CRE Exchange: Commercial Real Estate, Property Valuations, Real Estate Analytics and Property Tax

We share a digest of the biggest quarter-over-quarter changes and most surprising takeaways from the Q3 CRE Industry Conditions and Sentiment Survey. Our hosts, Omar Eltorai and Cole Perry, touch on key findings across US capital conditions, expectations for debt and equity capital availability, transaction intentions, market pricing and more!

Key Takeaways:

(01:07) Overview of the CRE Industry Conditions and Sentiment Survey.

(02:05) Current and expected capital environment.

(07:07) Capital availability expectations.

(10:43) Near-term transaction intentions.

(11:58) Pricing across property sectors.

(13:29) Property type performance.

(16:20) Biggest takeaways — swing in anticipated outlook for future capital conditions.

(18:17) Priority issues.

(22:00) Direction and conviction across key metrics.

(24:44) How to access the results of our CRE survey.

Resources Mentioned:

Omar Eltorai -

https://www.linkedin.com/in/omareltorai/

Cole Perry -

https://www.linkedin.com/in/coleperry1/

CRE industry conditions and sentiment survey - US Q3 2024 results -

https://www.altusgroup.com/featured-insights/us-cre-industry-conditions-and-sentiment-survey/

CRE industry conditions and sentiment survey - Canada Q3 2024 results -

https://www.altusgroup.com/featured-insights/canada-cre-industry-conditions-and-sentiment-survey/

Leave us a message! -

https://www.speakpipe.com/CREexchange

Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.

#CRE #CommercialRealEstate #Property

Co-hosts Omar Eltorai and Cole Perry are joined by Mat Dellorso, Managing Director of SEI, and Co-Founder of the Altigo platform (acquired by SEI) and WealthForge. Mat shares his entrepreneurial journey in finance and technology and discusses the challenges, opportunities and explosive growth of alternative investments and the private market. He also explains how innovative tech is providing better access for individual investors and financial advisors to the private market, offering a wider set of options for these parties to diversify and fortify portfolios with commercial real estate investments and other alternative investments.

Key Takeaways:

(02:41) Mat Dellorso’s background and early career.

(04:27) Founding WealthForge.

(06:42) The growth and evolution of WealthForge.

(11:00) The acquisition of Altigo by SEI and Impact.

(21:25) Private market size and potential.

(24:19) Current trends in alternative investments.

(30:09) Private market challenges for financial advisors.

(32:27) Current and future role of alternatives and private market investments.

Resources Mentioned:

Omar Eltorai -

https://www.linkedin.com/in/omareltorai/

Cole Perry -

https://www.linkedin.com/in/coleperry1/

Mat Dellorso -

https://www.linkedin.com/in/mathewdellorso/

SEI | LinkedIn -

https://www.linkedin.com/company/sei/

WealthForge | LinkedIn -

https://www.linkedin.com/company/wealthforge/

SEI Altigo -

https://www.altigo.com/

WealthForge -

https://www.wealthforge.com/

Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.

#CRE #CommercialRealEstate #Property

Rich Hill, SVP and Head of Real Estate Strategy and Research at Cohen & Steers, joins the show. With more than 23 years of experience in commercial real estate, Rich has cultivated a strong appreciation for approaching the market with a strategic, data-driven mindset, utilizing research and alternative data to identify valuable investments, especially in a shifting landscape. 

Rich discusses the generational opportunity to acquire private real estate as valuations fall, the stabilizing of transaction volumes and the evolving role of debt markets. He also underlines the importance of diversifying portfolios with public and private investments and shares his perspective on rising distress as a bullish signal for market entry.

Key Takeaways:

(01:49) Rich Hill’s background and career journey.

(05:38) Rich’s current role and responsibilities at Cohen & Steers.

(08:48) Takeaways from transitioning from sell-side to buy-side.

(12:00) The Cohen & Steers difference.

(14:24) View of the current macro landscape.

(17:17) Capital markets and lending conditions.

(20:05) CRE risk within the US banking space.

(23:06) The outlook on private credit.

(25:05) The role of CRE in investment portfolios.

(27:55) Public versus private investment.

(31:05) Themes that Rich is paying attention to.

(35:24) Takeaways from second-quarter earnings calls.

(38:18) Distress and opportunity.

(39:48) The role of research in CRE Investment.

