Borrowers Look for Safe Haven - 03/30/09 10:53 PM
Browsing through the March/April issue of Apartment Finance Today, an article written by Jerry Ascierto seemed worth passing on to you. Multifamily lenders, going through mass consolidation, have left borrowers looking for safety and have found Freddie Mac and Fanny Mae to be their safe havens.
GSE’s (government sponsored agencies) are providing liquidity while lenders scramble to right themselves. “Freddie and Fannie gained more market share in 2008 than they have ever had in the past,” says John Cannon, head of agency lending at Capmark Finance. “And our FHA pipeline has never been higher.”
To read this article in its entirety … (0 comments)

Cap and Trade Programs - 03/30/09 10:29 PM
In looking over the Affordable Housing News magazine recently, I spied an article written by Jerry Ascierto in the Housing Finance News section on Cap and Trade Programs.
Many countries already use such systems (from the Kyoto Treaty days). What they do is give credits or permits depending how much carbon emissions are emitted in a year. Last month, President Obama called for these same systems to be implemented here. Proceeds gained might be used for energy efficiency in existing multifamily properties.
“We need to make sure that there’s financing available to do retrofits, to really drive deeper energy efficiency in … (0 comments)

Top Off Your Investment - 03/30/09 08:57 PM
Jennifer Popovec from the November 1, 2008 Multifamily Executive Magazine once again has delivered an interesting and informative article, this time on rooftop choices. Depending on your budget and style preferences, you have some new and fascinating picks, such as EnergySmart Roof membranes from Sika Sarnafil which help reduce the heat island effect for buildings with flat roofs. These highly reflective membranes minimize heat gain and are appropriate for adhered systems and long term exposure to the elements.
One of the biggest investments multifamily owners and developers face are roofs and they have a big impact on the look of the … (0 comments)

Renting vs. Buying Controversy - 03/24/09 10:25 PM
Still leafing though magazines from earlier this year, I found a article I felt was worthy of sharing with you. This just in from Chris Wood in the Multifamily Executive Magazine, January 1, 2009.
A renting vs buying analysis was recently done and released last fall by the Washington, D.C.-based Center for Economic and Policy Research (CEPR). Said analysis sadly projects that “homeowners in 32 of the country's 100 largest metro areas will likely accrue negative equity until the year 2012”. This study, The Changing Prospects for Building Home Equity: An Updated Analysis of Rents and Price of Housing in 100 … (0 comments)

Faux Wood Flooring - Smart Bet for Apartment Properties - 03/24/09 09:41 PM
Still another great article in the December 1, 2008 issue of Multifamily Executive Magazine, this one written by Jennifer Popovec. Multi-family developers and owners are now looking to laminate, vinyl tiles and vinyl plank flooring for a more contemporary and practical installation. Hardwood, the traditional flooring for single-family dwellings, while not practical for most multi-family properties, is also expensive. Faux wood flooring provides cost-savings and convenience. Not only do they make a beautiful statement in apartment and condominium interiors, they also are appropriate for clubhouse and other common areas in multi-family communities.
"We're seeing less carpet and more hard surfaces for … (0 comments)

San Francisco Commercial Properties Still Hot - 03/24/09 09:21 PM
Just wanted to share some timely information from an article I read by Marcus & Millichap in last December's Multifamily Executive Magazine. As it turns out, our very own San Francisco has sustained investor interest, despite the current economy.
Why? Well, since San Fran is one of the most densely populated cities in the country, with a population of 764,976 as of 2007, that makes it the 4th most populous city in CA and the 14th most populous city in the US, reports Marcus & Millichap. This means apartment fundamentals continue to perform here, even with the home market dwindling. With … (0 comments)

Waste Not - Owners Save with Water-efficient Retrofits - 03/20/09 10:47 PM
In reading through the Multifamily Executive Magazine, March 1, 2009 edition, I spotted an article by Jennifer Popovec that caught my eye. It’s a great article highlighting everything from low-flow showerheads, water-efficient fixtures in the kitchens and bathrooms to touchless and trough faucets.
As any multi-family owner or manager knows, it is becoming more and more difficult to preserve rents and maintain net operating income. Still, they also need to be even more diligent about finding ways to reduce costs. Certainly the area of water is one way – an a big one at that – to reduce overhead costs, which, … (1 comments)

