In the latest episode of the NAREIT Podcast, Michael Hudgins, managing director and global strategist with EII Capital Management, discussed some of the major stories in real estate investment at the moment, including REIT valuations, the demand for real estate and the impact of secular factors on the U.S. real estate market.
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.
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.
NYSE Manager Sees Healthy REIT IPO Pipeline for 2015
Ron Bohlert, manager of global listings at the New York Stock Exchange (NYSE), joined REIT.com for a video interview during REITWise 2015: NAREIT’s Law, Accounting and Finance Conference held in Phoenix.
Bohlert noted that initial public offering (IPO) activity during 2014 was “incredibly successful for the NYSE.” There were a total of 117 IPOs, which raised a total amount of $ 65 billion. While the Alibaba Group IPO contributed a sizeable portion of that total, “in terms of the number of deals and capital raised, it was still very successful on all fronts,” he said.
Willis Executive sees Benefits to REITs from Excess Capital in Insurance Market
Joe Downey, EVP and global client advocate at Willis, joined REIT.com for a video interview during REITWise 2015: NAREIT’s Law, Accounting and Finance Conference held in Phoenix.
Willis is a leading global risk advisor, insurance and reinsurance broker.
Downey observed that the property insurance market is a particularly low-priced environment at this time.
Lazard Portfolio Manager Sees REIT Returns of 10 to 15 Percent in 2015
Jay Leupp, managing director and senior portfolio manager at Lazard Asset Management, joined REIT.com for a video interview during NAREIT’s 2015 Washington Leadership Forum.
After a solid performance for REITs in 2014, “we do think there’s still room to run” in 2015, Leupp said.
“We don’t think rates are going to rise as much as most pundits,” he said. “We do still see very strong real estate fundamentals… and we still see rent growth and earnings growth tracking ahead of inflation. In our view, this adds up to a pretty good year for REITs.”
MCR CEO Sees “Rich” Acquisition Environment for Hotel Real Estate
Tyler Morse, CEO of MCR Development, joined REIT.com for a CEO Spotlight video interview at NAREIT’s 2015 Washington Leadership Forum.
MCR Development maintains an active renovation platform and is currently renovating approximately 30 hotels in its portfolio. Morse said the firm is focusing on renovations that “impact the consumers most directly.” These include changes to rooms to accommodate personal electronic devices.
EPRA Chief Sees Little Impact from Greek Debt Crisis on European Property Markets
Philip Charls, CEO of the European Public Real Estate Association (EPRA), joined REIT.com for a video interview at the Hays Adams Hotel in Washington, D.C. during NAREIT’s 2015 Washington Leadership Forum.
EPRA’s mission is to promote, develop and represent the European public real estate sector.
Banker Sees REIT Green Bonds as “Natural Byproduct” of Sustainability Commitment
Shawn Cepeda, managing director of debt capital markets at Bank of America Merrill Lynch, joined REIT.com for a video interview at NAREIT’s 2015 Leader in the Light Working Forum in Reston, Va.
According to Cepeda, sustainability for most companies is comprised of environmental responsibility, social responsibility and corporate governance. When Bank of America Merrill Lynch makes a decision about financing sustainability, “we’re really focused on the environmental element of the sustainability umbrella,” according to Cepeda.