(42:09) The future of AI in CRE research.

(44:12) Final thoughts and industry wishes.

Resources Mentioned:

Richard Hill -

https://www.linkedin.com/in/richard-hill-2156387/

Coheen & Steers | LinkedIn -

https://www.linkedin.com/company/cohen-&-steers/

Cohen & Steers | Website -

https://www.cohenandsteers.com/

Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.

#CRE #CommercialRealEstate #Property

In this week’s episode of CRE Exchange, our hosts, Omar Eltorai and Cole Perry, discuss the latest macroeconomic releases, such as the Producer Price Index, Consumer Price Index and business formations. They also break down earnings reports from Walmart and Home Depot, offering insights into consumer behavior and market sentiment. Additionally, they share a sneak peek into the results of our Q3 CRE Industry Conditions and Sentiment Survey and what to watch in the coming weeks between upcoming earnings calls and economic data releases.

Key Takeaways:

(00:56) Macro Releases: PPI and CPI insights

(04:29) Business Formations and Advance Retail Sales

(08:23) New Residential Construction Data

(10:00) Consumer Sentiment and GDP Forecast

(12:53) Retailer Earnings: Home Depot and Walmart

(21:37) Preview of Q3 CRE Industry Conditions and Sentiment Survey results

(27:25) Five themes playing out in commercial real estate

(29:13) Why things are “choppy” right now in commercial real estate

(37:46) Announcements and what to watch out for in the coming weeks

Resources Mentioned:

Omar Eltorai -

https://www.linkedin.com/in/omareltorai/

Cole Perry -

https://www.linkedin.com/in/coleperry1/

PPI -

https://www.bls.gov/news.release/pdf/ppi.pdf

CPI -

https://www.bls.gov/cpi/

Business Formations -

https://www.census.gov/econ/bfs/current/index.html

Advance Monthly Retail Sales -

https://www.census.gov/economic-indicators/

New Residential Construction -

https://www.census.gov/construction/nrc/index.html

Walmart earnings call -

https://corporate.walmart.com/news/events/fy2025-q2-earnings-release

Home Depot earnings call -

https://event.choruscall.com/mediaframe/webcast.html?webcastid=iqykKpRM

Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.

#CRE #CommercialRealEstate #Property

In this episode of CRE Exchange, Cole Perry, Associate Director of Research, and Omar Eltorai, Director of Research at Altus Group, offer a comprehensive analysis of recent trends and data in the commercial real estate market. They discuss the latest macroeconomic updates and spend the lion’s share of the episode on the latest REIT earnings, providing insights from each of the sectors.

Key Takeaways:

(01:27) Labor data and job openings trends. 

(03:00) Construction spending data insights. 

(04:48) Federal Reserve policy statement.

(06:55) BLS June employment report.

(09:04) Prologis Q2 performance.

(10:33) Rexford Industrial Realty Q2 performance. 

(16:44) Cousins Q2 performance. 

(19:43) Brixmor Property Group Q2 performance.

(21:55) Agree Realty Corp. Q2 performance.

(26:07) Equity Residential Q2 performance.

(29:58) Equity Lifestyle Properties Q2 performance.

(34:24) Public Storage Q2 performance.

(36:55) Extra Space Q2 performance.

(42:33) Summit Hotel Properties Q2 performance.

Resources Mentioned:

Altus Group -

https://www.linkedin.com/company/altus-group/

US Q2 2024 Employment Situation Report -

https://www.bls.gov/news.release/pdf/empsit.pdf

US Construction Spending Data -

https://www.census.gov/construction/c30/c30index.html

Agree Realty Q2 Earnings -

https://investors.agreerealty.com/quarterly-earnings

Brixmor Property Group Q2 Earnings -

https://s1.q4cdn.com/531584854/files/doc_financials/2024/q2/BRX2Q24ER-Tables.pdf

Cousins Properties Q2 Earnings -

https://s201.q4cdn.com/928444072/files/doc_financials/2023/ar/2024-final-proxy.pdf

Rexford Industrial Realty Q2 Earnings -

https://ir.rexfordindustrial.com/news-releases/news-release-details/rexford-industrial-announces-second-quarter-2024-financial

Equity Lifestyle Q2 Earnings -

https://equitylifestyle.gcs-web.com/quarterly-supplemental-packages

Equity Residential Q2 Earnings -

https://s1.q4cdn.com/843629197/files/doc_earnings/2024/q2/earnings-result/eqrpr2Q24.pdf

