Brian Fielding of Fielding investments offers the latest information on the commercial real estate market.Navigation
DebtX, the largest marketplace for loans, said today that prices of commercial real estate loans underlying the CMBS universe declined modestly in August.
“CMBS loan prices fell slightly in August, due mostly to a slight upward shift in the treasury yield curve,” said DebtX Managing Director Will Mercer. “A sizeable increase in August spreads also contributed to the decline in prices. However, we are still seeing price gains on a year-over-year basis.”
As of the end of August, DebtX had priced $872 billion in commercial real estate loans that collateralize U.S. CMBS trusts. The estimated price of whole loans securing this universe decreased to 98.2% at the end of August compared to 99.1% at the end of July. Prices were 96% in August 2014.
Median adjusted loan-to-value remained at 57% in August and the median debt service coverage ratio remained at 1.45. The median estimated loan yield also held at 4.3%.
DebtX provides third-party loan valuation services for both public and private clients, as well as analytics and data based on over a decade of secondary market loan sales at DebtX.
To learn more about DebtX’s suite of valuation, data and analytics products, call 617.531.3429. For information about loan sale advisory services, call 617.531.3400.
DebtX operates the world’s most liquid marketplace for loans. Through its loan sale advisory, DebtX maximizes loan sale proceeds for financial institutions and government agencies. DebtX also provides loan valuation, analytics and market data for regulatory and audit purposes.
Original article: http://www.prnewswire.com/news-releases/debtx-cmbs-loan-prices-declined-slightly-in-august-300151076.htmlRead More
Of course, Detroit’s redevelopment momentum has had challenges. The city’s bankruptcy filing in 2013 unleashed a new wave of negative publicity, although some people saw it as a positive development, evidence of a government finally tackling its troubles. Also, Detroit had been depressed and losing population for so long that many banks would not consider financing any speculative real estate endeavor in the city. As a result, most adaptive use projects have had to cobble together a patchwork of financing, including city incentives and loans, federal loan guarantees, various government tax credits, private angel investors, plus collateral such as pledges against existing businesses or homes.
“We couldn’t attract traditional forms of capital without finding myriad other subsidies to make the projects pencil out,” says Malik Goodwin, a former Detroit Economic Growth Corporation vice president and now a real estate development consultant. “We had to be highly innovative.”
In terms of land mass, Detroit is a small city; of the 24 U.S. municipalities with at least 600,000 residents, Detroit is the fourth smallest, at 139 square miles (360 sq km). And the city’s hottest corridors for redevelopment cover a sliver of that small land mass, just 7.2 square miles (19 sq km). This encompasses the traditional downtown along with adjoining neighborhood districts such as Midtown, Corktown, and Woodbridge. “The 7.2,” as it is called, houses the major institutions and attractions in the city, from sports stadiums to Wayne State University, from clusters of art galleries to collections of architecturally significant buildings, and that is where market rates have the best potential to support investment.
Within this “greater downtown” area, 3,012 new or renovated housing units were developed from 2010 to 2014, an increase of roughly 16 percent, according to a 2015 downtown trends report prepared by the Hudson-Webber Foundation, an institution dedicated to improving the vitality and quality of life in Detroit. Similarly, the report noted a 13 percent jump in retail establishments in that area from 2013 to early 2015.
Significant new projects, especially adaptive uses, seem to be unveiled every few weeks. In a span of several weeks earlier this year, for example, Detroit officials announced a deal with developers to convert the graffiti-covered Brewster-Wheeler Recreation Center, where boxing great Joe Louis once trained, into a restaurant and new community center, and a team of developers including basketball great Earvin “Magic” Johnson announced a mixed-use redevelopment that incorporates some of the historic buildings at the old Michigan State Fairgrounds.
Such adaptive use projects offer a multitude of benefits. According to a forthcoming review of adaptive use literature prepared by Wayne State University urban planning professors and funded by U-Haul, projects tend to mitigate blight, increase surrounding property values, and reduce greenhouse gases associated with demolition and new construction. Moreover, the report pointed out that “there is a modest but growing body of evidence that ROI [return on investment] from adaptive use is generally higher than ROI for new construction” because of higher occupancy rates and rents, plus the underestimated value of goodwill.
