Commercial Real Estate Finance

Week in Review for December 1 – 7:

- Major institutional investors such as Blackstone (NYSE: BX) and Colony Financial (NYSE: CLNY) are raising hundreds of millions of dollars to acquire enormous single-family portfolios, reports CoStar Group. However, analysts warn that this strategy–creating investment platforms to acquire distressed homes in bulk and convert them to rentals–is unproven.

- The Charre Group, a small group of real estate investors and advisers focused on South Florida’s hospitality market, brings its expertise in Miami’s high-barrier-to-entry hotel market to CBRE (NYSE: CBG) by joining its hotels division.

- Liam Brown of Marriott International reports that it is difficult for any but the largest hotel brands to obtain financing for new-build hospitality projects. For new developments, LEED-certification and other sustainability measures are increasingly desirable, Mr. Brown says, though they often complicate the development process.

- Los Angeles International Airport announces the launch of a major shopping hub in its Tom Bradley International Terminal. Retail operator Westfield and its partners are introducing more than 60 high-end dining and retail options in the terminal. This project is part of “LAneXt,” a $4.1-billion series of renovations and updates for LAX. Stores planned for this terminal include Coach, Bvlgari, and Michael Kors.

- Singapore’s Global Logistics Properties Ltd., an international warehouse operator, plans an IPO of its GLP J-REIT. The REIT is expected to become Japan’s largest public REIT focused on warehouse properties, and its IPO may raise up to 111 billion yen ($1.4 billion).

- The media works dilligently to stir up panic and headlines over America’s looming “fiscal cliff” and its dire implications for the U.S. and global economies.

- Lehman Brothers’ $16 billion sale of apartment firm Archstone to multifamily REITs Equity Residential (NYSE: EQR) and AvalonBay (NYSE: AVB) renews interest in multifamily real estate stocks.

 - Dermody Properties begins construction of a new distribution center for Albert’s Organics in Logan, New Jersey. The developer plans to complete the 70,000 SF distribution facility by April, but will leave its tenant the opportunity to further expand the facility, reports Philadelphia Business Journal.

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