First American: America's home buying power strengthens in February

First American | April 29, 2019

In February, home prices declined 0.4%, but rose 2.9% year over year, according to First American’s Real House Price Index. According to First American’s data, unadjusted house prices now sit 2.3% above the housing boom peak. However, consumer buying power has increased 1% between January and February, rising 2.4% from the previous year.

Spotlight

Next year will set the stage for a significant inflection point in the housing shortage. Inventory increases will be felt in higher priced segments after spring home buying season, which we expect to take hold and begin to provide relief for buyers and drive sales growth in 2018 and beyond. There is big relief for buyers in the upcoming year.


Other News
REAL ESTATE INVESTMENT

SKB acquires a 24,235 rentable square foot industrial property, located in the historic Ballard neighborhood of Seattle, Washington.

SKB | December 20, 2021

ScanlanKemperBard (SKB) has announced the acquisition of 600 NW 40th Street, an industrial property situated on 0.83 acres just off Leary Way NW between the Ballard and Fremont neighborhoods. The property consists of two warehouses, with one having been recently completed in 2020. The property is currently 100% leased by a single tenant, Glass Eye Studios, who have been operating out of the property since its construction in 1978. Glass Eye Studios is one of the oldest and largest privately-owned glass blowing operations in the country and has served as the training ground for some of the most famed glass artists of the Pacific Northwest. We are thrilled to be making our second investment this month and third overall in the Inter-Bay region of Seattle. We are strong supporters of the manufacturing and community in the area. We hope to preserve that community by making these key acquisitions" SKB President, Todd Gooding, About ScanlanKemperBard SKB is an established real estate developer and operator based in Portland, Oregon. Since its inception in 1993, SKB has originated total portfolio activity of $4.78 billion, comprised of 31.2 million square feet of office, industrial and retail space and 2,154 residential units. With longstanding relationships in each of its markets, SKB has the ability to source, structure and execute value creation across a wide spectrum of real estate opportunities.

Read More

INVESTMENTS

Lument Provides $16.8 Million to Acquire Affordable Housing Tower in Colorado

Lument | February 04, 2022

Lument recently closed a $16.8 million Fannie Mae DUS® loan to acquire Residences at Franklin Park, a 92-unit affordable multifamily community in Denver, Colorado. Timothy Hoppin, director at Lument, led the transaction. Closing this deal was particularly satisfying, as the loan will allow the sponsor to acquire this 92-unit property and preserve much-needed affordable housing in the Denver area, The sponsor was able to secure a new 20-year Housing Assistance Payment (HAP) contract that will help the community maintain safe, comfortable, and affordable housing." Hoppin The sponsor of the loan is Edgemark, a repeat Lument client and well-established presence in Colorado, Texas, and throughout the Midwest. The property will be managed by Selden Property Management, which currently oversees 17,000 units across Iowa, Kansas, Nebraska, Texas, Illinois, Missouri, and Oklahoma. The Residences at Franklin Park was originally constructed in 1972 and renovated in 2011. The property consists of one 10-story building situated on 0.56 acres, and its 92 units include studios, one-bedrooms, and larger one-bedroom units with dens. All apartments include a full appliance package, laminate countertops, vinyl flooring in kitchen areas, and a private patio or balcony. Group amenities include a community room, laundry facility, and surface parking lot. About Lument ORIX Real Estate Capital Holdings, LLC, d/b/a Lument, is a subsidiary of ORIX Corporation USA. Lument is a national leader in commercial real estate finance. As the combined organization of legacy industry experts Hunt Real Estate Capital, Lancaster Pollard, and RED Capital Group, Lument delivers a comprehensive set of capital solutions customized for investors in multifamily, affordable housing, and seniors housing and healthcare real estate. Lument is a Fannie Mae DUS®, Freddie Mac Optigo®, FHA, and USDA lender. In addition, Lument offers a suite of proprietary commercial lending, investment sales, investment banking, and investment management solutions. Securities, investment banking, and advisory services are provided through OREC Securities, LLC, d/b/a Lument Securities, Member FINRA/SIPC. Investment advisory services are provided by OREC Investment Management, LLC, d/b/a Lument Investment Management. OREC Investment Management is registered as an investment adviser with the U.S. Securities and Exchange Commission.

