Industrial space demand will lag, Target scores record sales, apartment rental payments dip as August wanes, a capital row over a rose garden, and waterfront investment advice.
In Today's News
Industrial Space Demand Will Sag In Third Quarter, Rebound Next Year
A report out today says macroeconomic indicators suggest industrial space absorption will decline sharply in the third quarter of 2020 and then rebound to positive levels in Q2 2021.
Why it matters: This report from NAIOP, the Commercial Real Estate Development Association, speaks to why industrial real estate investment trusts (REITs) have held up particularly well in these trying times -- citing e-commerce as a major factor -- but also why REITs in general also can make good long-term plays.
Target Reports Record Sales Run in Second Quarter
The giant retailer says second-quarter sales jumped 24.3% compared to the second quarter of 2019, powered by a 10.9% jump in in-store sales and a 195% surge in online purchases.
Why it matters: Target (NYSE: TGT) is the anchor of many a shopping center and pivotal to the success of many a REIT and private portfolio. This is some good news in the shade thrown on the sector by multiple bankruptcies and closures among many other national brands.
NMHC Says August Rent Payments Dipped About 2.1 Percentage Points
The National Multifamily Housing Council (NMHC) reported today that tenants of 90% of the 11.4 million professionally managed apartment units it surveys each week had made full or partial payments by Aug. 20. That's down 2.1 percentage points from this point a year ago and 1.3 percentage points from last week.
Why it matters: Any dip in rent payment overall is not a good sign for property owners and managers, and the NMHC included a call for renewed government stimulus and unemployment support to households battered by the pandemic.
Today on Millionacres
White House Rose Garden Backlash Speaks to the Importance of Curb Appeal
Politics aside, First Lady Melania Trump's changes to the iconic White House Rose Garden holds some lessons about landscaping.
Why it matters: Surveys back up what real estate agents know from experience: Hardscaping and landscaping can deliver a strong ROI. Plus, a lot of it is a matter of taste, but keeping it simple usually is a good way to start.
Waterfront Properties: An Investor's Guide
As an investment, waterfront properties offer some advantages and caveats alike. Millionacres' Matt Frankel lays out five of them.
Why it matters: There are a lot of considerations when mulling this kind of commitment. For starters, second home vs. rental property. And saltwater frontage brings its own issues. Then there's insurance. Check all this out and more before jumping in.