioner Ken Russell on the City of Miami’s Recovery Roadmap. Reviewed are various phases of recovery and the orders to be issued within them, the expected timelines for such, and criteria for deciding when milestones are met. This is a must view video for commercial property owners and tenants as it allows some idea of what to expect in terms of resumption of commerce.

Watch the video below:

Homestead salmon farm reels in $210M construction loan

An under-construction salmon farm in Homestead just reeled in $210 million in refinancing. Atlantic Sapphire secured the construction loan for the four-phased development at 22275 Southwest 272nd Street from DNB Bank, according to a spokesperson for Holland & Knight. Attorneys Alberto Hernandez and Elena Otero and associates Faisal Kraziem, Brittany Fox…

Private Equity Investor Looking To Buy Up To Half Billion Dollars of Distressed Loans

Since 2005, Miami Beach-based Safe Harbor Equity has been purchasing distressed, nonperforming loans secured by real estate, usually in the $2M to $20M range, usually from regional and community banks. Last May, the private equity firm announced it was raising a $100M fund to pick up more distressed assets. With that, it began… Managing Director Rafael Serrano…

Miami Workforce Housing Exec: ‘I Don’t See Rental Rates Dropping’

Economic downturns are also called “corrections” for a reason — they enable peak-level prices to come back down to a reasonable level. Given its scope, one might expect the coronavirus crisis to harshly correct Miami’s long-rising prices. But workforce housing developers in Miami doubt rents will drop, because their own costs remain high and tenant demand…

Owner of CMX Cinemas files for bankruptcy, hopes to get help from landlords

The owner of the movie theater chain CMX Cinemas filed for bankruptcy due to the financial impacts of coronavirus. Miami-based Cinemex Holdings USA filed for Chapter 11 bankruptcy on Saturday in Miami. The company is owned by Mexico-based Grupo Cinemex SA de CV, which controls CMX Cinemas with 41 locations in the Midwest, Northeast and the South…

Miami-based Theater Chain Files for Bankruptcy

Cinemex Holdings USA, Inc. and Cinemex USA Real Estate Holdings, Inc. filed for bankruptcy protection and reorganization under Chapter 11 of the U.S. Bankruptcy Code in Miami, where the companies are based. It is reportedly the first theater chain, or retailer, to file for Chapter 11 as a result of the COVID-19 pandemic. The company indicated the filing will…

Past the pandemic: Rockefeller family, partnered with Miami company, pitches global luxury development projects

It may seem like a bad time to pitch a series of luxury lifestyle development projects around the world. But SixRock Group — a Rockefeller family-led real estate services firm — believes the global coronavirus crisis has created opportunity for low-cost land and construction deals. It has partnered with Miami-based Brands Lab International to make a push…

Pressure Mounts To ‘Commandeer’ Hotels For Coronavirus

Homelessness in the U.S. was already at crisis levels before the coronavirus hit. When it did, some cities began arranging for people experiencing homelessness to stay socially isolated in empty hotels. Fort Lauderdale has been doing the opposite. In March, city commissioners voted to crack down on the homeless, moving to extend a ban on camping, which now covers…

Fed “not in any hurry” to raise interest rates: Powell

The Federal Reserve won’t push up interest rates any time soon, the central bank’s chairman said Wednesday as the U.S. economy shrank the most in over a decade. The Fed’s Federal Open Markets Committee said it was keeping the range of its benchmark interest rate between 0 percent and 0.25 percent after slashing rates twice in recent weeks as part of sweeping…

Ritz-Carlton Residences Sunny Isles developers pay off $212M loan

The developers of the Ritz-Carlton Residences, Sunny Isles Beach paid off their $212 million construction loan after shifting to virtual sales over the last month. Fortune International Group and Château Group paid off their lender, Little Rock, Arkansas-based Bank OZK, which provided the loan in September 2016. The 52-story, 209-unit luxury condo tower was completed…

Gio Midtown Opens During Pandemic: ‘Going Great, All Things Considered’

