Vast majority of tenants and owners face connectivity issues in their property

Property Wire | May 31, 2019

Consumers are paying the price for residential developers’ historic lack of investment in digital connectivity with 85% of tenants and owners facing issues, according to new research. Along with failing services, it means they end up using an additional 2.5GB of extra mobile data each month to compensate for their poor WiFi and this additional cost totals £2.2 billion across the nation, says the new report from real estate connectivity certifications provider WiredScore. Despite consumers paying an average of £312 for their home internet service, this additional cost is being incurred by users trying to overcome regular connectivity issues and failing services, typically totalling 20 service breakdowns per month. The research also found that over a quarter, some 28%, would not have moved into their property if they’d known about the connectivity issues they would face.

Spotlight

So far in 2019, the number of homes that sell each month continues to run below the previous year. first Tuesday expects this trend to continue through to 2021. The overall trend for the next couple of years will be downward as we head into the next recessionary period in 2020. Though somewhat concerning at first, thankfully the market will be on the up in 2021-2022 as sales volume will significantly begin to rise.


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REAL ESTATE TECHNOLOGY

Houwzer Names Jonathan Zabusky Executive Chairman of Board of Directors to Help Drive Next Stage of Company’s Growth

Houwzer | April 19, 2022

Houwzer, a next generation real estate brokerage and homeownership platform powered by proprietary technology and an all-W2 labor model, announces that advisor, entrepreneur, and investor, Jonathan Zabusky, will join the company’s board as Executive Chairman. Zabusky, most recently the President and Board Director at GrubHub Inc., will act as a co-pilot to Houwzer’s CEO, Mike Maher, helping drive the next stage of growth at the company, which pulled in $118M in equity and debt as part of a Series B funding round earlier this year. With the new funds, Houwzer is introducing three new products, Cash Advantage, Convenience Offers, and Buy Before You Sell, to help clients remain competitive in the most challenging housing market in history. Zabusky will work alongside Maher to help refine corporate strategy, which is timely given the current state of the housing market. As a seasoned CEO and operator, Zabusky will provide mentorship to Maher as a strategic thought partner as he navigates the company through market volatility and unprecedented change. He will also ensure maximum collaboration and vision alignment between the other Directors and the management team transforming the Board into a strategic weapon for the business. I am incredibly excited to join Houwzer's Board as Executive Chairman and to have the opportunity to work alongside Mike and his outstanding team. I’m energized by our mission to elevate the home buying and selling experience to become more fair, transparent, and seamless. Houwzer's robust suite of integrated tools, products and technology, coupled with a deeply engaged and aligned team of expert agents, facilitates a more enjoyable and productive real estate journey for its clients." Zabusky Zabusky led Seamless, as its CEO, through tremendous growth before merging it with GrubHub. After the merger, Zabusky led corporate strategy and development, product, marketing, and corporate and restaurant sales as GrubHub’s President. During his tenure, he successfully integrated multiple strategic acquisitions and played a pivotal role in the company’s initial public offering. Zabusky is Founder and Managing Partner of Bounce Ventures LLC and also serves as an advisor and board director to a portfolio of venture and private equity-backed companies in the U.S. and Israel. “Jonathan brings a wealth of strategic growth experience to the team,” says Houwzer CEO and Founder, Mike Maher. “As we continue building on our momentum, he will play a critical role in fine-tuning our approach and ensuring we continue to prioritize resources to accelerate growth and market share. I couldn’t be more excited to work alongside an entrepreneur as successful and thoughtful as Jonathan.” Houwzer also announced the recent hiring of Andrew Daley as Chief Marketing Officer. Daley brings two decades of high-growth experience in highly competitive environments, helping companies differentiate their brands across a range of industries like mobility, real estate, and travel. Most recently, he led marketing for Hana, a CBRE company that redefined the flexible office space experience. Daley has also served as Global Head of Marketing for Zipcar and in key marketing functions for Starwood Hotels, Reebok, and several online travel and startup brands. “The real estate industry is ripe for disruption and the incumbent model is broken. Houwzer is realigning the incentives more fairly between the broker, the agent, and the client so that everyone wins. The end result is a better, faster, smarter way to buy, sell, finance, and insure homes,” says Daley. Houwzer has eliminated the percentage-based commission pricing for listings and rebuilt the brokerage model around the customer, creating a one-stop shop for real estate, mortgage, title, and insurance that simplifies the chaotic and expensive process of buying and selling homes. Its $5,000 flat-fee listing model empowers sellers to maximize their profit – saving an average of $15,000 in commissions, while still providing a full-service experience via technology and expert, salaried agents. Houwzer has helped clients buy and sell more than 4,000 homes with a cumulative sales volume of nearly $2 billion, saving home sellers $35 million in brokerage commissions. Houwzer is the only real estate company operating on an all-W2 compensation model across all of its salaried agents and mortgage advisors. It’s also the industry’s first B Corporation real estate brokerage and will soon be announcing its newly appointed Board of its impact model, the RiseUp Fund. Recently, the company entered into a partnership to become the Official Real Estate Partner of the 76ers. About Houwzer Houwzer is a next-generation real estate brokerage and home services company built around the customer. Its full-service, salaried agents and loan officers help homeowners save when they sell and trust when they buy. Houwzer’s proprietary technology is an end-to-end platform that streamlines the entire transaction from beginning to end with an integrated one-stop shopping experience. The company employs unique salaried agents as dedicated seller or buyer agent specialists who receive salary instead of commissions, allowing them to focus on service, not just sales. Houwzer has maintained an industry-leading Net Promoter Score of 84 and an average rating of 4.9 out of 5 stars from over thousands of client reviews online. Since launching in 2015, Houwzer has saved home sellers along the East Coast over $35 million and helped clients buy or sell thousands of homes worth almost $2 billion.