Multi-family Defaults Triple - 03/20/09 05:10 PM
 Just saw an interesting article written by Jerry Ascierti on the HousingFinance.com website The highest default ratio ever in the market, double the high last year, will triple this year on commercial mortgage-backed securities (CMBS). Roughly, 40% of these defaults are multi-family loans even though multifamily loans are only 30% of the CMBS industry. A lot of these are actually smaller properties with the borrowers not as experienced and generally single-property owners. The worst hit states are Florida, Michigan, Arizona, Nevada, and California. These are the same states that are having the moist trouble with single-family loans as well.
To read … (0 comments)

Photovoltaics Explained - 03/02/09 12:12 AM
Learned something new while reading an old article I had lying around. In an article written by Casey Ross at the Boston Globe, Photovoltaics was explained. The article describes photovoltaics as the most promising and popular form of solar energy. Photovoltaics is sunlight converted into electricity. Very different from solar power. Sunlight is made of small particles of energy called photons. Once absorbed by and pass through the material of a solar cell, they agitate the electrons in the photovoltaic panel. When they move, they are routed into a current. Technically, this is electricity. 
An East Coast project is underway to solar power … (0 comments)

East Bay Green Building Resources - 03/02/09 12:10 AM
While I was on the East Bay Economic Development Alliance's website, I ran across a useful list of links for Green Building information in the East Bay. Thought I'd share it here:
Alameda County Green Business Program    Website: http://www.greenbiz.ca.gov
Alameda County Revolving Loan Fund    Website: http://www.StopWaste.Org
City of Berkeley   Website: http://www.cityofberkeley.info/sustainable  
Contra Costa County Green Business Program   Website: http://www.greenbiz.ca.gov
Contra Costa County Recycling Market Development   Website: http://www.co.contra-costa.ca.us/depart/cd/recycle  
Green Chamber of Commerce   Website: http://www.greenchamberofcommerce.net  
Mills College   Website: http://www.mills.edu
Oakland-Berkeley Recycling Market Development Zone   Website: http://www.business2oakland.com/main/recyclingmarketdevelopmentzone.htm  
Southern Alameda County Recycling Market Development Zone   Website: http://www.ciwmb.ca.gov/rmdzs/SoAlameda  
StopWaste Partnership   Website: … (0 comments)

Going Green: Optional or Mandatory? - 03/02/09 12:06 AM
An interesting article recently appeared on the newly created National Apartment Association's (NAA) green web site www.naahq.org/green that shows how implementing environmentally conscious practices may well become a necessity for the apartment industry.
Since 2007, local, state and federal levels of government have mandated environmental regulations specifically affecting the multifamily housing industry. The American Climate Security Act of 2007, also known as the Lieberman-Warner Climate Bill, is currently being considered at the federal level and puts an aggressive cap on greenhouse gas emissions. This cap would then be reduced by 2% each year until 2050. Any organization exceeding its allotted limit would … (0 comments)

Banks Stall Foreclosures - 03/02/09 12:02 AM
I read an article in San Francisco Business Times (Feb. 13, 09 issue) by Mark Calvey and thought you'd be interested. While the feds are working out a stabilizing plan for the US banking industry, Wells Fargo, BofA, Citigroup Inc. and JPMorgan Chase are agreeing to halt foreclosures. This moratorium will remain in effect until March 6 for JPMorgan's loans and March 12 for Citi's barring any federal action prior to that date. Said moratorium is on any new owner-occupied residential loans owned and serviced by these banks.
Wells Fargo spokesman Chris Hammond, said "We are fully committed to helping our … (0 comments)

Green Building and the Recession - 03/01/09 11:58 PM
With green legislation on the horizon, a Dec 2, 2008 article written by Matt Hudgins for the National Real Estate Investor caught my eye. Slower returns on investment and serious credit shortages are challenges for both developers and multi-family housing property owners, especially those hoping to effect energy-efficient property upgrades this year. Along with conventional commercial real estate projects, green development has suffered from the credit crunch.
With lenders not interested in discussing new loan applications since early November of last year, funding for projects had nearly disappeared. That said, Ezra Green, Chairman and CEO of Clear Skies Solar, believes the … (0 comments)

 

Pete Chrzaszcz, CCIM

San Ramon, CA

More about me…

Commercial MasterMinds

Office Phone: (925) 719-3569

Email Me



Links

Archives

RSS 2.0 Feed for this blog