The 39-story, 447-unit Gio Midtown was built to be one of Miami’s trendiest new apartment buildings. There’s a fifth-floor pool deck, a 4,500 SF gym, a basketball court and a Himalayan salt room. After 31 months of construction, the building at 3101 Northeast First Ave. began leasing in January, with studios starting at $1,695 per month and three-bedrooms…

Here’s how South Florida’s office market is changing in the coronavirus era

Developer Avra Jain, one of the first believers in revitalizing dilapidated motels in Miami’s MiMo neighborhood, is used to taking chances. And now, despite a widespread belief that the workplace will change post-pandemic, she’s still betting big on the office market. Jain is pushing forward with plans to build a major mixed-use project on the Miami River – anchored…

Simon will use tech to track occupancy for mall-reopening strategy

Simon Property Group intends to reopen 49 malls in 10 states across the country, and has a detailed plan that includes deploying tracking technology to welcome shoppers while adhering to prescribed safety measures. The giant mall REIT will start opening its shuttered shopping centers on Friday, according to the New York Times, which obtained…

Miami Hotelier: Numbers Won’t Bounce Back Until ‘2023 At The Earliest’

Miami saw record tourism numbers when it hosted the Super Bowl in January, and February was likewise gangbusters for the hospitality industry. Then coronavirus hit. “We lost about 30% of asset values overnight,” said Miami investor and developer Robert Finvarb during a Bisnow webinar Thursday. His Robert Finvarb Cos. owns a portfolio…

Miracle Mile gears for a new bounce-back

Even before the Covid-19 health crisis crippled the economy, from a global to a hyper local reality, Miracle Mile – the commercial soul of Coral Gables – was dealing with vacant storefronts and other challenges. But even in the face of unknown factors brought on by the pandemic, business leaders and officials are striving to proclaim positivity. The message is: The long-term…

Plans for Metrorail line headed north may be going south

At least one prominent Miami-Dade official is having second thoughts about pursuing a northern Metrorail extension, citing figures from a new report that favor two cheaper, easier alternatives. County Commission Chairwoman Audrey Edmonson said she saw “nothing but issues” with building new Metrorail, which transportation decision-makers here…

A safe bet: South Florida’s industrial market could boom after pandemic

Industrial developer Jose Hernandez-Solaun of The Easton Group has seen Amazon spur the rise of e-commerce over the last few years. But now, he sees the coronavirus pandemic rapidly ramping up that growth — putting it on steroids. “What we are finding now is the coronavirus effect,” said Hernandez-Solaun. “If the Amazon effect was strength training, this was…”

Opinion: The future of commercial real estate

The world of commercial real estate is getting turned upside down by the coronavirus pandemic. We’re seeing the first signs of stress in the industry as clients are seeking to move out of office spaces they can no longer afford and the number of accounts receivable ticks up. While some semblance of normality could return by early next year, there’s likely to be a lot of pain…

Restaurateurs have ideas on how to get cooking again

Who isn’t longing for a meal at a favorite eatery? Michael Stillman of Quality Branded — the restaurant group behind Quality Meats, Park Avenue and Smith & Wollensky New York — is craving a meal at classic Upper East Side Italian restaurant Elio’s. Bill Bondrest, COO of TAO Group, is missing the food at any of the hospitality company’s many restaurant…

AOC claims rent strikers have no choice

Rep. Alexandria Ocasio-Cortez — progressives’ rock star from New York — threw her support behind rent strikers Monday. In a virtual town hall hosted by New York tenant coalition Housing Justice for All, Ocasio-Cortez called for Gov. Andrew Cuomo to cancel rent and mortgage payments at the state level and expressed support for those who do not pay rent because…

Where can Haim Chera take Vornado’s retail business?

