Real Estate Financial Modeling Accelerator (Updated Nov 2024)
Prior to launching the Accelerator program, Michael and I fielded email after email requesting a more structured real estate financial modeling training program on the site.
Over the years, we've covered hundreds of real estate modeling…
Understanding Leases: Office Buildings – Part 2b
Grossing Up Reimbursable Expenses in ARGUS
This post and video are a follow up to a post written back in late October discussing grossing up reimbursable expenses. If you haven’t gotten to read that yet, you can do so by clicking here:…
Understanding Leases: Office Buildings – Part 2a
Grossing Up Operating Expenses – What, How, Why, and its impact on the Three Common Bill-back Methods
A common practice in office leases is to gross up the variable portion of the reimbursable expenses. Grossing up expenses is when the…
Understanding Leases: Office Buildings – Part 1
Billing Back Reimbursable Operating Expenses – Three Common Approaches for Office Buildings
(ARGUS video example to follow next week)
The three most common approaches to expense reimbursements in office leases are the (1) triple-net,…
Another Shot at Stuy Town – Blackstone’s $5.3 Billion Bet
Styuvesant Town-Peter Cooper Village, otherwise known as Stuy Town, is back in real estate news. Blackstone, together with Ivanhoe Cambridge and CWCapital Asset Management, have agreed to buy the 11,232-unit apartment complex for…
Introducing a New Blog Segment: Understanding Leases
We are rolling out a new segment this week called Understanding Leases. The aim is to help our readers learn about the more nuanced and unique concepts to commercial real estate leasing and provide general tips and understanding. Over time we…
CRE Market Spotlight: Camden, NJ
After decades of being statistically one of the poorest cities in the country, it seems there are finally big changes coming to the city of Camden, NJ. With an extensive and generous state sponsored tax credit program luring big businesses to…
NYC Office Building Brings 2nd Highest Price Ever
If there's one thing I remember from my pre-2008 days, it was seeing a lot of stories like this. Are we in bubble territory yet?
SL Green Realty has agreed to buy CIM Group's 11 Madison Ave. The 29-story office tower in Manhattan,…
Prologis to Acquire KTR Capital in JV with Norges
It was announced last week that Prologis, the world's largest industrial REIT, has agreed to buy KTR Capital Partners for $5.9 billion. KTR owns and operates 70 million square feet of real estate across the U.S.
I think the deal is interesting…
GE Capital to Sell RE Assets to Blackstone, Wells Fargo
GE is unwinding its financial companies, and as a consequence, is selling off its real estate assets. Blackstone and Wells Fargo have reportedly agreed to buy GE Capital's real estate assets for $23bn. This is the largest deal of its kind since…
Blackstone to Buy 2nd Tallest Building in U.S.
At $1.3bn, The Blackstone Group is set to become the next owner of the iconic Willis Tower (formerly the Sears Tower) in Chicago, IL. The group selling the building, bought it for $841mm in 2004.
A few links with deal specifics:
http://www.bloomberg.com/news/articles/2015-03-16/blackstone-group-agrees-to-buy-chicago-s-willis-tower
http://www.benzinga.com/trading-ideas/long-ideas/15/03/5331305/blackstones-willis-tower-purchase-set-a-record-but-is-it-a-ba
http://www.chicagobusiness.com/article/20150306/NEWS12/150309828/blackstone-in-talks-to-buy-willis-tower-for-1-5-billion
Net Lease the Fifth Major Commercial Real Estate Type?
I read an interesting article in Globest.com this week talking about how demand for single tenant net lease properties is likely to remain high. That point is nothing new to those who've been watching net lease recently.
However, what caught…