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Insights

Friday Market Recap

Weekly Assessment of Global Real Estate Trends

Marriott International, Inc. (MAR)

North America In the U.S.: Fed Chairman Jerome Powell seemed to strike a more dovish tone stating that “Interest rates are still low by historical standards, and they remain just below the broad range of estimates of the level that would be neutral for the economy — that is, neither speeding up nor slowing down growth,”. Although the comments

Pebblebrook Hotel Trust (PEB)

North America In the U.S.: October retail sales were up 0.8% m/m versus September’s downwardly revised 0.1% decline. Gains were led by gasoline stations, auto dealers, department stores, and building materials/supplies. REIT Focus: Proxy firms ISS and Glass Lewis recommended the proposed Pebblebrook Hotel Trust (PEB) acquisition of LaSalle Hotel Properties (LHO). The move further bolsters the chances of

Prologis, Inc. (PLD)

North America In the U.S.: As expected, the Fed left rates unchanged. Of note, the Fed reaffirmed that they were on course to raise rates in December. The Midterm election results saw the Democratic party win back the House of Representatives. Given the current partisan nature of Washington politics, it is widely expected that the new house will clash

Featured Global Market Reports

Browse finance headlines from around the globe we’re keeping an eye on

The Benefits of Global Investing

With 2013 behind us, it is worth noting that Europe was the top performing global region within the FTSE EPRA/NAREIT Developed Index. Europe’s total return greatly exceeded those of Asia and North America, for dollar denominated investors, although Asia was the best performing region on a local currency basis. Europe’s strong performance comes on the heels of a good

Mexico: The Rise of Fibra

We conducted three days of due diligence on the nascent REIT industry in Mexico (two days in Mexico City and one in Monterrey), our itinerary filled with back-to-back meeting with management teams of five of the seven exiting Mexican REITs, called Fideicomisos de Infrastructura y Bienes Raices or Fibras for short. Our discoveries: Mexico is experiencing a manufacturing renaissance. 

A Greek Tragedy…or is it a Comedy?

A Greek Tragedy… or is it a Comedy? Clearly, it is a little of both. As the new Greek government fails to form a coalition, the entire “progress” of the Troika’s (IMF/ECB/EC – and Germany) negotiations reverts back to uncertainty and talk of a Greek exit from the Euro. It is comical that Greece can hold the entire Eurozone

UK CEO Panel Talks London Market

Our European analyst recently attended the BAML UK Real Estate conference in London.  One of the panel discussions involved five CEOs of prominent UK REITs talking about the state of the London real estate market.  The panelists were John Burns (DerwentLondon), Chris Grigg (BritishLand), David Atkins (Hammerson), David Fischel (Capital Shopping Centers), and now retired Francis Salway (Land Securities).

Domestic & Capital Market Insights

What’s happening at home, outlooks & reviews

3Q18 Capital Market Review

Make no mistake; the US economy is doing well. The third estimate of Second Quarter GDP growth came in at 4.2% compared to 3.0% for Second Quarter 2017 and the latest estimate for Third Quarter GDP growth from the Federal Reserve Bank of Atlanta is 4.2%. According to the Bureau of Labor Statistics, changes in total nonfarm payroll in

3Q18 Capital Market Outlook

In an era of rising rates, proponents of sectors like Utilities and REITs which are perceived to be interest rate sensitive can only offer two arguments in their defense: (i) interest rates (on the long end) aren’t going to go up much further or (ii) the afore-mentioned sectors aren’t really negatively impacted by rising rates. On September 25 last

2Q18 Capital Market Outlook

To a certain extent, all of the headwinds confronting the asset class are still gusting against the bow of USS REITs but perhaps the 13% decline to start the new year was overdone. Retail REITs still comprise 18% of the Index but sentiment has certainly shifted in favor of the tenants and, by extension, the landlords. The message coming

2Q18 Capital Market Review

US equity investors spent most of Second Quarter wondering if the various indices would revisit the lows made in February. From a top down perspective, they had every reason to worry: (i) an activist FOMC, (ii) trade wars all around and (iii) mega-cap tech companies under regulatory threat; however, the balance or risk did seem more favorable within the