The retail apocalypse delivered a one-two punch to Vornado Realty Trust last year when a pair of its largest retail tenants filed for bankruptcy. The first came in May 2019, when British apparel company Topshop announced it was closing all of its U.S. stores, including two locations, on Fifth Avenue in Midtown and Broadway in Soho, owned by Steven Roth’s publicly…

Warning: An Ownership Pledge In a Mortgage Transaction May Be Dangerous

Over the last few years, certain nontraditional lenders and a few banks have asked for a pledge of the ownership interest in borrowers as additional security to their mortgage on the property. The typical reason provided is that this allows the lender to avoid a long and costly foreclosure if the borrower fails to make its mortgage payments. While the above is…

Second round of PPP launches

The federal government was launching round 2 of the paycheck protection program to aid small businesses, but the SBA’s computer system was experiencing glitches at times on Monday. The money also was expected to run out quickly. There was widespread unhappiness with the first round with some major companies returning money after negative publicity.

Office landlords finding out which tenants are paying up during lockdown

Public office landlords are starting to report their first-quarter earnings — and investors and analysts are paying close attention to just how much rent they were able to rake in as tenants like law firms and advertising companies complete nearly a full month of working remotely. Empire State Realty Trust — whose biggest property is the Empire State Building…

Tom Barrack says RE industry verging on collapse over rent, mortgage waivers

The country’s real estate market is in chaos and on the verge of collapse. That’s according to Colony Capital CEO Tom Barrack, who said the industry was in such dire straits because the government is letting renters and homeowners skip payments due to the coronavirus. He made his comments in an interview with Bloomberg Television Friday. Lenders and landlords…

Nation’s richest ZIP code, that of Fisher Island, received a $2M PPP loan. Now its HOA is deciding whether to accept it

Fisher Island’s homeowners’ association was approved to receive a $2 million loan through the federal government’s Paycheck Protection Program, and now the association is asking its residents whether it should accept the funds. The $349 billion PPP program was created by Congress to help small businesses, providing loans of up to $10 million to cover rent…

CARES Act Offers Help for Investors, Small Businesses

As we go through the coronavirus crisis, we are all, first and foremost, concerned about the health of our loved ones and communities. But the economic implications of the virus have also weighed heavily on our minds. However, if you’re an investor or a business owner, you just got some help from Washington – and it could make a big difference, at least in the short…

J.C. Penney in talks for $800 million plus bankruptcy financing

J.C. Penney is in advanced talks for bankruptcy financing as it faces financial pressure from the coronavirus pandemic. Struggling retailer J.C. Penney is in advanced talks with its lenders to reach a bankruptcy agreement. The department store chain is in discussions for a debtor-in-possession loan between $800 million and $1 billion with its lenders…

City of Miami could provide $2M in rent, utility assistance in May

The city of Miami could offer rent and utility assistance to residents who lost their jobs, starting as early as May, possibly becoming one of the first cities in the U.S. to do so. Mayor Francis Suarez announced the program during a virtual press conference on Friday. It’s subject to city commission approval at a meeting next week. Using federal money, the city would…

Major South Florida Lendar Bank OZK’s Q1 earnings fall 90%, but sees lending opportunities ahead

Bank OZK, one of the most active construction lenders in Miami and New York, is bracing for losses from the coronavirus pandemic, but says that it sees opportunities ahead as competitors back out of the market. Little Rock, Arkansas-based Bank OZK reported its first quarter earnings on Friday, and increased its provision for credit losses to $117.7 million, up from $6.6…

Emerald Construction sues for $4 million in unpaid work at South Beach Kimpton hotel

A month after Ronny Finvarb completed a Kimpton Hotel in Miami Beach, a general contractor is accusing the developer of skipping out on more than $4 million in unpaid construction work. Hollywood-based Emerald Construction Corp. sued Finvarb’s Sobe Alton LLC for nonpayment… The Kimpton Hotel Palomar South Beach at 1750 Alton Road opened in early…

China City’s Brickell development site under new ownership

A full block of vacant land in Brickell is under new ownership, court records show. The development site, at 1420 South Miami Avenue, was previously owned by CCCC International USA, an affiliate of China City Construction Holding Group Co. It is now controlled by entities tied to Rega Group, a California developer. The land has been vacant since before…

‘We’re going to have to redesign everything’: Flex-office heads discuss industry’s survival

