Real Estate Daily News Buzz is designed to give news snippets to readers that our (yet to be award winning) editors thought you could use to start your day. They come from various business perspectives, real estate, government, the Fed, local news, and the stock markets to save you time. Here you will find the headlines and what the news buzz of the day will be.
Stocks closed mostly higher on Tuesday, with energy and mining companies posting the biggest gains. Technology shares lagged the rest of the market, pulling the Nasdaq composite index lower. The gains in energy and mining companies came as prices for oil, copper and other basic materials rose.
On Tuesday, the Dow Jones industrial average rose 49.44 points, or 0.3 per cent, to 18,053.60. The Standard & Poor’s 500 index gained 6.46 points, or 0.3 per cent, to 2,100.80. The NASDAQ composite index lost 19.69 points, or 0.4 per cent, to 4,940.33.
For the week, the Dow is up 156.14 points, or 0.9 per cent. The S&P 500 is up 20.07 points, or 1 per cent. The NASDAQ is up 2.12 points, or 0.04 per cent.
For the year, the Dow is up 628.57 points, or 3.6 per cent. The S&P 500 is up 56.86 points, or 2.8 per cent. The NASDAQ is down 67.08 points, or 1.3 per cent.
As Fed Goes Silent, So Too Go Chances of April Rate Hike “The Federal Reserve begins its media blackout Tuesday, as always happens one week before it’s interest rate policy meeting. Based on everything that’s been said over the past six weeks, the Fed is widely expected to hold rates steady and try not to rock the boat to upset the relative calm in financial markets. ‘The chance of a Fed rate hike appear to be nil,’ said Sam Bullard, senior economist at Wells Fargo Securities.” (MarketWatch)
Toll Bros. Unit Creates $400M Funding Venture for Builders, Developers “Toll Bros. Inc. said Monday that its Gibraltar Capital and Asset Management subsidiary had created a venture with a ‘large institutional investor’ to provide builders and developers with land banking and joint-venture capital. The venture will finance builders’ and developers’ acquisition and development of land and home sites, and “pursue other complementary opportunistic investment strategies,” the Horsham-based luxury-home builder said.” (Philly.com)
J.P. Morgan Asset Management Appoints Managing Director for Real Estate Unit “George Ahl was named a managing director and client portfolio manager within the global real assets division of J.P. Morgan Asset Management (JPM), said spokeswoman Kristen Chambers. The position is new. Mr. Ahl will be responsible for raising capital and advising clients for the firm’s real estate Americas investment platform, which has more than $60 billion in assets under management and 220 professionals. He will be based in New York and report to Alexia Gottschalch.” (Pensions & Investments)
Buy a Condo, Get a Private Jet: Luxe Amenities Reach New Height “Once upon a time, rooftop pools, climbing walls, pet-washing stations, and golf simulation rooms were amenities that would genuinely help sell a high-end condo. In the hope that buyers have not become completely immune to fancy treats, a new development in Sunny Isles Beach, Fla., is offering something so over the top that it’s actually in the sky. With every purchase of a condo at the 61-unit Aurora, owners get a one-year membership to JetSmarter. The company lets users charter private jets in 170 countries.” (Bloomberg)
I’m Pumped Up About This Gas-Station REIT “I wrote recently that orange grower Alico looks like a good under-the-radar real estate play, and here’s another one — Getty Realty, the largest U.S. real estate investment trust that focuses on gas stations and convenience stores. Getty owns some compelling assets: roughly 850 properties in 23 states and the District of Columbia, with the highest concentration in New York, Massachusetts, Connecticut, New Jersey, New Hampshire, Virginia and Maryland. The firm leases these properties (along with another 98 that it rents from other land owners) to service stations and the like.” (The Street)
Dalfen Increases Ohio Presence with Acquisition of 23-Building Industrial Portfolio “Dalfen America Corp. of Dallas announced it has acquired an industrial real estate portfolio comprised of 23 buildings located in the Cincinnati, Columbus and Cleveland metropolitan markets. The financial terms of the transaction were not disclosed. Michael Caprile and Ted Staszak of CBRE’s Chicago office represented the seller in the transaction. The Ohio light industrial portfolio encompasses 2,077,743 square feet and includes 6.5 acres of land for future development.” (Commercial Property Executive)
Closing Time for Sport Chalet as Parent Company Declares Chapter 11 “Angeles-based Sport Chalet has initiated going out of business sales at its 47 stores and closed down its online operation. On Monday, Vestis Retail Group LLC, which operates Sport Chalet along with Eastern Mountain Sports and Bob’s Stores, filed for Chapter 11 bankruptcy protection. The filing was not unexpected and follows in the wake of Sports Authority’s Chapter 11 filing in March.” (Chain Store Age)
Monsanto Planning $975M Manufacturing Complex Expansion “Monsanto is expanding its manufacturing complex in Luling, La., with a planned $975 million capital investment over the next three years in its St. Charles Parish operations. The investment will enable Monsanto to support the launch of its Roundup Ready Xtend Crop System. When completed in early 2019, the Louisiana expansion project will create 95 new direct jobs.” (Commercial Property Executive)
Brooklyn Hospital Center Nears $100 Million Deal to Sell a Campus Building “The Brooklyn Hospital Center is closing in on a deal to sell a large medical building on its campus next to Fort Greene Park for more than $100 million. Bids for the 21-story property at 240 Willoughby St. were due late last week, with offers coming in as high as $115 million, according to a source. Bob Knakal, Cushman & Wakefield’s chairman of investment sales who is handling the auction of the property for the hospital, did not comment.” (Crain’s New York Business)
Look Inside Lululemon’s Ultra-Sleek ‘Concept’ Store “Lululemon has a keen eye on what’s next. And it has opened a new storein New York City’s trendy NoHo neighborhood, one unlike any of the other 363 existing locations. The apparel retailer this spring debuted a store called ‘The Lululemon Lab’ in the upscale NoHo neighborhood of Manhattan. The 2,893 square foot store is unique because it is split between retail boutique floor space and a studio where 15 designers and pattern makers are actually working live.” (Fortune)