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REAL ESTATE INVESTMENT

Houston-Based Marble Capital Enters Into Partnership Agreement with Navigator Global Investments

Marble Capital | April 11, 2022

Marble Capital, a Houston-based investment advisory firm focused on multi-family rental housing across the United States, announced that the firm has signed definitive agreements to enter into a partnership with Navigator Global Investments. The transaction is expected to close in late April 2022. In the deal, Navigator will purchase a minority stake in the business and become a passive, non-voting minority partner. Most of the capital will be used to support Marble Capital's near term growth initiatives, including funding larger general partner commitments to Marble Capital funds. With Navigator, Marble will benefit from the deep experience and relationships of the Navigator leadership team. Additionally, as Navigator is a portfolio investment of Dyal, a division of Blue Owl, Marble is joining a broad ecosystem of leading alternative asset managers with access to a team that focuses on sharing insight into industry best practices and access to various capital providers. The partnership will allow the firm to invest more significantly in its various funds while also providing balance sheet capital to create and implement new products. We are extremely pleased to partner with Navigator as we enter into the next stage of growth at Marble Capital. We believe Navigator's commitment to the company validates our stategy, underwriting process and the team we've assembled over the last five years." Adam Allen, co-founder and managing principal at Marble Capital David Oelfke, Marble Capital co-founder and managing principal added "a partnership with Navigator provides us a long term and aligned partner to accelerate certain growth initiatives, gain access to a deep industry network and best practices to leverage over time." Michael Shepherd, Navigator Chairman commented "This is a strategic and compelling opportunity to partner with a successful and growing asset manager that brings diversification to our existing investment portfolio and will create value for Navigator shareholders. We look forward to continuing to support the Marble Capital team." Colchester Partners LLC served as financial advisor to Marble on the transaction. Holland & Knight LLP served as legal counsel to Marble. Sidley Austin LLP served as legal counsel to Navigator. About Marble Capital Established in 2016, Marble Capital currently manages $1.4 billion in AUM across a series of closed-end private equity funds. The company provides flexible capital solutions for multifamily real estate developers and operators across the United States with a portfolio consisting of more than 20,000 multifamily units across US$4.5bn in transactions. Marble is headquartered in Houston, TX and is managed by a group of accomplished real estate professionals with 150 years of combined experience in real estate finance, capital markets, development and operations. About Navigator Navigator Global Investments Limited is a diversified asset management holding company dedicated to partnering with leading management teams who operate institutional quality businesses globally, primarily in the alternative investment management sector. Navigator has US$21.6 billion of AUM (31 December 2021) on an ownership adjusted basis across Lighthouse Partners and its strategic investment portfolio.