When we finally leave our apartments, pale and scruffy after months at home, what will going back to work look like? It’s a concept that feels far off in a city like New York, but it’s a daily consideration for the leaders of flex-office companies, who are trying to reshape their businesses to reach the next wave of workers — a cohort likely to be hyper-alert about density…

Releated CEO Jeff Blau predicts “wave of defaults” on commercial and hotel loans

Related CEO Jeff Blau says he anticipates there will be a wave of defaults on commercial and hotel loans as the implications of the pandemic become clearer. In an interview with Bloomberg this week, Blau said that with the beginning of May looming, landlords are again wondering what will happen with rent payments. “Landlords use those rents to pay their…

Blackstone: “We don’t need financing to get things done”

BlaBlackstone wants investors to know that it is ready to pounce on investment opportunities. In a first quarter earnings call Thursday, the company reported a net income loss of $2.6 billion — or $1.58 per share — but highlighted the ample dry powder it’s ready to deploy. Distributable earnings were $557 million…

Architecture firm billings suffer record drop in March

Billings from architecture firms plummeted in March at a rate not seen in 25 years. The Architecture Billings Index dropped 20.1 points in March to a score of 33.3. Any score below 50 represents a decline. “This is by far the largest single month decline the index has seen in its nearly 25-year history, far surpassing the declines of 9.4 points seen at the start of the 2001…”

Remember that Casino Project in Edgewater? Saga Continues as Perez takes Legal Action

Famed local developer Jorge Perez, CEO of The Related Group, has taken his opposition to an approved Miami casino and jai alai fronton in Edgewater up a notch. The namesake behind the Perez Art Museum Miami (PAMM) joined forces with Norman Braman, owner of the Braman car dealership chain, along with two Miami neighborhood homeowner associations to file a lawsuit that aims to block a settlement agreement between the owner…

Fannie, Freddie will buy loans in forbearance — for a pricey fee

Struggling mortgage firms have been thrown a lifeline. The Federal Housing Finance Agency announced Wednesday that firms saddled with loans they would usually offload can now sell them to Fannie Mae and Freddie Mac. “Purchases of these previously ineligible loans will help provide liquidity to mortgage markets and allow originators to keep lending,” Mark Calabria…

Can You File a Business Interruption Insurance Claim to Survive COVID-19?

Does business interruption coverage provide protection during a pandemic? As commercial property owners and their tenants continue to seek new ways of coping in a COVID-19-weary world, they are looking at ways to recoup some of the losses incurred as a result of preventative shutdown and isolation measures. The post Can You File a Business… Interruption Insurance Claim to Survive COVID-19? appeared first on Commercial Real Estate South Florida….

Video: Integra CEO Anthony Graziano Discusses Their Viewpoint 2020 Reports: Office; Retail; Industrial; Multifamily; Hospitality

The CEO and Chairman of Integra Realty Resources, Anthony Graziano, appears on a commercial real estate show to discuss his firm’s (Integra’s) annual Viewpoint report. Topics include economist’s perspective on the economy, local and national market growth, and expected performance for the major commercial sectors. This is presented in two parts, the first concentrating more on office, retail, and industrial properties…

I considered setting up a new topic category for this called “duh.” Chuckle.

If you know me, you know I’m a bit of a data hound. I collect and manipulate data as a tool. One set of data I maintain is various types of selling activity, which I log throughout each day. It isn’t perfect, but I’d say it is consistently imperfect, and thus good enough to compare one period versus another. In general, I utilize this data for goal setting, assigning points to various metrics so as to weight different activities for business contribution. Given a noticeable change in activity with COVID-19, I thought it might be interesting to look at commercial property inquiry trends.

The chart above shows the 20-day moving average of new commercial property inquiries. This is the sum of various kinds of new inquiries, which in actuality I track more specifically. The year had started off with a bang, as can be seen, which is more a culmination of my efforts over time than a statement of market conditions. Once coronavirus hit, however, this metric went into a dive, with the 20-day average now about 10% of what it was pre-COVID.

Willikers.

