Redfin: Real estate bidding wars continue to hover at 10-year low

As the year approaches an end, a report from Redfin indicates America’s real estate bidding wars are easing as several factors including tightening supply continue to depress competition. According to the company, 10% of purchasing offers made on its site faced a bidding war during the month. Not only is this percentage down from last year’s rate of 29%, but it also marks the fifth consecutive month the rate has hovered at a 10-year-low. Even though the number of homes for sale has been falling faster than we normally see this time of year, Daryl Fairweather, Redfin’s chief economist, said buyers just aren’t feeling a sense of urgency right now.

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Cohen & Steers Launches Real Assets Compass to Help Financial Advisors Build Better Portfolios with Real Estate

PR Newswire | January 11, 2024

Cohen & Steers, Inc. announced today the launch of the Real Assets Compass, an interactive tool focused on real estate allocations designed to help financial advisors and institutional investors improve portfolio risk-return profiles. Using the firm's Capital Market Assumptions for the next 10 years and 30 years of historical data, the Real Assets Compass ("the Compass") compares historical and expected returns and volatility of traditional portfolios of only stocks and bonds with those of a more diversified portfolio of stocks, bonds and listed and private real estate. Cohen & Steers believes that many investors are under-allocated to real estate despite the well-documented benefits of the asset class, including its strong performance and potential to enhance risk-adjusted returns. These investors include those across a range of profiles, from self-directed investors to those investing with financial advisors or family offices. Cohen & Steers' analysis, utilized in the Real Assets Compass, suggests that adding real estate to an investor's portfolio of stocks and bonds can improve its total return and risk-reward profile. The Compass can help advisors demonstrate the impacts of adding real estate to a portfolio and address client questions about allocating to real estate. The potential benefits of a real estate allocation apply to an array of investor styles, ranging from those more conservative seeking income or lower risk to those seeking growth or higher returns. Joe Harvey, Chief Executive Officer & President, said: "The Real Assets Compass is the latest example of Cohen & Steers' commitment to innovation and providing advisors with the tools necessary to build better portfolios and educate clients around the benefits of private and listed real estate allocations." The Cohen & Steers Real Assets Compass will enable financial advisors to: Build customized investment profiles based on general risk tolerance, investment objective and portfolio size View a portfolio allocation with both listed and private real estate based on that profile Adjust the total real estate allocation and the mix between listed and private real estate Forecast the impact of an allocation to real estate on the risk/return profile of a portfolio through a clear comparison to a traditional stock/bond portfolio View resulting 10-year expected portfolio growth in dollars and quantitative performance and risk metrics, as well as the past-30-year return profile Download easy-to-understand reports to review with clients Jon Cheigh, Chief Investment Officer, said: "We believe real estate should be a strategic, long-term allocation for most investors. Yet too few investors recognize that allocations to real estate can deliver strong absolute and relative returns at lower risk. As a result, we created our Real Estate Advisory Services, which aim to help institutional clients allocate to listed and private real estate based on where we are in the market cycle. These capabilities, along with the Real Assets Compass, will play an instrumental role in Cohen & Steers' work to close the education gap that exists in investors' understanding of the power of real estate allocations." The launch of the Real Assets Compass follows the appointments of Rich Hill as Head of Real Estate Strategy and Research in September 2022 and Jeff Palma as Head of Multi-Asset Solutions in November 2021, to grow Cohen & Steers' portfolio allocation and research capabilities. The Compass tool can be used by institutional investors in conjunction with the portfolio allocation and real estate strategy insights produced by the firm. About Cohen & Steers. Cohen & Steers is a leading global investment manager specializing in real assets and alternative income, including real estate, preferred securities, infrastructure, resource equities, commodities, as well as multi-strategy solutions. Founded in 1986, the firm is headquartered in New York City, with offices in London, Dublin, Hong Kong, Tokyo and Singapore.

