Asset Management

Due diligence in the virtual era

There is no substitute for walking the ground, and post-Covid the focus is more than ever on strong operating partners. NAREIM Fellow Anh Duc Tran of Noerthwestern talks with GPs about the realities of due diligence and operations post-Covid.

Market rent growth will remain negative for two years, and dip by up to 300bp.

December 18, 2020. Market rent growth will decline for all property types in the first year following the Covid-19 pandemic – and by up to 200bp for office, according to NAREIM’s Asset & Portfolio Management meeting.

Retail rent collection strongest since start of Covid-19 pandemic

Rent collection performance hit 91.2% in July, with retail recording its strongest performance since the start of the Covid-19 outbreak in the U.S. Collections were 40bp higher than June and over 700bp higher than April, May.

Rent collections decreased 7% in May, industrial leading the decline

Rent collections decreased on average by 7% in May – with industrial falling by up to 10% over the prior month. Read the May rent collection member survey here.

Two-thirds of managers are providing rent relief to tenants. Retail and office worst affected

Requests for rent relief are primarily coming from retail tenants, however office and multifamily tenants are also asking for concessions as they deal with the impact of Covid-19 and shelter in place regulations, according to a new NAREIM member survey.

Finding reporting best practices at the asset level. NAREIM roundtable with Equus, Nuveen, NCREIF

How do you report asset and investment-level performance and attribution? What and how do you communicate that to investors, consistently? NCREIF's new task force on asset-level reporting best practices has been launched to find the low-hanging fruit and what the benefit to investors and managers will be. They chat with NAREIM.

Sept rent collections hit 96.5% - highest level since start of Covid

Industrial still best performing property type, followed by multifamily and office, but retail continues to see the most significant month-over-month growth with collections almost topping 90% in Sept.

Rent collections in June top 90% - more than 600bp higher than initial April, May collections

Rent collections in June were more than 600 basis points higher than initial collections in April and May, according to the latest NAREIM member survey.

Rent collections could decline another 15% in May

Almost half of all real estate investment managers expected May rent collections to be 10% and 15% below those of April, which declined on average 16%, according to a new NAREIM survey.

Retail as a service, with brands using CRE to test products, will emerge stronger post-Covid.

Amazon does have a glass ceiling in terms of its e-commerce growth - and will need bricks and mortar. So what does retail in the future look like? Nuveen's Manuel Martin explains it's about retail as a service, pop-up, necessity and omni-channel.

Rent collections at highest level since April, top 94%

Rent collections across property types continue to improve, with the average portfolio collection rate standing at 94.6%. Retail has continued to be the strongest performer month-over-month.

June rent collections top 90% - more than 600bp higher than initial April, May collections

A survey of NAREIM members, conducted between June 18 and 24, revealed an average portfolio-wide collection of 90.8%, compared to 84% for initial collections in April and 83% initial collections in May.

Survey: Rent collections could decline another 15% in May

Almost half of real estate investment managers expect May rent collections to decline another 15%, after reporting April rent collections fell to an average of 84%.