Name: Back To The ’90s To Understand Office Distress, Commercial Real Estate's Downturn | Deconstruct
Uploaded: 2023-03-30T20:49:41Z
Description: As distress descends on commercial real estate, the newest episode or Deconstruct analyzes how past financial crises can inform how borrowers, banks and policy makers may handle this down cycle.

In Deconstruct, The Real Deal’s Isabella Farr and Suzannah Cavanaugh break down the most important ideas in real estate. We follow the money across the country to explain what investors, brokers and developers are focused on right now. This is essential listening for understanding the great, big world of real estate.

Check out earlier episodes of Deconstruct on Apple and Spotify.

DECONSTRUCT - PODCAST

Matthew Mannion is auctioneer to the stars of New York City real estate. He handled the Flatiron Building's two-parter, the Times Square Margaritaville's flameout and most recently the UCC auction of Cohen Realty Enterprises' interest in a potpourri of assets.
As foreclosure filings keep ticking up, Mannion shares stories from the courthouse steps and the inside scoop on how auctions get done.

The Guy Holding the Gavel at the Fortress v. Cohen Auction | Deconstruct

The foretold wall of CMBS maturities has hit and early data on office loans signals the fears around repayments — that troubled owners won't be able to swing it — are being realized. Deconstruct talks with Moody's Analytics Senior Director and Head of CRE Economic Analysis Kevin Fagan and Director of CRE Economics Matt Reidy. Check out the full episode wherever you get your podcasts.

Moody's checks in on the wall of maturities | Deconstruct

For the most part, construction lending has dried up across the country, with more and more regional banks pulling back from financing ground-up real estate projects. But Kennedy Wilson, a lender based out of Los Angeles, sees opportunity in that. With more lenders on the sidelines, Kennedy Wilson can take advantage of lending to what it determines are the best borrowers and the best projects. And by being active, it can help take some construction loans off regional banks' balance sheets.

How lender Kennedy Wilson picks a real estate development to finance

In December, Democrats in Congress introduced a bill that would put an end to hedge fund ownership of single-family homes. As demand for single-family rentals continues to grow, developers specializing in build-to-rent claim they'll get burnt. #deconstruct breaks down who's in the crosshairs and the likelihood that legislation can rein in the investment giants.

Why Congress is going after #hedgefunds over #singlefamilyhomes  | Deconstruct #realestate

From Chicago to San Francisco, office buildings continue to trade at astonishing discounts and reappraisals show value declines as high as 80 percent. But is there further left to fall? The Real Deal's Chicago Bureau Chief Sam Lounsberry and West Coast Bureau Chief Isabella Farr weigh in. Listen to the full episode here: https://open.spotify.com/episode/1vP4W58S7W1KWs7m05pC5M

Have we hit bottom? A price check on office | Deconstruct

South Florida is covered in cranes. In the latest episode of Deconstruct, TRD talked to Dezer Development's Gil Dezer about the booming market in Miami. 

Gil Dezer on the South Florida boom | Deconstruct

New York Community Bank reported a surprise loss in the fourth quarter, took an axe to its dividend and socked away over $500 million for commercial real estate losses. The bank’s stock sunk to a 23-year low and other regional lenders fell in response. Is NYCB a red flag or a one-off for CRE distress in the banking space? Deconstruct digs in.

New York Community Bank: Canary in the Coal Mine for CRE Pain? | Deconstruct

Rate cuts are the silver lining on everyone’s mind this year. But Madison International Realty's Ron Dickerman sees 2024 as a "transitional year." As capital cautiously comes off the sidelines, the private equity expert talks opportunity in the wall of maturities and which asset classes he’s eyeing.

A Private Equity Head on Investment Opportunity in "Transitional” 2024 | Deconstruct

YIMBYs are gaining ground in the battle against their development-averse opponents — but the conflict is far from over. On this week's Deconstruct, Isabella Farr and Suzannah Cavanaugh talk with TRD senior reporters and bureau chiefs to unpack what’s driving development and blocking construction in New York, South Florida, Los Angeles, Austin and Chicago.

The NIMBY vs. YIMBY Battle Takes The Nation | Deconstruct

“A slow-moving trainwreck.” That's what Polpo Capital's Daniel McNamara calls the wall of maturities — the massive amount of commercial mortgage-backed securities coming due in the next year or two — on the latest ep of #TRDDeconstruct. Many are facing a triple threat: the triple whammy of higher #interestrates, lower valuations and more conservative lending. All of that is making it difficult for commercial landlords to refinance and leaving #CMBS investors at risk.