This second chart considers the same data, but plotting 2020 versus 2019. There had been a early part of the year surge in 2019, as well, but 2020 was running about 70% higher than 2019. Again, I would guess that this is all specific to me, as, speaking anecdotally, I’d say the market environment versus the prior year was similar, if not a touch muted. Also standing out here is the drop in activity during the holiday season. Bah humbug.

Keep in mind these are all 20-day moving average numbers. Thus, that last dip in the red line for 2020 represents 20 days of low inquiries.

What does this mean? As this very moment, it likely doesn’t mean much. This pandemic hit so quickly, everyone is just stunned. Market participants are trying to make sense of it all. I can tell you anecdotally there are buyers circling, purporting to be interested in snapping up properties at depressed prices. Meanwhile, sellers almost universally seem to be in a wait-and-see mode, generally in no rush to sell barring necessity.

One last point. There is a notable surge in such activity as the new year begins. There are likely multiple reasons for this, but one of the principal ones surely is pent-up interest during the holiday season. This begs the question of whether there will be a surge as we exit this pandemic environment. It seems safe to assume there will be some post-pandemic increase in inquires. How much of a surge there will be is more the question.

Retailers exposed: Who’s paying rent and who’s not

As commercial landlords receive requests for rent relief, discerning whether the call for help is driven by hardship or strategy has been weighing on many. A new report titled “Who’s paying rent and who’s not” provides some insight. It documents which national retail and restaurant chains paid rent and costs related to triple-net leases to landlords so far…

KAR Properties CEO Shahab Karmely: Don’t Be Too Cautious

As we navigate through the coronavirus crisis, KAR Properties CEO Shahab Karmely cautions people about one thing: being too cautious. “Some of the great real estate fortunes of today were built right after the global financial crisis,” he said on a Bisnow webinar Thursday. “I was like a deer in headlights in 2008, 2009, asking my mommy where my safety blanket was.”

REIT launches $2M rental assistance program

Long Island-based Arbor Realty Trust has launched a $2 million interest-free loan program for its borrowers’ tenants. The real estate investment trust, which is headquartered in Uniondale and is a multifamily and commercial lender, will contribute $1 million to the fund, representatives for the company said. Landlords — who must be Arbor borrowers to…

Co-working firms are still open. For some tenants, it’s a deal breaker.

Mark Macias took space at a WeWork office on Fifth Avenue “before anyone knew what WeWork was” — growing his eponymous public-relations firm from two employees to four, then six. But with the co-working giant keeping its U.S. locations open during the pandemic, Macias wants out. He’s one of many customers angry that WeWork is charging fees even though most…

Downtown-Florida International University transit pick due

A nearly three-year project to determine what rapid transit upgrade bests fits the route between downtown Miami and Florida International University is rolling toward the finish line –most likely on rubber tires. Today (4/23), the Miami-Dade Transportation Planning Organization Governing Board is to choose the county’s preferred transit mode for…

Wreckage of Airport City may yield Miami International Airport hotel

A Brazilian construction giant whose mixed-use development at Miami International Airport (MIA) failed after years of planning may soon see one component find daylight. The project: Airport City, a 33.5-acre business park with hotel, office, retail and restaurants proposed by conglomerate Odebrecht. In 2016, negotiations with Miami-Dade soured amid issues…

How COVID-19 might change the insurance market

COVID-19 will change our world in many ways, some good and some bad. The same holds true for the insurance marketplace. While in the midst of the crisis, it is hard to predict, but the following considerations should be noted. Anita Byer is president of Setnor Byer Insurance & Risk Property policy and the corresponding business interruption coverage terms will…

Prologis granted rent relief to just 7% of tenants that asked

Prologis, one of the largest owners of industrial real estate, granted rent deferrals to just 7 percent of its tenants who asked for help because of the coronavirus. “This relief is targeted at our smaller customers with legitimate needs stemming from Covid and not for opportunistic requests,” said Chief Investment Officer Gene Reilly, speaking at Tuesday’s first…

