The subject title is the title of an article in the Business Section's Spotlight column of today's NYT. The article may be found at this Link. It is well worth reading if you have an investment in the REA. It is about the "Emerging Trends in Real Estate report by PricewaterhouseCoopers and the
Urban Land Institute, which interviewed more than 600 developers,
services firms and investors over the summer."
Here are a few excerpts that indicate the nature of the article:
The 29th annual survey, which was released last month, reflected the
confusion that engulfed the industry as problems with mortgages were
unfolding. Even though the commercial sector was faring better than
housing, the biggest concerns for the respondents were economic: job
growth, construction costs, interest rate changes, income and wage
growth, and inflation. And not surprisingly, 78 percent said they
expected underwriting standards for commercial and multifamily
mortgages to be more stringent in 2008, compared with 70 percent
surveyed last year and just 37 percent in 2005.
More recent
indicators underscore the concern, as the problems plaguing the
residential market have spread to the commercial sector and the broader
economy.Some material omitted
But despite the unease, “there is still optimism out there,” said
Susan Smith, a manager in PricewaterhouseCoopers’ Real Estate Business
Advisory Services group in New York and an adviser on the report.
“There are opportunities across all sectors,” she said.
Although
the overall commercial real estate market is likely to soften, the
respondents said they expected certain regions to outperform others.
The so-called global gateway cities like New York, Washington, San
Francisco, Los Angeles
and Boston have become magnets for employers, residents and investors,
according to the report. “Especially during times of uncertainty, this
is where investors want to be,” Ms. Smith said.
My hat is off to BobU!
Ray
