REITs: Is Liquid Real Estate the Solution for the Late Cycle? – Part 1

Real estate is traditionally associated with large capital expenditures and not a high amount of liquidity. Hence, the sector is usually reserved for long-term investments by high net worth individuals. Even more so, commercial use buildings are out of reach for most private individual’s pockets, making developers and other large entities to be the only […]

Italian NPL market: a goldmine for Credit funds?

Introduction – NPL definition The term NPL stands for “nonperforming loans” and it is about loans whose collection by banks has become uncertain, not only for the total repayment but also for the interest portion. Non-performing loans are generally the result of an adverse economic situation, but often also of an inefficient credit assessment by […]

The king of Logistics Real Estate expands his kingdom: Prologis acquires Liberty Trust for $12.6bn

Prologis Inc [PLD:NYSE] – Mkt cap as of 09/11/19: $55.01bn Liberty Property Trust [LPT:NYSE] – Mkt cap as of 09/11/19: $9.26bn Introduction The boom of e-commerce is rapidly pushing up demand for industrial real estate and thus driving warehouse giants to new pursuits. Accordingly, Prologis – the world’s leader in logistics real estate – has […]

Dreaming of Yield: Blackstone solidifies its real estate portfolio through $4.7bn Dream Global REIT acquisition

Blackstone Group Inc. (NYSE:BX) – market cap as of 16/09/2019: $63.96bn Dream Global Real Estate Investment Trust (TSE:DRG.UN) – market cap as of 16/09/2019: $3.22bn Intro On September 15, Dream Global Real Estate Investment Trust announced acquisition agreements with affiliates of real estate funds manager, Blackstone, in an all-cash $4.7bn deal. Blackstone will pay $16.79 […]

The Logic of Investing in Logistics

In this article we are going to discuss the increasing importance of logistics real estate and the trends that affected the sector in Europe. We will then explain the main drivers of demand and supply for logistic properties and how these are likely to change in the future years. Finally, after having analyzed the pros […]

Can Next Crisis Come from Canada?

The current bull market has been continuing (with certain fallbacks) for around ten years. This has left people questioning when and, more precisely, where will the next crisis come from. In search of a potential contagion, we had our attention drawn to Canada, a seemingly safe economy which had emerged out of the 2008 crisis […]

Touch a stone and turn it into gold – Real Estate in a nutshell

What is real estate Real estate is a physical ‘bricks and mortar’ investment, where income and value are driven by rents that are paid by tenants under contractually-binding leases. Its subsectors include office, retail, multifamily, industrial, self-storage and hospitality. The main sources of real asset cash flows are derived from rents determined by the leases […]

Cerberus buys major share in BBVA’s real estate assets riding the wave of the Spanish roaring housing market

Banco Bilbao Vizcaya Argentaria S.A. (BBVA:MCE) – market cap as of 1/12/2017: €47.17bn Introduction On November 29, 2017, it was announced that BBVA had sold to the American fund Cerberus the bulk of its real estate business in Spain. Through this operation, the Spanish bank will reduce by 70% its gross property exposure, which currently […]

Emaar lists through an IPO 20% of Emaar Development for $1.5bn

Emaar Development PJSC (EMAARDEV:DFM) – market cap as of 24/11/2017: $6.26bn (AED 23bn) Introduction On November 22, 2017, Emaar Properties sold on the DFM (i.e. Dubai Financial Market) 20% of the shares of its domestic development arm in an Initial Public Offering, at $1.64 per share. Emaar capitalisation at listing was c. $6.56bn with 800m […]

Hong Kong warns: Li Ka-shing sells The Center in US$5.15bn record deal to trim his HK’s assets

CK Asset Holdings Ltd (1113:HK) – market cap as of 05/11/2017: HK$246.07bn Introduction On November 1, 2017, CK Asset Holdings announced an agreement to sell the skyscraper located in Central (Hong Kong) known as “The Center” to C.H.M.T. Peaceful Development Asia Property for a total transaction value of HK$40,2bn ($5.15bn). The sale of The Center, […]

The Effects of E-Commerce on Shopping Malls and on the Consumer Retail Sector – a US Case Study

  Introduction This article will focus on the disruptive effects that e-commerce has on both the real estate and consumer retail sector. Subsequently, the paper will address Amazon and Walmart, as the former represents the incumbent driving this transition and the latter represents one of the main players being affected by the advent of online […]

Oaktree’s Countryside Properties finds its home on LSE, valued at £1.01bn at IPO

Oaktree Capital; market cap as of 04/03/2016: $7.33bn (£5.15bn) Countryside Properties plc.; market cap as of 04/03/2016: £ 1.01bn Introduction On 14 January, 2016, Countryside Properties plc. (Countryside), UK-based real estate developer controlled by private equity firm Oaktree Capital Management, L.P. (Oaktree),announced its intention to proceed with an initial public offering. On 12 February, 2016 […]

Blackstone snatches a “cheap” REIT opportunity

Blackstone Group LP; market cap (as of 10/10/15): $39.6bn BioMed Realty Trust Inc; market cap (as of 10/10/15): $4.8bn   The Deal in Brief On Thursday Blackstone Group LP agreed to buy landlord BioMed Realty Trust Inc, a supplier of office space to healthcare and biotech companies. This represents an important addition to the, already […]

“Wanna Play Big: Scale Up!” – Starwood Waypoint Residential Trust to Acquire Colony American Homes

Starwood Waypoint Residential Trust; market cap (as of 26/09/2015): $953.73m Colony American Homes; market cap (as of 26/09/2015): N.A. Introduction On September 21 Starwood Waypoint Residential Trust (NYSE: SWAY) and Colony American Homes (CAH), two of the largest U.S. single-family home landlords, agreed on the merger in an all-stock deal that would create a real […]

When “The best investment on earth is Earth”: PE and SWF bet on Real Estate

Prologis Inc.; market cap (as of 24/04/2015): $22.18bn Introduction On April 19th Prologis Inc., global leader in industrial real estate, announced its intentions to buy the real estate assets and operating platform of KTR Capital Partners (KTR), a real estate focused private equity company, for a total purchase price of $5.9bn.   About Prologis With […]

1 2