Fontainebleau Miami Beach’s $1B loan enters special servicing

The $975 million commercial mortgage-backed securities loan for Jeffrey Soffer’s Fontainebleau Miami Beach has entered special servicing, presenting new challenges for Miami-Dade County’s largest resort. The CMBS loan is backed by 846 hotel rooms at 4441 Collins Avenue. It went into special servicing on March 30, according to data provider Trepp. Brett…

“We had to turn investors away:” Distressed RE funds raising cash at breakneck pace

The coronavirus pandemic has put billions of dollars worth of commercial real estate loans on shaky ground. Distressed debt funds are having no trouble raising money to scoop them up. Some even have to turn investors away. Florida-based firm Kayne Anderson just raised $1.3 billion for a distressed debt fund in just two weeks. It normally takes…

The Saudis have made a major bet on Related

Related’s Stephen Ross and Saudi Arabia’s Mohammad Bin Salman Al-Saud Stephen Ross’ Related Companies has landed a major investment from the Public Investment Fund, the sovereign wealth fund controlled by Saudi Arabia’s crown prince Mohammad Bin Salman Al Saud, according to a new report. Related closed on the deal with PIF in the first week of February…

Video: Integra CEO Anthony Graziano Discusses Their Viewpoint 2020 Reports: Office; Retail; Industrial; Multifamily; Hospitality

Office, Retail, and Industrial: Multifamily and Hospitality: The CEO and Chairman of Integra Realty Resources, Anthony Graziano, appears on a commercial real estate show to discuss his firm’s (Integra’s) annual Viewpoint report. Topics include economist’s perspective on the economy, local and national market growth, and expected performance for the…

The decline in industrial production: One for the ages

On Tuesday, April 15, the Federal Reserve released the industrial production (IP) index for March. You have to go to the very far right data point in the FRED graph to see it, but industrial activity plunged in March because of the economic effects stemming from social-distancing orders in response to the COVID-19 pandemic. Millions of businesses have closed or been disrupted…

Industrial sector is rare commercial real estate bright spot

The industrial sector appears to be the only asset class in commercial real estate poised to weather a devastating downturn caused by the coronavirus, said Rebel Cole, Ph.D., a finance professor in Florida Atlantic University’s College of Business. Rebel Cole, Ph.D., a finance professor in Florida Atlantic University’s College of Business Demand for distribution…

He’s back: Adam Neumann to sue SoftBank for bolting WeWork bailout

Adam Neumann isn’t going gently. The former WeWork CEO plans to sue the company’s chief financial backer, SoftBank, for pulling out of its $3 billion bailout deal, according to Bloomberg. Had that deal gone through, Neumann stood to receive hundreds of millions of dollars from the sale of his shares. SoftBank attorney Erik Olsen informed the board of We…

Struggling SoFla retail market faces $6B in CMBS payments

As South Florida’s shuttered retail market struggles due to the coronavirus pandemic, the industry faces billions of dollars in commercial mortgage-backed securities debt coming due. South Florida’s retail market has an outstanding CMBS loan balance of $6.3 billion, according to data provided by Trepp. It is the third highest CMBS exposure of any metro…

Russian Bay Harbor developers ran California cannabis business into the ground, lawsuit alleges

After he was sued for allegedly not repaying a $3 million loan, Sunny Isles Beach cannabis entrepreneur Paul King is accusing the Russian developers who lent him the money of ruining his California marijuana venture. Last week, King filed a lawsuit in California’s Monterey County against Roman Temkin and Dimitry Romantsoff, five other individuals and six…

“Capitalism without bankruptcy is like Catholicism without Hell”: These distressed-debt players are ready for a feast

“The firewood had been stacked,” Oaktree Capital Management said in a recent presentation to investors. And the coronavirus pandemic was the igniter. Companies had been levering up and it is time to take advantage of the situation, Oaktree said in its presentation, which was viewed by Bloomberg. Oaktree, which is majority-owned by Brookfield Asset…

Some retail landlords have collected just 15% of April rents: Report

Retail landlords and mall owners have collected just 15 percent of what they were owed (Credit: background by Erin Lefevre/NurPhoto via Getty Images) The fight over commercial rent payments looks like it may be ugly. So far in April, some retail landlords and mall owners have collected just 15 percent of what they were owed, according to Bloomberg, citing a Marcus…

