Procacci sells two office buildings near Dolphin Mall for $29M
Procacci Development Corp. sold two office buildings in Sweetwater for a combined price of $29.3 million. Boca Raton-based Procacci Development sold the buildings at 11430 Northwest 20th Street and 11410 Northwest 20th Street, near Dolphin Mall, to New York-based Innovatus Capital Partners, according to records. Procacci Development sold the 88,484-square-foot…
Innovatus Capital Partners Buys Miami Office Portfolio
Innovatus Capital Partners has acquired Dolphin Corporate Park, a two-building Class A office portfolio in Doral, Fla. Cushman & Wakefield Capital Markets negotiated the deal on behalf of the seller, Procacci Development Corp. The deal comes days after Cushman & Wakefield facilitated the $510 million refinancing of a historical Manhattan skyscraper. The 164,509…
Musician Pitbull, Miami Mayor Use Paramount Miami Worldcenter to Signal 10 p.m. Curfew
With Miami under a citywide curfew since March 27 to limit the spread of the novel coronavirus, musician Pitbull and Miami Mayor Francis Suarez have teamed up to help Miami residents know when 10 p.m. strikes and the city’s curfew goes into effect. The curfew ends at 5 a.m. daily. The side of the recently delivered Paramount Miami Worldcenter, a 700-foot condo…
The Federal Reserve reduced rates by 50 basis points, and the stock market is soaring, well, today. The media is scaring everyone about the coronavirus. Numbers of events are being canceled. Companies are lowering their earning expectations. Should we be concerned? In this video from America’s Commercial Real Estate Show, CCIM Senior Economist…
Miami Beach orders 57 Ocean and Hotel 18 construction sites to shut down
5775 Collins Avenue and 1775 James Avenue The city of Miami Beach issued stop work orders at 57 Ocean and Hotel 18’s construction sites, saying they failed to comply with safety regulations during the Covid-19 emergency period. Miami Beach Associates LLC was issued the stop work order for the 57 Ocean project at 5775 Collins Avenue, after an inspection on Monday.
Not so fast, vultures: Multifamily among better “food groups” poised to weather pandemic
Lightstone’s David Lichtenstein would like to make one thing clear: Not all property classes are in immediate peril. “Read my lips: You are not going to see distress in multifamily,” he said during a TRD Talks Live panel discussion on Tuesday. “Everybody listening who thinks ‘this is my opportunity to sharpen my claws. I’m a hedge fund, and I’m going to find…
How the coronavirus could change the office of the future
When the coronavirus crisis subside, offices could do away with hot-desking (Credit: iStock) Most people around the globe have wondered what long-term impacts the coronavirus pandemic could have on their jobs, the economy, and culture. The verdict is very much out on all those fronts, but some in the real estate industry are already planning for a big change…
Mortgage forbearance surged on April 1: report
As tenants struggle to pay rent, homeowners are struggling to make mortgage payments. The rates of mortgages in forbearance surged April 1 to 2.66 percent from 0.25 percent at the start of March, according to Bloomberg. It comes as Moody’s Analytics’ chief economist expects that up to 30 percent of homeowners may stop making mortgage payments.
Hotel occupancy rate across US drops to 22%
The coronavirus pandemic continued to batter the U.S. hotel market in the first week of April. The national hotel occupancy rate plunged to 21.6 percent for the week ending April 4, a nearly 69 percent drop from the same time last year, according to data from hotel research firm STR. The rate for the last week of March was 22.6 percent. For the top…
Troubled RedSky lists Miami Design District portfolio
RedSky Capital’s entire Miami Design District portfolio, encompassing 14 buildings with 125,000 square feet of space, is hitting the market as the troubled Brooklyn-based development group seeks to sell much… The listed properties include 1, 10, 28, 35, 40, 50, and 56 NE 40th Street, 3925 and 3995 N Miami Avenue, and 19, 21, 45, 53, 55, 75, and 81 NE 39th Street.