Extra Space Q2 Earnings -

https://ir.extraspace.com/financial-stock-info/quarterly-earnings

Prologis Q2 Earnings -

https://ir.prologis.com/press-releases/detail/991/prologis-reports-second-quarter-results

Public Storage Q2 Earnings -

https://investors.publicstorage.com/investor-relations/default.aspx

SL Green Realty Corp. Q2 Earnings -

https://slgreen.gcs-web.com/

Summit Hotel Properties Q2 Earnings -

https://investor.shpreit.com/financials/financial-statements-as-reported/default.aspx

Leave us your feedback:

CRE Exchange - SpeakPipe -

https://www.speakpipe.com/CREexchange

Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.

#CRE #CommercialRealEstate #Property

If commercial property taxes are based on market value, why can property tax assessments go up when market values are going down? And how can you compare property taxes for different property types across different cities? We get some answers to those questions and more as we sit down with Sandi Prendergast, Director of Altus Group’s research team, to discuss findings from Altus Group’s US Real Property Tax Benchmark report. 

With over 25 years of property tax expertise, Sandi walks us through the report, shedding light on effective tax rates, assessment disparities and actionable strategies for managing your portfolio’s tax burden.

Key Takeaways:

(01:53) Sandi Prendergast’s background.

(03:39) Overview of the US Real Property Tax Benchmark Report.

(09:20) Key findings and insights from the report.

(13:03) Comparing taxes and impacts across different markets.

(15:13) Comparing taxes and impacts across property types.

(16:53) The biggest takeaway from the report.

(18:55) Why is there such a long period between revaluations in certain cities?

(20:04) Urban doom loop and property tax implications.

(23:07) The outlook on US property tax.

(24:33) Recommendations for property owners dealing with tax problems/assessment disparities.

(25:58) How to access the US Real Property Tax Benchmark Report.

Resources Mentioned:

Sandi Prendergast -

https://www.linkedin.com/in/sandi-prendergast-0b266722/?originalSubdomain=ca

Altus Group -

https://www.linkedin.com/company/altus-group/

US Real Property Tax Benchmark Report -

https://www.altusgroup.com/featured-insights/united-states-property-tax-benchmark-report/

Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.

#CRE #CommercialRealEstate #Property

Join us for an engaging discussion featuring Tim Savage, Clinical Assistant Professor at NYU's Schack Institute of Real Estate. With expertise in econometrics, machine learning and data science, Tim discusses his career path from consulting to academia, his work at NYU's Applied Analytics Lab and CREFC Center for Real Estate Finance, and the current dynamics driving the market. 

We’ll also cover Tim’s views on the bifurcation of office space, the rising significance of data science in commercial real estate, the critical role of climate change in insurance and valuations, and more. 

Don't miss Tim's perspective on the future of real estate analytics and the pressing need for the industry to accelerate its pace of adaptation.

Key Takeaways:

(00:29) Introduction and guest overview.

(02:19) Tim Savage's background and career path.

(05:40) Teaching at NYU and the Applied Analytics Lab.

(08:26) CREFC Center for Real Estate Finance.

(11:11) Impact of work from home and market trends.

(12:20) Interest rates and monetary policy.

(16:32) Bifurcation of office space.

(18:33) The evolution of retail real estate.

(24:14) What the CRE market still needs to price in: Climate change and insurance.

(29:16) Data science and analytics in real estate.

(33:20) How real estate analysis has changed.

(35:19) Where CRE sits on the innovation curve for data science.

(38:34) The future of real estate data analytics.

(44:09) Advice for aspiring CRE professionals.

(44:57) Final thoughts and conclusion.

Resources Mentioned:

Tim Savage -

https://www.linkedin.com/in/timothy-h-savage-ph-d-cre-63037032/

NYU | LinkedIn -

https://www.linkedin.com/school/new-york-university/

NYU Schack Institute for Real Estate -

https://www.sps.nyu.edu/homepage/academics/executive-education/schack-institute-of-real-estate.html

CREFC Center for Real Estate Finance -

https://www.crefc.org/cre/content/learn/CREFC_Center_for_Real_Estate_Finance.aspx

Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.