5 things to know about supertall condo developer Michael Stern

JDS Development Group’s Michael Stern Michael Stern is one of the boldest luxury developers in the United States. Projects under his JDS Development Group include the skinny supertall at 111 West 57th Street and Walker Tower at 212 West 18th Street in New York City, and Monad Terrace and Echo Brickell in Miami. A new in-depth profile of Stern in the Financial…

Commercial Real Estate Tenant Bankruptcies: Issues and Strategies

This Article discusses the issues a landlord confronts when its commercial tenant files for bankruptcy protection. It also considers pre- and post-bankruptcy options available to a landlord to mitigate the impact of a tenant’s bankruptcy filing. Section 365 of the Bankruptcy Code allows commercial tenants, as debtors, to take actions on their leases that…

9 Reasons to Invest in South Florida Commercial Real Estate

On a national and global level, Florida has historically been one of the strongest commercial real estate markets, with continually solid returns and safety for the capital of global & domestic investors. In fact, US News & World Report currently ranks Florida #2 in terms of fiscal stability and #9 with its economy nationwide. Within…

7 Key Metrics About the Miami Commercial Real Estate Market

Miami’s commercial real estate market offers a wide range of projects and property types due to its pivotal access as an Atlantic coastal town. Miami has distinct cultural influence as a transportation node between North America, Central America, South America, and Europe. It also possesses economic diversity with many opportunities illustrated by a variety of…

McDonald’s real estate strategy could help it weather storm

Fear not, America: The Golden Arches are positioned to endure the coronavirus pandemic. The real estate and franchising structure used by McDonald’s may provide more protection from the economic downturn than those of its rivals, according to National Real Estate Investor. The fast-food behemoth owns a good chunk of the real estate beneath its eateries…

Morgan Stanley on firm’s future: “Much less real estate”

In a terrible economy, Morgan Stanley CEO James Gorman appears to have found a silver lining. “We’ve proven we can operate with effectively no footprint,” Gorman told Bloomberg Television in an interview Thursday. The $60 billion investment bank has moved about 90 percent of its 80,000 employees to a work-from-home model, a process Gorman said had…

David Martin proposing mixed-use tower at Miami Beach Marina

Terra’s David Martin hopes to develop a 23-story tower at the Miami Beach Marina in the city’s South of Fifth neighborhood. Martin spoke before the city’s Finance and Economic Resiliency Committee on Friday, which met via video conference, kicking off a process that would require residents to eventually vote on ballot questions tied to extending and amending…

Bill seeks rent and mortgage forgiveness across U.S.

A Minnesota member of Congress is calling for a suspension of rent and mortgage obligations across the country through the end of the coronavirus pandemic. Democratic Rep. Ilhan Omar on Friday proposed a bill that would cancel rent and mortgage payments starting April 1 until 30 days after the end of the federal state of emergency. The measure would create…

Fortune sues Chetrit over stalled Miami River project

The new development sales arm of Fortune International Group is suing the Chetrit Group for alleged breach of contract tied to the stalled Miami River development. Edgardo Defortuna’s Fortune Development Group filed the lawsuit against CG Miami River LLC this week, alleging that it’s owed a $200,000 termination fee, plus other costs incurred. The Chetrit Group…

Hotel industry wants $10B stimulus carveout to avert “snowball effect” of foreclosures

Embattled hotel owners are looking for a $10 billion cut of the federal bailout package, after the government’s paycheck lifeline program dried up within a matter of days. Industry groups representing more than 55,000 hotels across the country asked Treasury Secretary Steven Mnuchin and Federal Reserve Chairman Jerome Powell to carve…

Private real estate investment deals tumble worldwide

The number of private real estate investment deals plunged worldwide last month, the latest example of the coronavirus’ all-consuming effect on the global economy. And so far, April has been even worse. Commercial real estate deals were down nearly 43 percent in March year over year, according to data from research firm Preqin. North America was…

