Private real-estate funds currently hold 23% of their investments in offices, down from 34% three years ago. These funds’ holdings in retail space have fallen to 10% from 17% over the same period. Meanwhile, industrial properties have grown to account for 31% of those private real-estate funds’ investments and stakes in airports, highways and utilities, so-called infrastructure assets, have grown to 4.1%.
Investors hit their all-time high of 93,700 homes purchased in Q3 2021. The second quarter of 2022 was lower at 87,500 U.S. homes, but it was still up 5.9% over the comparable period in 2021, and investors continue to buy more homes than they did pre-pandemic.
Intel has struck a $30 billion funding partnership with Brookfield Asset Management to help finance its massive factory expansion ambitions.
U.S. existing home sales fell in July for the sixth straight month, the longest streak of declines in more than eight years, as higher mortgage rates and a shortage of homes for sale are cooling this once red-hot market.
The average sale price per acre for American land in the second quarter of 2022 was $18,083, doubling over the last two years.
This year, the sales-volume growth rate has been falling as rising inflation has pushed interest rates higher. In the second quarter, investors purchased $190.3 billion of commercial property, an increase of 17% over the same period in 2021 but down from a 150% sales-volume increase in the second quarter of 2021.
Real-estate closings can now take place remotely in most states, with 43 states having laws permanently allowing remote online notarization up from 22 at the outset of the pandemic.
The red-hot rental market is starting to cool. Average apartment rents rose 9.4% in the second quarter of 2022 compared with the same quarter in 2021, down from the more than 11% annual increases seen the previous two quarters.
Embattled property developer China Evergrande Group was told to honor a $1.1 billion guarantee, revealing yet another large financial obligation that wasn’t previously disclosed. Evergrande said one of its subsidiaries in China had provided counter guarantees to an unnamed entity by pledging its shares in Shengjing Bank Co., a regional lender.
