The Federal Reserve Open Market Committee announced some significant changes in monetary policy: a faster tapering of bond purchases and the possibility of as many as three rate hikes in 2022. The reasons are concern about inflation, which has been more dogged than the institution had expected, and an improved job landscape. The question [...]
As the bipartisan infrastructure bill awaits President Joe Biden’s signature to become law, the commercial real estate industry awaits the effects of $550B in new spending. It could be waiting a long time. The nature of infrastructure projects is long-term — doubly so for the transformational projects the bill is supposed to make possible. [...]
Global Supply-Chain Problems Escalate, Threatening Economic Recovery Component shortages, surging prices of raw materials and transportation backups compound the bottlenecks Global supply-chain bottlenecks are feeding on one another, with shortages of components and surging prices of critical raw materials squeezing manufacturers around the world. The supply shocks are already showing signs of choking off the [...]
The Ports of Los Angeles and Long Beach — together, the nation’s busiest — continue to experience record volumes, leading to double-take-worthy industrial fundamentals nearby. The Port of LA reported that between June 2020 and June 2021, it broke eight monthly records and experienced the top four individual months in its 114-year history. Import volumes [...]
President Biden is expected to release shortly a 2022 federal budget, which will include the President’s proposed tax law changes. With the Democrats currently controlling both houses of Congress, new proposed tax legislation is anticipated to be introduced by the Biden administration into Congress in the fall of 2021. To facilitate the enactment of [...]
The United States’ top port for containerized imports from Asia reported its best February on record as the nation’s economy continues to bounce back from the pandemic. The Port of Los Angeles said it processed 799,315 Twenty-Foot Equivalent Units (TEUs) last month for a 47% jump compared to February 2020 when the world was [...]
Most real estate investors feel strongly that 1031 exchanges remain a target for repeal or limitation. President Joe Biden’s election has renewed the discussion as to whether 1031 tax deferred exchanges are once again in danger of being repealed or modified to limit its tax benefits. Most supporters of 1031 exchanges expound on its [...]
Sale-leasebacks are continuing their meteoric rise in the M&A world, and private equity firms that aren’t yet taking advantage of these arrangements “could be leaving money on the table,” according to a new survey by the Association for Corporate Growth. J.C. Penney is perhaps one of the most prominent examples of a high-profile company [...]
Market conditions for the Los Angeles industrial market have weakened as a result of the pandemic, like most other markets across the nation and property types in L.A. Market vacancy has visibly risen from its most recent low in late 2019. Average asking rents continue to advance, but the pace of gains has trended [...]