Read More

REAL ESTATE INVESTMENT

ExchangeRight Fully Subscribes $124 Million 30-Property Net-Leased Portfolio

ExchangeRight | April 20, 2022

ExchangeRight, one of the nation's leaders in diversified real estate investments and strategies, has fully subscribed its $124 million Net-Leased Portfolio 50 offering, containing 30 net-leased properties covering 676,976 square feet across 17 states. The portfolio of single-tenant properties was structured to generate consistent investor distributions starting at an annualized rate of 6.12 percent. ExchangeRight has fully subscribed a $124 million 30-property net-leased portfolio focused on essential businesses. The fully occupied portfolio, offered at $124,160,000, includes properties tenanted by CVS Pharmacy, Dollar General, Dollar Tree, Family Dollar, First Midwest Bank, Fresenius Medical Care, Octapharma Plasma, Publix, Sherwin-Williams, Walgreens and WellMed. The offering launched with 10-year, fixed-rate, interest-only financing at 3.26 percent. We are grateful for those investors, advisors and representatives who have placed their trust in us to steward the wealth they have invested in Net-Leased Portfolio 50. We are intent on constructing diversified net-leased portfolios for DST investors designed to produce stable income through economic cycles, preserve investor wealth, defer investors' taxes and provide a strategic exit." Warren Thomas, a managing partner in ExchangeRight ExchangeRight and its affiliates' vertically integrated platform features over $4.8 billion in assets under management, diversified across over 1,050 properties, over 19 million square feet and throughout 44 states. More than 6,600 investors have trusted ExchangeRight to manage their capital. All of the company's current and past offerings have met or exceeded targeted cash flow distributions to investors since the company's founding. The past performance of ExchangeRight and its previous offerings does not guarantee future results. About ExchangeRight ExchangeRight pursues its passion to empower people to be secure, free and generous by providing REIT, fund and 1031 DST portfolios that target secure capital, stable income and strategic exits. The company strategically syndicates net-leased portfolios of assets backed primarily by investment-grade corporations that successfully operate in the necessity-based retail and healthcare industries, as well as diversified value-add portfolios of inline and outparcel retail spaces shadow-anchored by strong-performing grocery tenants.

Read More

REAL ESTATE INVESTMENT

City Office REIT Announces Raleigh Acquisition

City Office REIT | January 03, 2022

City Office REIT, Inc. (NYSE: CIO) ("City Office" or the "Company") announced today that it has closed the acquisition of Bloc 83, a premier two-building office complex located in Raleigh, North Carolina, for a gross purchase price of $330.0 million exclusive of closing costs. The 494,000 square foot, newly built Class A complex possesses a prime location, market-leading features and strong tenancy. Bloc 83 is situated in the Glenwood South submarket, a preeminent live-work-play district of downtown Raleigh. Glenwood South has attracted a population of young professionals relocating from larger metro areas and is the epicenter of Raleigh's dining, shopping and entertainment district. Bloc 83 features best-in-class, modern tenant buildouts, common areas and amenities. Highlights of the property include state-of-the-art fitness centers, a rooftop sky lounge, a yoga studio, various retail amenities and expansive lounges. The first building was delivered in 2019 and is currently 93% leased with a weighted average lease term remaining of approximately 10.3 years. The second building was delivered in 2021 and is in its initial lease-up phase at approximately 67% leased as of closing. Adding Raleigh to our footprint of high growth markets in the south and west strategically enhances our portfolio, Raleigh's highly educated workforce has been a driver for growth in the STEM and life science industries. The region's tier one research universities, high quality of life and diverse economy positions it favorably over the long term." James Farrar, the Company's Chief Executive Officer. About City Office REIT, Inc. City Office REIT is an internally-managed real estate company focused on acquiring, owning and operating high-quality office properties located in leading 18-hour cities in the Southern and Western United States. City Office currently owns or has a controlling interest in 6.2 million square feet of office properties. The Company has elected to be taxed as a real estate investment trust for U.S. federal income tax purposes.

Read More

Spotlight

Next year will set the stage for a significant inflection point in the housing shortage. Inventory increases will be felt in higher priced segments after spring home buying season, which we expect to take hold and begin to provide relief for buyers and drive sales growth in 2018 and beyond. There is big relief for buyers in the upcoming year.

Resources