As new construction picks up, demand for REIT space shakes off most, but not all, of the downturn’s drag.
InvenTrust Focusing on Retail and Student Housing Real Estate
With a new name and a pared-down portfolio, InvenTrust Properties Corp. plans to continue to shed assets as it narrows its focus down to its two primary sectors of open air retail and student housing real estate.
InvenTrust announced in April that it was changing its name from Inland American Real Estate Trust, Inc., after becoming self-managed in 2014. The name change also followed the spin-off of its Xenia Hotels & Resorts, Inc. (NYSE: XHR) lodging platform in February.
Research Indicates Investors Missing Out on International Real Estate
North America represents about 30 percent of the total value of real estate globally, yet many investors fail to consider real estate investment opportunities in other global markets, according to an analysis of investment patterns.
Deloitte Analyst Says Chinese Interest in U.S. Real Estate Remains Firm
Bob O’Brien, partner and U.S. real estate services leader at Deloitte, joined REIT.com for a video interview during REITWise 2015: NAREIT’s Law, Accounting and Finance Conference held in Phoenix.
O’Brien discussed the rise in Chinese foreign investment , as well as the possibilities for a REIT regime in China.
O’Brien noted that Chinese investment in the United States has increased about seven-fold in the past five years, and real estate accounts for a significant portion of that growth.
Acquisitions Analyst Sees Increased Regulation for Real Estate Deals
Scott MacComb, president of Allocation Advisors, joined REIT.com for a video interview during REITWise 2015: NAREIT’s Law, Accounting and Finance Conference held in Phoenix.
Allocation Advisors prepares purchase price allocations for real estate acquisitions. MacComb gave an overview of the current regulatory environment facing REITs.
“We are still in a situation where the pendulum is swinging in the direction of increased regulation,” he said.
Professor Says Retirees, Millennials and Immigrants Changing Real Estate Industry
Kerry Vandel, finance professor at the University of California-Irvine, joined REIT.com for a video interview during REITWise 2015: NAREIT’s Law, Accounting and Finance Conference held in Phoenix.
Vandel cited three demographic groups that will heavily influence the real estate industry in the near future: baby boomers, millennials and immigrants.
The United States has “a much larger immigrant pool than we’ve had in the past,” Vandel said.
Vandel noted that those three demographic groups can be broken down further by wealth.
Green Street Analyst Says Value of Real Estate Key to REIT Valuations
Lukas Hartwich, analyst at Green Street Advisors, joined REIT.com for a video interview during REITWise 2015: NAREIT’s Law, Accounting and Finance Conference held in Phoenix.
Hartwich outlined the various factors Green Street considers when determining the valuation of a company.
“Growth is definitely a consideration,” he said. “But, first and foremost, what we look at is the value of the underlying real estate.”
Real Estate Lawyer Sees Continuing Capital Flows into Public Non-Listed REITs
Peter Fass, partner at Proskauer Rose, LLP, joined REIT.com for a video interview during REITWise 2015: NAREIT’s Law, Accounting and Finance Conference held in Phoenix.
Fass observed that new customer account rules from the Financial Industry Regulatory Association (FINRA) aiming to increase transparency of public non-listed REITs (PNLR) have led to speculation about their impact on a number of fronts.
“There’s a lot of talk about how it’s going to affect sales. Who’s going to make the changes? Will it reduce fees to broker-dealers? We shall see,” he said.
BMO Banker Sees Strong Investor Support in Real Estate Capital Markets
Mark Decker Jr., group head of U.S. real estate at BMO Capital Markets, joined REIT.com for a video interview during REITWise 2015: NAREIT’s Law, Accounting and Finance Conference held in Phoenix.
Decker discussed the state of the real estate capital markets.
“They’re in great shape,” he said. “There’s a lot of access to all the markets. Pick your flavor. If you’ve got a good use for the money, there’s a lot of investor support,” he said.
Blackstone Deals Highlight “Vibrant” Real Estate Market, According to Analysts
Private equity firm Blackstone announced two major real estate deals on April 10, underscoring the current vibrancy of the market, according to analysts.