Certainly, Detroit’s recent experience appears to demonstrate this, too. Three projects in particular offer some lessons in how to make adaptive use work.
Original article: http://urbanland.uli.org/economy-markets-trends/adaptive-use-reinventing-detroit/Read More
Many Americans each year hope to spend some of their extra earnings towards helping a good cause. Even the smallest donation can help a good cause, but those who want to make sure their money actually makes a difference should keep a few things in mind before pulling out their checkbook. Brian Fielding, a real estate expert whose job description is to offer advice to his clients about important life decisions and help guide them during a difficult process, knows there are some things to look for or to consider before making a charitable contribution, and here are a few of his best tips.
One of the first and most important things someone should consider before donating to a specific charity is determining which cause they are passionate about. Brian Fielding recommends looking for something close to the community you call home, since it could make an impact locally or perhaps to benefit someone you know needs help.
But there are also a variety of national organizations out there too, and sometimes a certain somethings speaks to someone. You might even find out about a certain cause you hope to make a donation to by seeing information on social networking or hearing about them through a relative or family friend. Before giving away your hard-earned money, it’s important to find out as much as possible about the charity itself. Doing some simple research online should offer more enlightenment about how the money is spent after donations. Some places might claim to be a non-profit organization, but in the end will keep more money to pay their employees rather than funding programs or benefitting the actual cause it should. Once armed with this information, Brian Fielding knows more Americans than ever should be able to distinguish which charities out there will provide assistance and help for those who need it most.Read More
Brian Fielding Charities recently established a blog to help promote charities and non-profit organizations that assist children.
Brianfieldingcharities.com will serve as an online venue on which these organizations can share their events, achievements and requests for assistance. The goal, Brian Fielding said, is make the site the go-to place on the Web for the latest in charity news and calls to action.
While there are many charities, both large and small, that help children around the world with a variety of issues, that don’t all get equal recognition or press, said Brian Fielding. The idea of using brianfieldingcharities.com to give a voice to smaller children’s charities came to him when he began supporting Amigos de los Ninos, a non-profit organization that provides healthcare to children whose families lack sufficient funds. He realized that not many people had heard of them, even with their own website.
To change that, Brian Fielding has made his charity site a central location for important but low-profile charities to promote their causes and share their stories. The blog on the current website will soon include articles on other children’s charities and their activities. These charity organizations may submit their own articles and events for consideration. On top of that, Brian Fielding plans to feature an Our Charity Partners page on the website. It will showcase the charities that request promotion and submit material for posting.
“I believe giving to charity is not just for the rich,” Brian Fielding said. “Helping others is just part of basic human decency, and each person should give at the level they can afford.”
A commercial real estate industry veteran, Brian Fielding helps worldwide charities through donations and promotion on various online platforms, including his site brianfieldingcharities.com. His goal is to inform the world that these charities are out there by creating conversations about their efforts; in turn, he hopes this will encourage others to give their time and money to these causes.Read More
Brian Fielding of Fielding Investments has been in the commercial real estate industry for over 40 years. His experience is truly invaluable in an industry where having gone through the process of acquiring and managing a commercial real estate property is one of the biggest advantages to have. However, there are some tips that Brian Fielding and Fielding Investments are sharing that are likely to help those with little or even a lot of experience in the industry.
Have adequate protection.
Something that many investors have oversight on is the level of protection that they attain for their properties and themselves. Lawsuits can and do happen, so it is important to protect oneself from a broad spectrum of potential negative situations. Always ask oneself what’s at stake to be lost, and how can it be protected. Mr. Fielding suggests that new investors establish a working relationship with both an attorney and an insurance broker who demonstrate special competence in commercial real estate transactions.
Learn from someone who has already been there.
Brian Fielding knows that most commercial real estate investors do not have 40 years of experience in the industry, which is why he advises that inexperienced buyers acquire a mentor. Mentors can help investors in ways like pointing out their own mistakes, relating how they overcame obstacles and more valuable information that will put the investor at an advantage.
Invest to make a profit.