Coronavirus portends a less dense world, Sam Chandan says

The coronavirus pandemic is causing the future of real estate to arrive ahead of schedule, according to Sam Chandan, dean of NYU’s Schack Institute of Real Estate. Greater space between office workers. More working from home. Less business travel and fewer hotel rooms. And, most worrisome for places like New York City, perhaps a shift away from…

These are the real estate execs Trump tapped to help restart the economy

In a bid to restart the economy, President Trump this week tapped prominent business leaders from across industries to help advise him, including some of the highest-profile real estate executives in the country. The roster of names chosen to help steer the economy in a post-coronavirus world include longtime supporters of Trump’s presidential…

MV Group plans $26M Town Center Killian Park retail project

MV Group USA filed plans for a town center retail project in south Miami-Dade County. The Miami-based development firm and builder, led by Manny Varas, is proposing to build Town Center Killian Park, a 42,000-square-foot project on a 5-acre plot of land near the intersection of U.S. 1 and Killian Parkway, Varas said. His company is under contract to…

Banks get extraordiary 120-day deferrals on appraisals

In an extraordinary move meant to keep real estate lending flowing, regulators are permitting banks to move ahead with closing loans without having an appraisal completed in advance. Federal banking agencies released an interim ruling Tuesday that will allow financial institutions to temporarily close on certain commercial and residential loans without…

What to expect in the Main Street Lending Program

Through the Main Street Business Lending Program, the U.S. Treasury will make a $75 billion equity investment to enable up to $600 billion in new financing for medium-sized businesses. The program is designed for businesses with up to 10,000 employees or $2.5 billion in 2019 revenues. The program encompasses two types of loans, both with interest rates…

COVID-19’s impact on tenants, landlords and brokers

The commercial real estate industry was relatively unprepared to manage the COVID-19 crisis. Landlords, tenants, property managers and brokers have honed their skills and protocol with regard to natural disasters and terror attacks, but a worldwide health pandemic was in very few catastrophe plans and playbooks. Fortunately, we are a resilient…

Major South Florida airports get $378 million in funds, $207 Million for MIA

Federal grants to support airports will provide $207 million for Miami International Airport, $135 million for Fort Lauderdale-Hollywood International Airport and $36 million for Palm Beach International Airport, the Federal Aviation Administration announced. “We are extremely pleased with the $207 million in relief funding for MIA,” said Miami-Dade County…

$2.3M Sale Arranged of Industrial Building in Opa-Locka

Lee & Associates has arranged the $2.3 million sale of a 32,897-square-foot industrial and office building in Opa-Locka. The property is situated at 4600 NW 128th Street, two miles from the 850,000-square-foot Amazon Mega Distribution Center and nine miles north of Miami International Airport. The building comprises 22,620 square feet of warehouse space and 10,277…

Private Lending Trends in South Florida

Commercial and multifamily mortgage originations ended 2019 with the strongest quarter on record since the second quarter of 2007, according to the Mortgage Bankers Association. With a tax-friendly business environment and highly educated tenant pool, South Florida is a preferred destination for both investors and developers. Although it launched only…

Freddie Mac extends loan forbearance period on multifamily landlords

Freddie Mac is extending the forbearance period for multifamily borrowers and beefing up the eviction ban requirement for landlords who receive the relief. The program, which offers landlords forbearance on multifamily loans if they can show coronavirus-related hardship, will be extended to the end of the year or the end of the federal emergency period, whichever…

Office, Retail, and Industrial:

Multifamily and Hospitality:

The CEO and Chairman of Integra Realty Resources, Anthony Graziano, appears on a commercial real estate show to discuss his firm’s (Integra’s) annual Viewpoint report. Topics include economist’s perspective on the economy, local and national market growth, and expected performance for the major commercial sectors. This is presented in two parts, the first concentrating more on office, retail, and industrial properties, and the second on multifamily (apartments) and hospitality (hotels) properties. Integra Realty Resources, also referred to as simply IRR,  provides high quality comprehensive commercial real estate services including market research, valuation, and advisory.