Early April sees 15% drop in rent-paying nationwide: report
Only 69 percent of tenants paid rent in the first five days of April — a 12-point drop from the same period last month. From March 1-5, some 81 percent of tenants paid at least some rent, and the figure was 82 percent in the initial days of April a year ago over the 13.4 million rental apartments tracked by several data firms, the National…
Starwood scores $76M construction loan for Miami Beach HQ
Starwood Capital Group scored a $76 million loan to build its new headquarters in Miami Beach. The investment firm, led by Barry Sternlicht, secured the loan from Citizens Bank for its planned six-story office building at 2340 Collins Avenue, records show. The company received its notice of commencement from Miami-Dade County in September to start…
Boom’s over, but industrial brokers keep busy
Soon after Gov. Andrew Cuomo put New York’s strict social distancing rules in place, industrial broker Thomas Donovan’s phone stopped ringing. It was a sudden shift in what had been one of real estate’s hottest sectors. But in recent days, Donovan said, folks have begun sniffing around again for space. “We have seen people that we’re speaking to say…
Silicon Valley heads to Wynwood’s office market
Wynwood has changed quickly from the early 2000s, when it was home to a number of galleries that came alive the second Saturday of the month, to an established tourist destination with an active nightlife scene. Today, it has residents and short-term rentals, restaurants, breweries and bars, and hotels on the way. Now, it’s also emerging as a new office submarket in…
Rent In The Time Of Coronavirus: Tips for CRE Landlords and Tenants
Proactive advice for landlords and tenants who are navigating the COVID-19 crisis As soon as the coronavirus began its relentless march around the world, one phrase was repeated by world leaders, experts, local officials, and neighbors: “We’re all in this together.” In many ways, that sentiment applies as we all try to negotiate the economic impacts of the COVID-19…
State accelerates Signature Bridge and related projects
Miami’s notoriously crowded streets have become the road less traveled with the sweeping impact of the Covid-19 pandemic. With most businesses, stores and shops shut down and social distancing being preached and practiced, the highways and byways are seeing meager traffic in comparison with the bumper-to-bumper of not so long ago. The governor…
Miami looks at trolley reorganization after coronavirus siege lifts
The reworking of the countywide transportation network is in its third phase, and the City of Miami administration has weighed in on the proposed realignment of its trolley system, albeit without much force. In an interoffice memo, signed by City Manager Art Noriega and directed to Mayor Francis Suarez and commissioners, the administration makes…
A quarter of Prologis’ tenants request a break on rent. Most won’t get it
Hamid Moghadam Even the booming industrial real estate sector isn’t immune from the effects of the pandemic. Prologis, one of the biggest logistics real estate companies in the world, announced this week that nearly a quarter of its tenants are seeking rent relief. On average, 24 percent of tenants are requesting 69 days of rent relief, Prologis chief…
Congress fixed tax code “retail glitch” and gave real estate a tax windfall
SReal estate owners can thank a fix to the “retail glitch” — rectified in the $2 trillion economic bailout — for a new tax windfall. The economic stimulus package that the federal government passed last month corrected what is widely considered to be a drafting error from President Trump’s 2017 tax cuts, which allowed businesses to write off the costs…
Coronavirus distress is “opportunity of the century” for real estate investors
As the coronavirus crisis sends property values tumbling, funds focused on opportunistic and distressed-asset investments sense a greater opportunity than that seen during the 2008 financial crisis. (Credit: iStock) As the coronavirus crisis sends property values tumbling, real estate investors sense an even greater buying opportunity than the 2008 financial crisis.