Oftentimes, investors will get overzealous and start acquiring a large number of properties. However, without the right attention to detail and calculating of operating expenses, etc., these properties can quickly become a drain on finances. Brian Fielding shares that acquiring properties too quickly can cause the investor to miss those flaws that would be found by careful diligence by qualified engineers and contractors. He always suggests that investors build their portfolio slowly, allowing for successes to breed future successes.
Home in on one type of real estate.
While it is tempting for one to pursue a wide variety of commercial properties, most successful investors tend to limit themselves to investments that best coincide with their unique knowledge. It is very difficult to become an expert in multi-housing, retail, office, land development, trailer parks, etc. Mr. Fielding suggests that it is much better to be a master at one area of expertise than a tinkerer in many.
Know that money will need to be spent.
It is naïve to think that an investment property will maintain its good condition over an extended period of time. One must budget for regular maintenance and for replacement of critical elements to any asset. Put aside money sufficient to replace roofs every 15 -25 years (depending upon the environment and quality of the roofing materials used), HVAC systems every 10 – 15 years, and to handle structural and grounds (such as pavement) to ensure that the asset remains inviting to existing and future tenants. Also, include in the budget preventative maintenance activities that will ensure investors get the full life out of the improvements. A few dollars well spent each year can save substantial monies over the term of one’s ownership.
For more information about commercial real estate investment and for answers to some of the most common inquiries that Fielding Investments receives, contact Brian Fielding at http://brianfielding.com.Read More
Brian Fielding of Fielding Investments knows that multifamily properties are one of the most coveted investments in the commercial real estate industry today. In fact, investors have been projected to purchase even more apartment properties in the coming year. With the real estate market booming, it is no wonder that these properties are doing so well.
Citing a recent article from the National Real Estate Investor, Brian Fielding of Fielding Investments reveals that $73.5 billion worth of apartment properties were purchased in the first three quarters of 2014. Because the last quarter of the year is usually the one where the most property is purchased, projections are that it will be a record-breaking year for commercial real estate investment in this sector of the industry. In total, $105.4 billion was invested in apartment properties in 2013, and Brian Fielding expects that the end of 2015 will surpass this number.
Brian Fielding of Fielding Investments reveals that commercial real estate investors are always looking for new and creative ways to invest their money. Because there are so many different types of properties to focus on, there are big deals to be made and huge returns to gain profits on. It is important to note that while most investments were being done on the coastal areas (both East and West), investors have now looked towards the heart of the United States by investing large amounts of money in Denver, Houston and Phoenix as well.
There are also many secondary markets that are experiencing a boom as well, including the areas of Philadelphia, Portland and Orange County where investors may not traditionally think of purchasing property. Brian Fielding of Fielding Investments shares that these areas have enjoyed a huge boom of growth, with sales of apartment properties having doubled in volume from last year.
With the demand for apartments stronger than ever before, and a younger generation that is weary to purchase homes or settle down for an extended period of time, now is one of the best times to invest in a multifamily property. Rents are growing, more projects are being constructed, and the amount of occupied apartments is on the rise.
For more information about this type of commercial real estate investment and for tips on how to purchase a multifamily property, contact real estate advisor Brian Fielding of Fielding Investments at http://brianfielding.com.Read More
Brian Fielding, an expert mind in the world of commercialreal estate, has long supported investors in their considerations of commercial real estate purchases. Whether an individual is investing in a commercial space for their own company, to rent out to tenants, or to fit both purposes, there are a number of advantages to owning such a property. However, there are also many responsibilities, especially in situations where there are tenants involved. For those who have made a real estate purchase, or who are looking at a possible property to invest in, Mr. Fielding would like to offer some advice on steps that every real estate investor must consider after making a purchase.
Whenever a property owner is trying to lease a space, they must make sure there have been no changes to the zoning laws of their property.
While it is still early in the year, owners should make their plans and consider when annual fixes will be performed.
Brian Fielding believes that those who make commercialreal estate purchases should also be sure that they are maintaining their properties correctly. This advice will help owners take the reins and manage their properties well this coming year to make sure that they can continue to see their investment be prosperous.Read More