- Best Buys
-
In the increasingly competitive commercial real estate marketplace, buyers and sellers continue to seek advantages in the negotiation process. Until recently, structured sales were a concept that resonated primarily with sellers. Yet commercial real estate buyers may be surprised to
- Buyers Are Back
-
Commercial real estate investors are lumbering out of the woods and back into the game. The menagerie of buyers shopping for properties in today’s market runs the gamut from private individuals to billion dollar institutions. But one thing they all
- TICs Today
-
Several years ago, tenancy in common 1031 real estate exchanges were on a steady upward trajectory that seemed destined to continue indefinitely. Within the past year, however, the growth curve has flattened, with the securitized TIC market taking the majority
- TIC Tactic
-
During the past decade, many investors have taken advantage of Internal Revenue Code Section 1031 tenancy in common exchange strategies. The TIC concept permits small to midsize accredited investors to own and obtain title to professionally managed, potentially institutional quality
- Physical Fitness
-
Commercial real estate investors conduct many types of due diligence, such as financial, legal, and physical. Regarding the latter, many investors assume that if they follow the current physical due diligence standard, ASTM guideline E2018 08, Standard Guide for Property
- QI Questions
-
The unregulated Section 1031 exchange industry has suffered instances of misappropriated client funds, breaches of fiduciary duty, theft, and qualified intermediary bankruptcy filings. The task of qualifying a QI has become paramount for real estate investors and their advisers. Understanding
- REITs Rev Up
-
Amassing capital in a credit restricted market topped real estate investment trusts&rsquo 2009 priority list, with more than $14.4 billion raised in equity issuance and another $6.7 billion in debt, according to Fitch Ratings. For the majority of REITs, these
- Ready for Reform?
-
On July 21, 2010, the Dodd Frank Wall Street Reform and Consumer Protection Act was signed into law. The risk retention requirements under Dodd Frank for asset backed securitizations, including commercial mortgage backed securities, have garnered substantial attention from the
- ROI Check-Up
-
Many investors ignore the return on investment that property condition assessments often can deliver. PCAs yield an ROI in three ways protecting buyers from bad purchases providing buyers with information for price negotiations with sellers and finding opportunities to improve
- A Tale of Two Markets
-
&ldquo It was the best of times, it was the worst of times, it was the age of wisdom, it was the age of foolishness, it was the epoch of belief, it was the epoch of incredulity, it was the
- Restaurant Re-use
-
Most owners of retail properties have restaurant tenants. Whether they are located on an end cap, inline, or on a free standing outparcel, these restaurants make up an integral component of the retail investment landscape. Savvy property owners recognize that
- Money Magnets
-
Capital that is now on the sidelines is likely to return to the market as a floor on asset pricing emerges and values become attractive once again. However, while lending conditions are expected to remain tight during the next 12
- Foreclosure Fortunes
-
In today&rsquo s market, the difference between traditional and distressed sales is mostly in the buyer&rsquo s mindset. Traditional sales currently are driven by need &mdash only investors who need to fulfill Section 1031 exchanges or other financial or market
- Engineering Value
-
It seems like only yesterday that real estate investors and developers breezily talked about easy exit strategies and double digit internal rates of return. When lenders and investors were eager, winning at real estate was more about managing the capital
- Investor Insights
-
When it comes to investing in today&rsquo s commercial real estate market, industry pro and author Kenneth D. Rosen, CCIM, founder and president of Kendar Realty in Coral Gables, Fla., has some simple advice &ldquo Stick with what you know.&rdquo
- Lease Resistance
-
As if rental demand weren’t already an issue, new accounting standards could make purchasing space more attractive than leasing. The changes will effectively eliminate most of the accounting differences between owning and renting a building. And in a market that
- Navigating the Maze
-
The labyrinth of rules that taxpayers must follow when completing Internal Revenue Code Section 1031 exchanges can be overwhelming. Commercial real estate developers often prefer to avoid this maze, thinking that most of their work involves non qualified inventory. However,
- Cost-Segregation Savvy
-
If you’ve been using cost segregation studies to accelerate depreciation of your commercial property, you’ve likely cut your taxes considerably. But could you save even more? Not all cost segregation studies are created equal. So what can you do to
- Due Diligence: Digging Deeper
-
Lenders have overhauled their lending criteria and underwriting guidelines, so why shouldn’t buyers do the same? During these challenging times, property investors must refocus on the fundamental aspects of investment analysis to properly substantiate value in the purchase price. When
- Cost Comparison: A Case Study
-
When looking to extinguish fixed rate debt, borrowers have two alternatives yield maintenance or defeasance. Both methods allow the borrower to unencumber the underlying real estate asset, and both compensate for the lender’s reinvestment risk following prepayment. However, each method
- The Big Fix
-
Deferred maintenance in commercial real estate properties poses a significant challenge for market participants over the next several years. While nonrecourse lenders may suffer the most in the short term, this issue will be a serious consideration for property owners,
- The Big Picture
-
Companies that are real estate users can learn from today’s tough economy and past real estate strategies. Reflecting on best practices can provide insights to defend against future downturns. Real estate decisions, by their very nature, should include long term
- Bid vs. Ask
-
Activity within the institutional commercial real estate market is picking up as a result of the abundance of capital seeking real estate opportunities. Property sellers who have been holding firm in their asking prices are being rewarded for their patience
- Alternative Risk Retention for Commercial Real Estate
-
In response to input from the commercial real estate industry, the Dodd Frank Wall Street Reform and Consumer Protection Act expressly contemplates flexibility and custom tailoring for commercial mortgage backed securities risk retention requirements. The contemplated regulations shall specify the
- The Benefits of Cost-Segregation Studies
-
When a commercial property is purchased or constructed, a building asset is created and the dollars are entered into a fixed asset system as 39 or 27.5 year property. Using the straight line method,