Archive for August, 2011

Green Street vs. Moody’s CPPI: What’s reality?

Thursday, August 25th, 2011

Green Street Advisors recently published the July results of their Commercial Property Price Index (CPPI). The Green Street Advisors Commercial Property Price Index (GSA CPPI) remained unchanged in July. Properties have increased in value by more than 45% from the '09 trough, which means that three-quarters of the decline that ... More

REO Monitor: Glen Town Center, Chicago, IL

Wednesday, August 24th, 2011

After being unable to come to terms to restructure the $41 million loan on the property, "San Diego-based developer OliverMcMillan and a loan servicer are 'negotiating the terms of a cooperative sale" of the 267,000-square-foot retail property, according to a report on ChicagoRealEstateDaily.com. If the two sides reach an agreement, it’s ... More

Moody’s: CPPI rose 0.9 percent in June

Tuesday, August 23rd, 2011

Moody's/REAL Commercial Property Price Index rose 0.9% in June, after jumping 6.6% in May. Three of the four Moody's property type indices showed prices gains in the second quarter: office space with a 8.9% gain; industrial 2.5%; and apartments 0.6%. The retail index faltered a bit, dropping 0.3% over the last ... More

Andrew Farkas, Vertical Integration and Fees

Saturday, August 20th, 2011

In the late 90s and early 2000s, Andrew Farkas slowly liquidated much of his real estate empire he had built over the previous decade. According to his personal website: Mr. Farkas founded Insignia in 1990 with $5 million in equity. By 1998, Insignia had become the largest owner and operator of ... More

REO Monitor: MetroWest, Naperville, IL

Friday, August 12th, 2011

Bixby Bridge Capital and Franklin Partners have joined forces to acquire 55 Shuman Boulevard, according to a report on ChicagoRealEstateDaily.com. A joint venture between Oak Brook-based Franklin Partners LLC and Northbrook-based Bixby Bridge Capital LLC has taken over MetroWest, a 205,000-square-foot building along the East-West Tollway known for its N-shaped sloping ... More

Commercial Real Estate Liquidity Improves

Monday, August 8th, 2011

One of the most interesting indices we follow is the Transactions-Based Index (TBI). In order to calculate this index, MIT's Center for Real Estate uses data collected from the NCREIF Index database. While it does have its own price index, one of the more unique measurements this analysis includes is ... More

Moody’s/REAL CPPI vs. MSCI REIT Index

Tuesday, August 2nd, 2011

As Moody's continues to compare their overall CPPI to a non-distressed, 6-city trophy index, it made me wonder how the overall performance of the MSCI REIT Index compared to Moody's/REAL CPPI. Then, it occurred to me to consider Green Street's Commercial Property Price Index, too. Note: All indices are indexed to ... More