Real estate professionals speak in terms of the “capital stack.” This refers to the different “layers” of money and the varied rights that are attached with each layer. Generally speaking as you move “up” the capital stack from debt to equity, you enter zones of increasingly higher risk – but also potentially higher rewards. It’s
Continue reading: RealtyShares Products Across the Capital Stack
Broad demographic trends point to continued urbanization. What’s perhaps surprising, though, is how even suburban office parks are trying to emulate their city-center cousins Home Buyers Want Cities Several observers — including Robert Shiller, a 2013 Nobel laureate in economics, professor of economics at Yale University and the co-creator of the S&P CoreLogic Case-Shiller Index for housing — have
Continue reading: The Urbanization of Suburbs
A number of pension funds, both public and private, have recently had difficulties – some have gone insolvent, or are otherwise are on the brink. Most of these funds hold more than half of their assets in equities – even though the famous (and successful) Yale Endowment model stresses the importance of a diversified portfolio
Continue reading: Can Pension Fund Troubles Be Mitigated by Real Estate?
Retail centers are recently experiencing a few different trends – some, seemingly contradictory. The sector is doing reasonably well, but there are changing dynamics for retail centers that should be examined as part of any investment decision. Department Stores Have Lost Importance Big American department stores like Macy’s are being outmaneuvered by online retailers like Amazon, discount
Continue reading: Changing Dynamics for Retail Centers
I am proud to announce that more than $300 million has been raised since inception from investors for real estate projects through the RealtyShares marketplace. This achievement is a continuation of our platform’s forward momentum, coming just four months after our $200 million announcement. It is through the hard work of our team, the commitment
Continue reading: Nav Athwal: Building a Real Estate Ecosystem
Donald Trump and the Republican majorities are coming into office with plans to change the U.S. tax code. It’s not clear, however, how real estate might fare under some of the changes being discussed. . Earlier Blueprint Now Ready for Launch A sweeping platform
Continue reading: Tax Changes for Real Estate?
The Federal Reserve increased interest rates in December, and has plans for several more such increases in 2017. What does this mean for real estate? Are real estate and interest rates linked — or not so much? The Fed Acts — But is Still Cautious A year ago the Federal Reserve foresaw four rate rises
Continue reading: Real Estate and Interest Rates
The housing market continues to move solidly in some respects and less desirably in others. It’s an interesting environment – investors will need to decide which factors should weigh more heavily in their investment decisions. . Do Election Maps Also Reflect an Economic Divide?
Continue reading: 2017 Housing Trends
“Mezzanine” finance is a bit like it sounds – the semi-floor, halfway up the stairs, that in department stores like Fields and Macy’s was used for just about everything in between the women’s and men’s displays on the 1st and 2nd floors. In real estate finance and the “capital stack,” the 1st floor is debt;
Continue reading: Mezzanine Finance with Preferred Equity
Second lien loans differ from mezzanine debt and preferred equity in several respects; each have different sets of rights. Preferred equity, for example, should not be subject to bankruptcy concerns, as it is not debt; and both preferred equity and mezzanine debt generally take over the manager’s control rights as a primary remedy, which can
Continue reading: Second Lien Loans