US - Commercial Real Estate & Reits

[behappyalways]

U.S. commercial real estate is on the verge of collapse!
The third tallest building in Los Angeles was sold for NT$4.5 billion, half the price nine years ago. The high office vacancy rate has triggered a "loan tsunami"

美商用不動產瀕臨崩盤!洛杉磯第3高樓45億台幣售出較9年前腰斬 辦公室空置率高掀"貸款海嘯"｜非凡財經新聞｜20231225

https://m.youtube.com/watch?v=1DOxOmU-Z7E

[behappyalways]

Pension Fund Crisis? Calstrs Seeks $30 Billion In Leverage Amid CRE Turmoil
https://www.zerohedge.com/markets/pensi ... re-turmoil

[behappyalways]

Office Vacancies Hit Record High Across US Cities As CRE Downturn Worsens
https://www.zerohedge.com/markets/offic ... rn-worsens

[behappyalways]

Office vacancies hit a new record high in the US, per Axios:
https://twitter.com/unusual_whales/stat ... 6804457816

[behappyalways]

Office buildings have led the slump in US commercial real estate
https://twitter.com/Mayhem4Markets/stat ... 2168157675


US CRE Exposure weighs on Japanese Bank
https://twitter.com/AyeshaTariq/status/ ... 5004641783


Dark Skies at Aozora Bank
https://westonnakamura.substack.com/p/d ... ozora-bank

[behappyalways]

US: Years of CRE Supply by Sector
https://twitter.com/AyeshaTariq/status/ ... 0857634933

[behappyalways]

The value of office buildings in San Francisco have plunged by 40% year-over-year
https://twitter.com/Mayhem4Markets/stat ... 8376163751

[winston]

First Shoe to Drop

There’s a new red light flashing when it comes to commercial real estate.

An obscure investment product used to finance risky projects is facing unprecedented stress as borrowers struggle to repay loans tied to commercial property ventures.

Known as commercial real estate collateralized loan obligations (CRE CLO), they bundle debt that would usually be seen as too speculative for conventional mortgage-backed securities.

In just the last seven months, the share of troubled assets held by these niche products surged four-fold—rising by one measure to more than 7.4%.

For the hardest hit, delinquency rates are in the double digits. That’s left major players in the $80 billion market rushing to rework loans while short sellers ramp up attacks on publicly-traded issuers.

Source: Bloomberg

https://www.bloomberg.com/news/articles ... mbergdaily

[behappyalways]

Office Tower Vacancy Rate Hits Record High As Zombie Buildings Litter Skylines of Cities
https://www.zerohedge.com/markets/offic ... nes-cities

[winston]

Now is the Perfect Time to Start Buying These Stocks

by Tim Plaehn

It’s time to start buying Commercial real estate.

Most troubled properties will be big city center city towers in gateway markets.

Class B and C apartments may have some problems as well.

It may be months, or even a year or more, before the markets start to get excited about commercial real estate again.

Source: Investors Alley

https://tradesoftheday.com/2024/04/10/n ... se-stocks/