Tag: globest.com

Net Lease Investors Take a Hard Look at CRE Fundamentals

GlobeSt.com

Calkain’s Q2 Net Lease Overview shows investors taking a hard look at real estate fundamentals, even as property sales continue their increase from the first quarter of 2019.

In analyzing report metrics in our Q2 2019 Net Lease Overview, we noted a focus on fundamentals, a bump in sales activities, and third, a three-sector impact. Let’s explain the third point first.

Q2 numbers were influenced mainly by the automotive, big box, and dollar store sectors; all three types experienced a jump in sales, though their cap rates differed.…

Amanda WillisNet Lease Investors Take a Hard Look at CRE Fundamentals

Delving into the Discount Dollar Retail Sector

GlobeSt.com

To net lease investors, discount dollar stores offer passive cash flow, thanks to long-term leases (averaging 10-15 years) and credit-worthy tenants.

Travel through a small town or the outskirts of a larger city, and you’ll likely pass by the local discount dollar stores. Whether those stores boast the green sign of Dollar Tree, or the yellow-and-black General Dollar signage, they offer aisles of everyday goods, ranging from beauty products, to cleaning essentials, to food, all within a 10,000-square-foot space.

To net lease investors, discount dollar stores offer passive cash flow, thanks to long-term leases (averaging 10-15 years) and credit-worthy tenants. …

Amanda WillisDelving into the Discount Dollar Retail Sector

The Fed, Interest Rates and Property Values

GlobeSt.com

How will any Federal Reserve action impact the cost of capital and cap rates? Jonathan Hipp takes a closer look in this EXCLUSIVE column on the subject.

In March 2019, the Federal Reserve announced it would leave the key interest rate unchanged, bringing to a halt the hikes it had begun in late 2015. In the same announcement, the Fed forecasted one rate hike in 2020, and stated they will stop reducing their bond portfolio by fall 2019. The Fed opted to take a hands-off approach to the federal funds rate, due to a forecasted slowdown in the global economy.…

Amanda WillisThe Fed, Interest Rates and Property Values

Big Tech Looking for Retail Spaces

GlobeSt.com

Opening brick and mortar locations could be the beginning of a larger trend being led by Amazon and Google.

Amanda WillisBig Tech Looking for Retail Spaces

Net Lease Properties and Opportunity Zones: Mutually Exclusive

GlobeSt.com

While net lease properties offer many benefits to investors, the very nature of these assets make them difficult, at present, to qualify for the tax deferral through the Opportunity Zone program.

At this point, just about everyone involved in real estate investments has heard about the Opportunity Zone Program. Tucked away in the Tax Cuts and Jobs Act of 2017, this program encourages investors to invest capital gains from the sale of assets into Qualified Opportunity Funds (QOF). Those funds, in turn, funnel money into government-designated Opportunity Zones. Though still in its infancy, the program is being hailed as a …

Traci BidingerNet Lease Properties and Opportunity Zones: Mutually Exclusive

Net Lease Chasing Yield

GlobeSt.com

“Nothing is on our ‘No’ List,” said one panelist at GlobeSt.com’s RealShare Net Lease conference.

NEW YORK CITY—E-commerce is not going away. So, Jimmy Goodman, a partner at the Boulder Group, moderating the “State of the Industry” panel at GlobeSt.com’s annual Net Lease Conference asked experts how is it affecting their strategies?

“Almost every transaction we do institutionally today is more and more geared around, ‘Is it an internet resistant type business?’” said Glen Kunofsky, executive managing director of investments at Marcus & Millichap.

He noted although people may think the private market is less sophisticated, it doesn’t have to

Amanda WillisNet Lease Chasing Yield

The Unequality of Net Leased Properties

GlobeSt.com

Net lease properties are commercial real estate assets in which the tenant pays rent, as well as a portion, if not all of the taxes, along with insurance fees and maintenance costs involved with a property. This is the overall, accepted “umbrella” definition.…

Traci BidingerThe Unequality of Net Leased Properties

A Source No Longer

GlobeSt.com

Retail will be a forever changing game, and in order to survive a brand needs to keep up on emerging trends, as it’s a well-known story for those retailers who do not.…

Traci BidingerA Source No Longer

Sears Closings Create Potential Opportunity

GlobeSt.com

We’ve all heard the old maxim about one door closing and another opening. In this case, the doors that are closing belong to Sears, with many of them opening again as fitness centers.

It’s an odd dynamic when you think of it, one that truly reflects the changing nature of our retail wants and needs. There was a time when mall operators snubbed their noses at gyms.  All those sweaty people in odd outfits rubbing elbows with targeted shoppers.

Then something happened, consumer shopping patterns shifted. We began to see major headlines in most of the press that the American …

Amanda WillisSears Closings Create Potential Opportunity