Monthly Archives: July 2011

Talking Real Estate Fundamentals And Faith In The Future

Long before the mortgage mess and the credit crunch that led us to where we are today, a broker was telling me that office rents didn’t come close to justifying the prices being paid for some buildings in Los Angeles. Either the buyers were counting on rents to rise significantly, which he didn’t expect to...
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He is…..The Most Interesting Man In Real Estate

  • You’ve heard his ads on the radio or seen him on TV, online he’s Dos Equis’ most interesting man in the world. Their campaign is brilliant and their sales are through the roof. Recently,  I came across real estate version of...he is the most interesting man in Real Estate. I thought...
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Trends In Cap Rates Can Be Deceiving

Rollover risk is particularly important for office properties because of the large share of space occupied by specific tenants. The largest tenants in typical office buildings may occupy anywhere from one-third to three-fourths of the total space.
A single-tenant office building therefore has no diversification when it comes to income sources. If the sole tenant does...
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JP Morgan Report A Positive For Commercial Real Estate ?

THE U.S. housing market continues to plod along for the most part, but commercial real estate is showing signs of recovery. That's according to a report published earlier this month by JPMorgan Chase. The huge bank is seeing pockets of opportunity for investment in commercial real estate. That's good news for a sector that not long ago...
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Billboard Lease Negotiations 101

We all regularly drive by billboards, pills but we seldom think about the economics of how they work and what they pay the landowner. So, clinic it comes as no surprise that the average person has absolutely no clue as to how to handle the negotiation of a billboard...
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Energize Your Spirit With Optimism

Men are disturbed not by things, but by the views they take of them. –Epictitus (AD 55-AD 135) Athletes, entrepreneurs (especially the serial brand) and other high-performers get dealt the same number of bad hands as the rest of us. What sets them apart is their conviction that they can play those hands better than anyone...
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Hotel Investing Is Not For Choir Boys

Although real estate fundamentals and valuations in the U.S. hotel sector are clearly on the rise, sales the overhang of distressed properties remains significant. According to New York-based Trepp LLC, medicine the percentage of CMBS hotel loans 30 days or more past due in June stood at 13.87% — second...
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