There are so many real estate articles out there — and so little time! For busy investors looking to take a quick reading break, look no further than our list of recommended reading for the week. From advice and investment tips to market reviews, we’re highlighting the stuff that’s really worth your time.
So sit back, and take a break. These were the 5 Must-Read Real Estate Articles of The Past Week:
By Katia Dmitrieva via Bloomberg
Foreign investors will account for a record amount of commercial-property purchases in Canada this year, spurred by a weak currency, according to a forecast from the world’s largest real-estate services firm. Acquisitions by international investors in 2016 will surpass the previous record in 2007, when 7.5 percent of all deals over C$10 million ($7 million) were from foreign buyers and C$32.2 billion in commercial real estate traded hands in Canada, according to data compiled by CBRE Group Inc. This year, CBRE forecasts C$23.6 billion in total deals, with foreign buyers set to spend a record amount as they search for stability in volatile global markets. Foreign buyers made up 5.4 percent of large transactions in 2015, the highest since 2007. There were C$23.8 billion of deals in 2015.
Via Associated Press
Facing a teetering economy at home, wealthy Brazilians have been pouring money into what they increasingly see as the safest place to invest: South Florida real estate. So are Argentinians, Colombians, Mexicans, Venezuelans, French and Turks—almost anyone with money to shelter, a direct flight to Miami and a shaky economy to flee. Their cash has helped drive the latest twist in Miami’s ever-evolving transformation—from a 19th century rail stop to a tourist-and-retiree hub to a haven for Cuban refugees to now a harbor for global investors. No American skyline has undergone a more drastic face-lift from foreign cash in the past decade: Luxury condo towers and swanky retailers crowd a downtown once marred by empty lots.
By C.J. Hughes via The New York Times
After clustering around 57th Street for the last several years, super-tall condominiums, which are coveted by buyers for their views and scorned by some others for their bulk, are turning up in other neighborhoods. Among the latest is 180 East 88th Street, a 48-unit high-rise on the Upper East Side built by DDG and Global Holdings that will stretch to 521 feet. While that elevation is dwarfed by buildings that soar beyond 1,000 feet along the so-called Billionaires’ Row around 57th Street, it is significant in an area where only about three dozen buildings are 400 feet or higher, according to the Council on Tall Buildings and Urban Habitat, a group that certifies building heights. “The height is a major selling point, because it offers 360-degree views that are mostly unobstructed,” said Joseph A. McMillan Jr., DDG’s chief executive.
By Konrad Putzier via The Real Deal
Brooklyn’s commercial real estate market had a record year in 2015, but 2016 is looking a lot less rosy. Sales volume is likely to take a big dip this year, according to a new report by brokerage TerraCRG. The firm estimates that the dollar value of commercial sales (including office, industrial, multifamily buildings and development sites) could shrink by about a third, from a record $9.5 billion in 2015 to between $6 and $7 billion. It also expects that average sales prices will stay flat. If the predictions are correct, that would still make 2016 a very good year by historical standards (see chart), and TerraCRG does not expect a market crash. But it would also mean that the days of breakneck growth are over. The firm’s founder and president Ofer Cohen said it is unlikely that Brooklyn’s market will have another year like 2015 anytime soon.
By Ely Razin via Forbes
Powerball jackpots could power a lot of investment… and these days, commercial real estate is one of the more promising investment categories. With that in mind, our analysts at CrediFi set out to have some fun and craft three alternative investment approaches, factoring in that the winning tickets were sold in California, Florida and Tennessee. Of course, these may be of use to others as well, whether using approaches centered on (illiquid) building-level debt and equity, or more liquid capital markets securities. Now, no single individual will get the full Powerball jackpot of $1.6 billion. If everyone takes a lump sum, then once federal taxes are taken, each of the three winners would be left with approximately $200 million. Theoretical billionaires no longer, these winners will still be multi-millionaires and still have enough to put a good chunk of change into the real estate market, if they so choose.
Did you like these articles? What were your favorite articles this week?