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Real Estate Investment

Pennington Partners & Co. Announces Launch of Real Estate Investment Vertical

PR Newswire | January 04, 2024

Pennington Partners & Co., a multi-family investment office that specializes in working with entrepreneurs, CEOs / founders, and their families, has announced the launch of Pennington Real Estate Partners (PREP). The new vertical will make direct investments in residential and commercial real estate across the United States, providing new and existing Pennington clients with proprietary real estate investment expertise. The new offering will focus on tax-advantaged investing including Opportunity Zones, structured equity, and senior secured lending given emerging opportunities in the existing marketplace. The launch represents an expansion of the Pennington team with the addition of Taylor Coe and Alex Rongione. Both come from distinguished careers in institutional real estate investment management, most recently at Walker & Dunlop Investment Partners, and will join the firm as Managing Directors and members of the PREP Investment Committee. As leaders of Pennington Real Estate Partners, Coe and Rongione will each be responsible for designing investment strategies, sourcing opportunities, executing business plans, and realizing investments. Additional information and bios can be found below. "Pennington Real Estate Partners opens the door to many new opportunities for our clients," noted Brian Gaister, co-founder and CEO of Pennington Partners. "We have expanded our in-house real estate investment expertise that will allow us to capitalize on investment opportunities throughout the United States. We are incredibly honored to have Taylor and Alex join us to lead this new endeavor. Both bring significant experience that will be essential in uncovering and navigating new investments." The launch of Pennington Real Estate Partners comes on the heels of notable growth and expansion for Pennington Partners. The firm closes out the year with more than 100% growth in assets under management, the launch of a new offering in private equity, and has been recognized in numerous industry accolades. "We're thrilled to be joining forces with a top-tier firm like Pennington, where we can add commercial real estate and associated structured finance to the array of opportunities available to our advisory families," added Coe and Rongione. About Taylor Coe and Alex Rongione Taylor Coe joins Pennington Real Estate Partners as a Managing Director and member of the PREP Investment Committee. Prior to joining Pennington, Taylor was on the equity investment team at Walker & Dunlop Investment Partners ("WDIP"), a middle-market real estate investment platform with over $6.1 billion of assets under management as of his time of departure. At WDIP, Taylor was responsible for closing investments with a total capitalization in excess of $1.3 billion. Taylor is also the founder of Sunshine Peak Partners, a boutique investment management firm, and is a graduate of the University of Colorado. Alex Rongione joins Pennington Real Estate Partners as a Managing Director and member of the PREP Investment Committee. Prior to joining Pennington, Alex was also on the equity investment team at Walker & Dunlop. He contributed to all aspects of the investment process including but not limited to capital raising, strategy, origination, and execution. At WDIP Alex was responsible for closing investments with a total capitalization in excess of $1.7 billion. Alex is a CFA charter holder, a NAIOP Developing Leader, and a graduate of the University of Pittsburgh. About Pennington Partners & Co. Originally founded to serve the needs of the two founding families who have built and sold companies in various industries, Pennington Partners & Co.'s mission is to elevate the lives of highly successful entrepreneurial founders and their families. We provide a breadth of investment, wealth planning, and personal financial administration solutions that were created by and for founders, CEOs, wealth creators, and multi-generational families. We partner with successful families and their advisors by providing objective advice, strategy, sophisticated investment solutions, and family office services to generate meaningfully higher efficiency while maintaining the intimacy of a single-family office. In short, our vision is to transform the landscape of financial advice for families of complex wealth, in order to deliver better outcomes.

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Real Estate Technology

EVORA Global Announces Acquisition of Metry

Business Wire | January 25, 2024

EVORA Global, a leading provider of tech-enabled sustainability solutions to the real asset industry, today announces its strategic acquisition of Metry, Europe’s number one platform for environmental data collection. The move will establish new standards in data excellence and technological innovation, delivering comprehensive data solutions for the global real estate and infrastructure investment industry. The acquisition signifies an improved level of data automation and quality for EVORA’s clients, achieved through direct connections to fiscal meters and hubs. This approach eliminates data gaps and reinforces the overall reliability of information provided into their analytics and content management platform, SIERA. EVORA's dedication to data quality and validation underscores the company's commitment to ensuring that all sustainability data is analytics-ready, combining external data sources with EVORA's expertise in regulations and carbon accounting, whilst simultaneously upholding the highest standards in the industry. Metry's customers will gain access to EVORA's expertise in setting strategy and implementing net-zero carbon initiatives in their real asset portfolios, broadening the value proposition available to them. This collaborative expertise - integrating human insights with advanced technology - is a testament to the forward-thinking approach of both companies. "We are thrilled to welcome Metry into the EVORA family," said Pradeep Menon, EVORA Global CEO. "This strategic acquisition marks a significant milestone in our journey to empower real asset investors with the tools and data needed to drive sustainable practices in the built environment. It will enable us to offer unparalleled services to our clients, solving for the climate challenge.” “This the perfect match,” said Magnus Hornef, Metry CEO and co-founder, who will be joining EVORA’s Executive Committee as Chief Data Officer. “We are enabling each other to make a bigger impact faster and I’m really excited about expanding our data collection capabilities to all of EVORA’s customers. It is a giant leap towards connecting every building with reliable data and automated collection.” About EVORA Global: EVORA Global is a premier sustainability advisor, providing comprehensive, industry-leading climate solutions for real asset investors. With over a decade of experience, EVORA is dedicated to addressing the climate challenge posed by the real asset industry, focusing on the needs of investors in the built environment. Its clients include many of the biggest names in global real estate, including Invesco Real Estate, Hines and M&G. Founded in 2011, the company now has over 200 staff and 150 clients. About Metry: Metry is the #1 platform for environmental data collection in Europe, with a primary focus on energy data. With over a decade of expertise, Metry empowers companies to develop and use energy-saving technologies and IoT solutions, contributing to real change for the environment. Currently serving over 200 companies in more than 10 countries, Metry is actively expanding internationally to offer full data collection coverage in Europe.

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