The Distress Roiling the CMBS Markets | Deconstruct

As the market for traditional lending, through regional banks or commercial mortgage-backed securities, has dried up, more private credit lenders and financiers have hopped into the real estate space. TRD’s Deconstruct chats with Jonathon Blackwell managing partner of Arkhouse, a private equity firm focused on deals to privatize public real estate investment trusts and how they see opportunity in the private credit boom.

Filling the Gap: The Private Players Turning to Real Estate | Deconstruct

Even in a downmarket, The Agency is expanding. Last year, founder Mauricio Umansky expanded the brokerage with an office in New York, then The Hamptons. Umansky chats with Deconstruct about when he sees the residential market rebounding and what to expect for Season 2 of his realty tv show Buying Beverly Hills

The Agency’s Mauricio Umansky talks resi market turnaround and Season 2 of Buying Beverly Hills

On the newest episode of #Deconstruct, CEO of #crowdfunding platform FundRebel, Mark Drachman, breaks down the regulations governing the space and what sets his platform apart from his embattled peers.

CEO of Fundrebel Mark Drachman talks crowdfunding regulations on Deconstruct

At 92 years old, Larry Silverstein, the man who redeveloped the World Trade Center site, is still shaking things up. The founder of @SilversteinProperties is spearheading a mammoth office-to-residential conversion. He's thrown his hat in the ring for the city casino bid. And he's turned a new page in his social life, embedding himself with the young new crowd that has flocked to Lower #Manhattan. 

Larry Silverstein talks conversions, casinos and his new lease on life | Deconstruct

Season 3 of TRD’s podcast Deconstruct is coming your way! Hosted by TRD’s Isabella Farr and Suzannah Cavanaugh, this season will showcase Silverstein Properties' Larry Silverstein, FundRebel CEO Mark Drachman, Arkhouse co-managing partners Jon Blackwell and Gavriel Kahane, Related Companies' office development head Philippe Visser and more! Tune in for the season premiere, Tuesday 9/5/23, available on Spotify, Apple, or wherever you listen to your podcasts!

Season 3 Premiere of Deconstruct!

RXR CEO Scott Rechler joins TRD for the the season finale of Deconstruct. In a wide-ranging conversation with hosts Isabella Farr and Suzannah Cavanaugh, Rechler breaks down “Project Kodak," a strategy of separating older, obsolete #office buildings from a younger product that can still pull the tenants and rents to thrive. Tune in to learn how that strategy has evolved, why he’s pegged #multifamily as the next shoe to drop and whether the #Fed’s recent rate pause will lift the gates on investment sales.

RXR's Scott Rechler on distress and RE opportunities | Deconstruct

It’s no secret the Hamptons boomed during the pandemic. New Yorkers fled the city in search of year-round vacation properties, stoking for-sale demand that flooded over into rentals. As the market enters its first Covid-free summer, brokers say that surge has receded and in its wake stands a housing market transformed.

To Hot to Handle: The Hamptons Housing Crunch | Deconstruct

The U.S. is short 6.5 million homes, Realtor.com estimates. The solution, argues Kurt Carlton, founder of investment platform @NewWestern are the 16 million houses that sat vacant as of the 2020 census. Deconstruct breaks down how small-time investors are fixing up empty properties to put supply back on the market.

Could 16M Vacant Homes Solve the Housing Crisis? | Deconstruct

Nearly four years after landlords challenged New York’s sweeping set of rent reforms, their suit has finally landed where they'd hoped:  the doorstep of the Supreme Court. 'Deconstruct' breaks down owners’ two-pronged approach to a rent law rollback and what drama could come from the rent guidelines board vote next month.

The Battle Over New York's Rent Law Enters Its Third Act

In the wake of the collapse of Silicon Valley Bank and Signature Bank, First Republic Bank, a prominent mortgage lender in San Francisco, lost billions in deposits. But what does that mean for lending and can the bank survive? The Real Deal’s podcast Deconstruct looks at the bank’s financial health, plus the New York state budget and New York Community Bank’s earnings.