#CRE #CommercialRealEstate #Property

Our hosts, Cole Perry, Senior Market Analyst at Altus Group, and U.S. Director of Research, Omar Eltorai, share a brief analysis of the latest CRE Industry Conditions and Sentiment Survey. With over 600 respondents from the U.S. and Canada, this episode looks at the biggest shifts between the first and second quarters of 2024, including surprising trends in de-risking, cost of capital, and market expectations. Cole and Omar also discuss capital availability, property type performance, and the evolving role of artificial intelligence in commercial real estate.

Key moments:

01:06 - About the Commercial Real Estate Industry Conditions and Sentiment Survey

02:09 - Primary focus for CRE firms over the next six months

03:17 - Reported cost of debt financing in CRE

05:31 - Expectations for capital availability in the next 12 months

07:43 - Expectations for target returns by fund strategy

10:16 - Property type performance and expectations around property sectors

12:36 - Pricing perceptions for different property types

16:11 - Transaction intentions over the next six months

17:08 - Top priority issues CRE professionals are worried about

19:16 - Omar’s biggest takeaway - industry participants aligning with higher for longer

20:36 - Cole’s biggest takeaway - participants are still really worried about the cost of capital

21:46 - Cole’s biggest surprise - perception of artificial intelligence

23:48 - Omar’s biggest surprise - intention to transact vs. actual transaction activity

25:05 - How to access this quarter’s survey results

Resources mentioned:

US Q2 2024 Commercial Real Estate Conditions and Sentiment Survey -

https://www.altusgroup.com/featured-insights/us-cre-industry-conditions-and-sentiment-survey/

Canada Q2 2024 Commercial Real Estate Conditions and Sentiment Survey -

CRE Industry Conditions & Sentiment Survey - Canada | Altus Group Featured Insights

Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.

#CRE #CommercialRealEstate #Property

James Nelson, Principal and Head of Avison Young’s Tri-State Investment Sales group, and Scott Singer, Principal and Co-Lead of Avison Young’s Tri-State Debt & Equity Finance team join our latest episode of CRE Exchange!  

James and Scott share their extensive experience and discuss the unique challenges and opportunities they’re seeing in the national and New York Tri-State commercial real estate market. 

The episode highlights their career paths to Avison Young, the importance of leveraging relationships, innovative deal structuring, and adapting to economic shifts. The discussion also covers their involvement in industry organizations, and touches on James’ success in podcasting and authoring his best-selling real estate book, “The Insider’s Edge to Real Estate Investing.”

Key Takeaways:

00:29 Introduction to James Nelson and Scott Singer.

02:09 James and Scott share their backgrounds and career paths.

03:43 Avison Young’s unique structure and culture.

10:11 Market trends and challenges.

17:24 Financing and investment strategies.

32:08 Industry involvement and networking.

38:52 Podcast and book insights.

42:46 Final thoughts and closing remarks.

Resources Mentioned:

James Nelson -

https://www.linkedin.com/in/jamesnelsonnyc/

Scott Singer -

https://www.linkedin.com/in/scottsinger767/

Avison Young -

https://www.linkedin.com/company/avison-young-commercial-real-estate/

Real Estate Board of New York (REBNY) -

https://www.rebny.com/

The Insider’s Edge to Real Estate Investing -

https://jamesnelson.com/book

The Insider’s Edge to Real Estate Investing podcast -

https://jamesnelson.com/podcast

Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.

#CRE #CommercialRealEstate #Property

In this episode of CRE Exchange, we provide an overview of the latest Fed news, discuss various macroeconomic releases, analyze current market conditions and touch on fixed-income equities. We also examine the commodities market, review current interest rates and discuss recent retail chain closures and downsizing.

Key Takeaways:

01:50 FOMC meeting minutes.

04:41 New home sales update.

06:21 Existing home sales update.

07:41 Durable goods orders’ impact on warehouse demand.

09:33 Capital markets update.

13:27 Retail chains downsizing portfolios.

18:26 Capital market expectations from our Q2 conditions and sentiment survey results.

21:11 Remaining retail earnings.

21:51 Upcoming data releases.

Thanks for listening to the CRE Exchange podcast, powered by Altus Group. If you enjoyed this episode, please leave a review to help get the word out about the show. And be sure to subscribe so you never miss another insightful conversation.

#CRE #CommercialRealEstate #Property