WeWork sues SoftBank for scrapping $3B bailout
It’s official — WeWork is suing its biggest backer. And this probably won’t be the last time. The embattled co-working giant is alleging that SoftBank wrongfully pulled out of an agreement to buy $3 billion worth of WeWork shares. That infusion would have helped stabilize WeWork as it worked to rebound from its failed IPO, as it faces a wave…
Must do’s and need-to-knows for SBA stimulus loans
The coronavirus pandemic has thrown a wrench in the world’s economy, specifically impacting small businesses, where day-to-day operations have been stunted, if not completely halted. The Coronavirus Aid, Relief, and Economic Security (CARES) Act, is an economic aid stimulus package which was formulated by the federal government and signed into law to…
Related’s Blau on tenants with cash: “It’s their obligation to pay”
With a $97 billion real estate portfolio, Related Companies faced a reckoning this month. But after bracing for a major loss of rental income, Related CEO Jeff Blau said “the results have been pretty good so far.” Read more Landlords brace for impact of pandemic With curfews and public assembly restrictions, what will happen to malls? For US retailers…
SoFla prepares for flood of foreclosures and evictions after governor’s freeze
With hundreds of Floridians losing their jobs on a daily basis and the economy on crutches, Florida Gov. Ron DeSantis suspended evictions and foreclosures for a period of 45 days. But experts say it is far from enough. The move, announced on Thursday, allows homeowners and renters to stay in their homes if they can’t pay their mortgages or rent due to Covid-19.
Peebles Files $585M Suit Calling ‘Shenanigans’ On Miami Project That Slipped Away
Developer Don Peebles is suing a business rival, accusing him of conspiring with Miami city officials to ice Peebles out of a project in Miami’s historically black neighborhood, Overtown. His lawsuit hints at backroom dealing and alleges criminal activity by one city Community Redevelopment Agency. But the defendants say Peebles backed out of the deal voluntarily…
Real estate and retail shutdowns drive economic slump
The economic slowdown that is throttling the U.S. has seen economic output drop by three-quarters in some industries, including food services and arts and entertainment. In the tri-state area of New York, New Jersey and Connecticut, the coronavirus-caused slowdown is most acute in the real estate and retail sectors, according to the Wall Street Journal, citing a…
How will hotels and retailers survive until their customers come back?
Most stores throughout the state, such as Bergdorf Goodman, are closed indefinitely by executive order as the coronavirus pandemic ravages New York City. By early March, Terminal 1 of John F. Kennedy Airport, one of the busiest airports in the country, was nearly a ghost town. The novel coronavirus was sweeping East Asia and spreading around the world…
Bernie Sanders calls for rent, mortgage freeze
Presidential candidate Bernie Sanders is calling for a freeze on rent and mortgage payments as part of the next federal relief package. Sanders urged Congress on Friday to suspend monthly expenses, including rent, mortgage payments, medical debt and consumer debt collection, for four months, as part of a list of priorities he believes legislators should include…
Nation’s biggest department stores could run out of funds in a month: Goldman Sachs
While experts debate how long the economy will be shut down, some major department stores and apparel retailers have as little as one month’s worth of funds to tough it out. Major department stores like Kohl’s, Nordstrom and Macy’s could run out of capital within a month, according to a liquidity “stress…
Tenants Should Be Fully Transparent With Financials To Get Fairest Deal When Renegotiating Leases
This week, the No. 1 topic among real estate professionals everywhere is how rents will play out this month and beyond. “The goal here is sum zero,” said Vagabond Group CEO Avra Jain, known for trendy, adaptive reuse projects and affordable housing initiatives. If a landlord gets paid by tenants, then he or she should in turn pay mortgage obligations, she…
AvalonBay partners with Mast Capital on mixed-use project near Coral Gables
AvalonBay Communities purchased a stake in a mixed-use apartment project near the Collection luxury car dealership in Coral Gables. Property records show an affiliate of AvalonBay paid $12.9 million for the property at 3811 Shipping Avenue in Miami. Mast Capital is a joint venture partner with AvalonBay, according to a source. Coconut Grove-based Mast Capital…
Flex office startup Industrious slashes a third of its workforce
Industrious is the latest flexible-office startup to make significant cuts to its workforce. The company laid off 90 employees, or 20 percent of its total staff, in addition to reducing hours and imposing furloughs on another 10 percent, Commercial Observer reported. Most of the cuts were in the company’s design, real estate development and finance departments.