Inside First Republic’s Woes | Deconstruct

Last fall, Airbnb launched its tenant-friendly #apartment venture, which allows renters to list their units with #landlord consent. The short-term rental giant pegs the service as a win-win that offers on-the-books income for tenants and perks for owners. On the latest episode of #Deconstruct, Airbnb’s global head of #realestate Jesse Stein joins the #podcast to discuss the product’s potential and shares which national landlords are already on board.

Can Airbnb bridge the landlord-tenant divide? | Deconstruct

When industry outsider Jacob Garlick placed the winning bid of $190 million on New York's iconic Flatiron Building, he told NY1 the moment had been a “lifelong dream since he was 14 years old.” Two days later he flaked on the down payment. In the newest episode of #Deconstruct, senior reporter Keith Larsen joins to discuss the man behind the botched bid and why Garlick is still gunning for the building.

Who Flakes on the Flatiron Building? Inside Jacob Garlick's Bid | Deconstruct

In the latest episode of #Deconstruct, TRD contributor Patrick Sisson joins the podcast to discuss the rise of chatbots like #ChatGPT and how they have presented an existential problem for the business of #brokerage. Will this new tech serve as a groundbreaking virtual assistant? Or could it undermine the broker's role completely? Tune in to learn more, and let us know how you think #AI will affect the future of real estate in the comments!

The Robots Are Coming: Should Real Estate Worry About ChaptGPT and AI Tech At Large? | Deconstruct

On the latest episode of Deconstruct, TRD residential bureau chief Katherine Kallergis joins the podcast to discuss how buyers, sellers and brokers of Miami luxury real estate are responding to shifting interest rates and how the market has cooled since.

Who’s Still Buying? Inside the Sunshine State’s Luxury Market | Deconstruct

As distress descends on commercial real estate, the newest episode or Deconstruct analyzes how past financial crises can inform how borrowers, banks and policy makers may handle this down cycle.

Back To The ’90s To Understand Office Distress, Commercial Real Estate's Downturn | Deconstruct

For the past year, public real estate investment trusts that own or manage hotels, #multifamily or #office buildings have traded at steep discounts as investors feared rising rates would take a whack to profits and property values. On the latest episode of #Deconstruct, Ben Miller, CEO of investment platform @Fundrise, explains why amid such downturn, he has set his sights to credit.

As Equity REITs Flounder, Fundrise CEO is Bullish on Credit | Deconstruct

What goes up must come down, right? That’s one of the myths that has dogged the Sun Belt’s multifamily market for decades, says RealPage chief economist Jay Parsons on the latest episode of "Deconstruct."

Is the Sun Belt’s multifamily bubble poised to burst?| Deconstruct - Podcast

Michael Shvo joins TRD’s Isabella Farr and Suzannah Cavanaugh to discuss the capital he deployed during the pandemic, why he’s bullish on the office market in New York and San Francisco, and how he’s taking advantage of a alck of office space in Miami Beach.

Why Michael Shvo is Bullish on Office Market | Deconstruct

Across the nation, tenant protections have emerged as the policy du jour after two years of rising rents cemented affordability as a headline issue. Los Angeles has rolled out a patchwork of renter-friendly policies, the #WhiteHouse made a push for better regulation of the rental market and six states are eyeing reforms that would allow cities to instate their own versions of rent control. Economists say capping rents is the best way to kill affordability.

From LA to D.C., Tenant-Protection Laws Are Gaining Steam | Podcast 'DECONSTRUCT'

Last week, the Federal Reserve hiked interest rates for the eighth time in less than a year, sending benchmark rates to their highest level since 2007. For a mortgage market that has seized in the wake of higher financing costs, another rate hike would seem to be bad news.

The Fed’s Latest Hike Could Kickstart Mortgage Demand | Podcast 'Deconstruct'

Coming soon ... On the latest episode of 'Deconstruct,' TRD's Bay Area reporter Emily Landes chats about Twitter’s office debacles — the social media giant's mass layoffs and failure to pay rent at its SF headquarters — and explains how Twitter's moves affect San Francisco's office market at large.

What Twitter’s Office Debacles Mean For San Francisco’s Market | Deconstruct

On next week’s episode of TRD’s podcast Deconstruct, Atlas Hospitality Group president Alan Reay chats about the looming distress across the hotel markets, but where investors are finding pockets of hope.