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Top Read CRE News In January

Retail


Changes in consumer spending habits due to drugs like Ozempic might affect the tenant mix in retail developments. 


Capital Markets


While some office properties were put on auction for less than half of their previous price, they failed to receive bidders, with the properties going back to their owner.


Investments


Delaware Statutory Trusts have been used to defer capital gains taxes on real estate sales. DSTs are popular because they allow investors to passively invest in real estate. 


Office


Investors are buying distressed properties at steep discounts because there are few other options. Many office buildings are struggling to repay loans, with some investors selling their assets to cut losses. The decline in office values is expected to continue.



There is demand for trophy office space exceeding supply. Developers are hesitant to build more due to financing difficulties, which creates a tight market for tenants, with rents rising in some areas.


Multifamily


There is a rising number of office-to-apartment conversions in major cities, which are driven by high demand for housing and low office occupancy. Many cities, including New York, Chicago, and Los Angeles, are experiencing this trend.


Talent


Baby boomers are retiring and the next generation of leaders are emerging, which may be risky but also presents opportunities. Companies need to plan for succession and new leaders may bring fresh perspectives.


 

EDITOR’S NOTE: Parts of this story were generated by AI and have been reviewed by our editorial team for accuracy.

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