Florida governor freezes evictions and foreclosures for 45 days
Gov. Ron DeSantis suspended evictions and foreclosures for a period of 45 days in Florida in an emergency order issued late Thursday. DeSantis is providing the relief to single-family homeowners throughout the state, as people struggle to pay their bills during the pandemic. The state’s unemployment system has become overwhelmed with filings from…
Thousands of CRE borrowers call on banks for debt relief
The number of commercial real estate borrowers who requested debt relief during the escalation of the coronavirus outbreak in the U.S. has lurched to 2,600, with borrowers against hotel and retail assets among the most asking for help, one ratings agency found. The borrowers represent some $49.1 billion of mortgage loans, according to new findings from Fitch Ratings…
What the $2 trillion stimulus does for real estate
“In moments of crisis,” the legendary developer Big Bill Zeckendorf was fond of saying, “one’s world tends to become simplified.” Even those with big dreams (pretty much every successful real estate professional) get down to the basics: survival. This is a crisis unlike any we’ve ever seen. The world has stopped. “It’s the first time ever that we’ve had a chain of supply…
WeWork asks landlords to cut rent bill as SoftBank abandons bailout
SoftBank is abandoning plans to buy $3 billion of WeWork shares from investors, a major blow to the company as it struggles to stabilize during the pandemic. The announcement was made to a board committee Wednesday evening, according to The New York Times. WeWork’s former CEO, Adam Neumann, is among the shareholders who will no…
Developer Moishe Mana is getting into the dairy business
Real estate investor and developer Moishe Mana is adding a new business to his portfolio: dairy production. Mana’s Mana Saves McArthur was named the winning bidder of Dean Foods’ South Florida facilities, including the McArthur Dairy plant at 6821 Northeast Second Avenue in Miami’s Little Haiti neighborhood, and distribution centers in West Palm Beach and…
Pelosi proposes SALT rollback in next stimulus
Ahead of another stimulus package to address the coronavirus pandemic, House Speaker Nancy Pelosi is reportedly considering a retroactive rollback of the state and local tax (SALT) deduction cap. The $10,000 cap went into effect in 2018 as part of President Donald Trump’s 2017 sweeping tax overhaul. A Democrat-led effort to repeal it in 2019 was unsuccessful.
“They don’t deserve rent”: Tenants weigh rent strikes as landlords plan for the worst
Tenants and landlords are preparing for what to do when tenants do not pay rent this month. (Credit: iStock) April rent checks are due today, but tenants in cities across the U.S. say they won’t pay, either due to economic hardship or to increase leverage for political demands. In California, Illinois, New York and Missouri, organizers are urging tenants to pay…
Miami hotels see 60% drop in room rates
Hotels across the country — including the Plaza Hotel in New York and Chateau Marmont in LA — have shuttered and laid off and furloughed staffers. (Credit: Keith Birmingham/MediaNews Group/Pasadena Star-News via Getty Images; iStock) The picture for the country’s hotels continued to grow ever worse last week, as more than three quarters of the nation’s…
Sergio Pino re-opens construction site after workers test positive for Covid-19
Days after shutting down his construction site after workers tested positive for Covid-19, developer Sergio Pino said the project is open again. Pino, who has been pushing for a shutdown of construction in South Florida, said there is a limited crew on the site at 850 LeJeune Road, near Miami International Airport. About 40 workers are on site out of about 220…
Carlos Mattos’ family buys Hialeah assemblage for $8M
The family of Colombian businessman Carlos Mattos bought an assemblage in Hialeah for $8 million. Nisa Navarro LLC, controlled by Isabella and Nicolas Mattos, purchased seven parcels at 802 East 25th Street from 4th Avenue Developer LLC, led by Daniel Abreu, records show. The property totals 58,362 square feet, equating to a price of $137 per square foot…