James Wigginton’s Post

Institutional investors are jumping back into the market! Stabilizing supply dynamics and continued demand for multifamily housing is providing support for future rent growth. This week, KKR solidified its bet that trend will continue with its $2.1 billion portfolio acquisition of over 5,200 apartments in markets nationwide. With institutional multifamily pricing down about 20% from its peak nearly 2 years ago, could this acquisition and others recently completed by private equity backers be a sign the institutional investment market more broadly is seeing a bottom in multifamily pricing? Private client multifamily has seen a similar decrease in value over the last 2 years but has enjoyed a pick-up in investment activity YTD, with investors lured in by various factors. Many times, this includes an attractive cost basis, potentially lower than replacement cost. Time will tell if wagers by these early movers pay off, but with stabilizing costs of capital, additional clarity looking forward, and the big fish beginning to bite, we could be in for a years-long bull market. What do you think? Looking at any potential investments yourself? Send me a message . I'll be happy to offer any insights CBRE has available to help you make the best investment decision you can. #SoCalPrivateClientLending #AgencyLending #FreddieMac #FannieMae #Multifamily #MultifamilyInvesting #MultifamilyRealEstate #MultifamilyFinance #CommercialRealEstate #CommercialRealEstateFinance #PrivateClient #PrivateClientLending #CRE #CREF #CREFinance #CBRE #CapitalMarkets #Debt #Finance #InvestmentProperty #1031Exchange #Refinance #Acquisitions #Loans #LoanOptions #MortgageBroker #MortgageBanking #CMBS #BankLending #DebtFunds #LosAngelesRealEstate #LARealEstate #CaliforniaRealEstate #CARealEstate #OrangeCountyRealEstate #OCRealEstate #SanDiegoRealEstate

Just saw that 42% of respondents to an RSM UK survey believe private equity will be the main source of investment into the real estate sector over the next 12 months, so it feels particularly timely to look at what's happening in residential real estate and which firms are buying up assets.

KKR has completed its largest-ever purchase of apartment buildings, the latest in a string of big-ticket deals, signaling that some of the most prominent investment firms are betting on a broad rebound for multifamily housing. Do you think a Multifamily real estate boom is on the horizon? #multifamilyrealestate #privateequity #reapcap #realestateinvesting

🏠 𝐀 𝐍𝐞𝐰 𝐌𝐢𝐥𝐞𝐬𝐭𝐨𝐧𝐞 𝐟𝐨𝐫 𝐭𝐡𝐞 𝐀𝐩𝐚𝐫𝐭𝐦𝐞𝐧𝐭 𝐈𝐧𝐝𝐮𝐬𝐭𝐫𝐲? 🏠 KKR’s recent agreement to purchase $2 billion of apartments from Lennar, following Blackstone’s $10 billion deal for AIRC, indicates a new benchmark for high-quality apartments at cap rates between 5% and 5.5%. Key Takeaways: 𝟏. 𝐑𝐮𝐧𝐧𝐢𝐧𝐠 𝐎𝐮𝐭 𝐨𝐟 𝐑𝐮𝐧𝐰𝐚𝐲: Many buyers acquired apartments at lower cap rates during the Covid rebound. With sluggish rents and higher operating expenses, these properties are now struggling, especially those with floating rate debt. 𝟐. 𝐋𝐚𝐬𝐭 𝐨𝐧𝐞𝐬 𝐬𝐭𝐚𝐧𝐝𝐢𝐧𝐠: Buyers who have avoided excessive floating rate debt are re-entering the market and are less burdened by immediate financial pressures. These transactions highlight a positive shift in the industry. Apartments remain the most financeable assets in commercial real estate, providing pricing clarity and opportunities for well-capitalized buyers. 🚗 𝐖𝐡𝐲 𝐈𝐧𝐯𝐞𝐬𝐭 𝐢𝐧 𝐇𝐢𝐠𝐡 𝐂𝐚𝐬𝐡-𝐅𝐥𝐨𝐰𝐢𝐧𝐠 𝐀𝐬𝐬𝐞𝐭𝐬 𝐋𝐢𝐤𝐞 𝐂𝐚𝐫 𝐖𝐚𝐬𝐡𝐞𝐬? 🚗 Car washes offer high cash flow returns and resilience, especially during economic downturns. Unlike traditional assets, they provide early and robust returns, making them an attractive investment in the current market environment. #RealEstate #Investment #MarketTrends #CashFlow #CarWashInvestments

https://lnkd.in/grbJwEJb A house in Sydney's East? Why not buy a small-cap ... Small caps 5h ago Martin Pretty from Equitable Investments discussed a comparison between investing in property and directing funds towards the stock market. For instance, Martin suggests that with a similar amount to buying an overpriced house in Sydney's most exclusive suburb, one could buy one of around 80 companies on the ASX at their enterprise value of $10 million or less. The focus is on companies that have devalued significantly, citing an average 84% decline across these businesses over the last three years.

Hall Jacob's Institutional Programmatic Equity Sources are actively seeking high-quality opportunities throughout the US. They offer single check sizes ranging from $2M to $45M, comprised of Participating Preferred or LP, with Co-GP and JV single checks potentially being substantially larger. Their product focus includes MF/MF Mixed Use, Garden Style or Infill, Build to Rent SFR/Townhomes, Self Storage, Luxury Hospitality, and Retail. Investments encompass both new construction and value-add projects. For new construction, projects must be near the "moving dirt" stage, though exceptions for Co-GP and JV at the pre-development stage are possible. They provide Participating Preferred up to 80% of equity above senior, LP up to 90% of equity above senior, and Co-GP and JV up to 99% of equity above senior, with the fund acting as guarantor on senior if necessary. HJ places debt, mezzanine, preferred, LP-GP, and JV capital. To begin the process, schedule an introduction call. Bruce@hj2day.com

Great strategy for long term real estate investing……

This is the visual representation of an airspace development opportunity – an empty canvas ready to be transformed.

Why is Scentre group the only Australian opportunity that appeals to Quay Global Investors?   Read Justin Blaess’ interview with Joanne Tran from the The Australian Financial Review on recent earnings results, stocks to watch and how the current investment environment is impacting property stocks. #stockstowatch #investment #earnings #property

I wrote an article in the Journal of Corporate Renewal on what distressed investing opportunities look like in the current environment and how this should shape the way investors look at deals. #distressed #investment #realestateinvestment #bankruptcy