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REAL ESTATE TECHNOLOGY

Broadmark Realty Capital Expands and Further Strengthens Board of Directors

Broadmark Realty Capital | April 26, 2022

Broadmark Realty Capital Inc., an internally managed secured real estate finance company, announced that it is strengthening its Board of Directors with the addition of a new independent director, Pinkie D. Mayfield, effective today. Ms. Mayfield’s addition increases the size of the Board of Directors to eight members, including six independent directors. We are very pleased to expand and further strengthen our Board of Directors. We welcome Pinkie and look forward to benefitting from her extensive experience in public relations, corporate affairs and investor relations. Pinkie will complement our already strong group of directors as we look to expand our business, execute our strategy to provide capital solutions for our customers, and maintain our commitment to our communities and the Company's stakeholders.” Dan Hirsch, Chairman of Broadmark’s Nominating and Corporate Governance Committee Ms. Mayfield has been Chief Communications Officer and Vice President of Corporate Affairs at Graham Holdings Company (formerly The Washington Post Company), a diversified conglomerate whose principal operations include education and media. In her current role since 2018, Ms. Mayfield is responsible for corporate affairs, public relations, communications and strategic initiatives. Since joining Graham Holdings in 1998, she has held a number of executive leadership positions. Prior to joining Graham Holdings, Ms. Mayfield was a Vice President and Trust Officer at NationsBank (now Bank of America) in the Investment Services Division. A director of Founders Bank, a Washington D.C.-based community bank, she has chaired the audit committee since joining the board in 2020. Ms. Mayfield also serves as treasurer of the board of directors of the District of Columbia College Access Program and a trustee of the Philip L. Graham Fund. Ms. Mayfield graduated magna cum laude with a BA in business administration from Trinity Washington University and earned an MBA from the University of Maryland University College. About Broadmark Realty Capital Broadmark Realty Capital Inc. is a specialty real estate finance company, providing financing solutions generally in the $2 to $50 million range across the entire debt capital stack for commercial and residential real estate opportunities throughout the United States. Broadmark is particularly well equipped to address complex financing requirements that require rapid response, investing across a variety of market conditions and economic cycles.

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REAL ESTATE INVESTMENT

Terreno Realty Corporation Acquires Property in Santa Clara, CA for $54.6 Million

Terreno Realty Corporation | May 09, 2022

Terreno Realty Corporation, an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, acquired an industrial property located in Santa Clara, California on May 4, 2022 for a purchase price of approximately $54.6 million. The property consists of one industrial distribution building containing approximately 135,000 square feet on 6.5 acres. The property is at 3660 Thomas Road, adjacent to US 101, the Bayshore Freeway, provides 13 dock-high and five grade-level loading positions and parking for 91 cars. The property is 100% leased to four tenants, which expire between 2022 and 2027, and the estimated stabilized cap rate is 2.5%. Estimated stabilized cap rates are calculated as annualized cash basis net operating income stabilized to market occupancy (generally 95%) divided by total acquisition cost. Total acquisition cost includes the initial purchase price, the effects of marking assumed debt to market, buyer’s due diligence and closing costs, estimated near-term capital expenditures and leasing costs necessary to achieve stabilization. AboutTerreno Realty Corporation Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: Los Angeles, Northern New Jersey/New York City, San Francisco Bay Area, Seattle, Miami, and Washington, D.C.

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Spotlight

So far in 2019, the number of homes that sell each month continues to run below the previous year. first Tuesday expects this trend to continue through to 2021. The overall trend for the next couple of years will be downward as we head into the next recessionary period in 2020. Though somewhat concerning at first, thankfully the market will be on the up in 2021-2022 as sales volume will significantly begin to rise.

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