The wave of foreign capital flowing into U.S. real estate is poised for a record-setting year.
“We have strong inbound capital that we believe will see the U.S. exceed the previous peak of 2007 by year-end,” says Lucy Fletcher, vice president of international capital group and capital markets with real estate services firm JLL. As of mid-year, JLL estimates total cross-border investment in U.S. property at $24.1 billion, compared to the $23.6 billion recorded during the full year of 2014.
The Phoenician, a luxury resort at the base of Camelback Mountain that draws affluent vacationers and conventioneers from around the world, is going to get a major face-lift under new ownership. The 643-room resort, one of the largest in Arizona, was sold to Host Hotels & Resorts on Monday for $400 million.
Publishers of a new book by former Housing Secretary Henry Cisneros say it offers an “innovative and nuanced” analysis of the potential for real estate investment in 45 metro areas with varied economic outlooks, revealing opportunities for investors even in metros with weak indicators.
“Urban Real Estate Investment: A New Era of Opportunity” mashes up performance indicators based on local economic and demographic trends with city-by-city rankings based on surveys and interviews with real estate professionals.
A Simon-Macerich combination would open a new chapter for a resurgent industry that has been consolidating, with fewer big players controlling a higher percentage of shopping malls as rental revenue and occupancy rates continue to climb despite threats from online retailing.
Arizona is a top potential prize in the proposed $22.4 billion purchase of the Macerich Co. by rival mall operator Simon Property Group — a transaction that could set in motion a musical-chairs shuffle of some of the state’s most prominent shopping centers among three companies.
With Few Modern Logistics Facilities Available (For Now), Investors Gobbling Up Available Portfolios. Absorption of U.S. industrial real estate, which was fairly muted in the first three quarters of the year due to lack of new supply, is expected to end 2014 on a strong note as developers wrap up construction on an estimated 50 million square feet of new warehouse and light industrial space.
When you hear the word “investors” in the context of real estate, what image do you conjure up in your mind? Chances are, you envision a bottom-feeding foreclosure vulture who just finished attending a seminar on getting rich quick and wants to use the two nickels he has to become a millionaire by midday. Continue reading