Post by
DZtrader on Jun 25, 2024 12:58am
An interesting read on Real Estate
For those of you that may not have seen this already. I have already long been on record of concerns of potential " structural change " of work habits/ environment and it's short, medium and potentially longer term ramifications on the office market. This sentiment is clearly echoed here and throughout industry. While I would be hard pressed to second guess Frankie and I think Este, it continues to concern me, in particular with Manji having a hard on for Dream. I do get the deep value thing but it only becomes value if and when significant recovery happens in that area. To Este's point about lack of new product, while true, not certain demand for new office development is off the charts here either. I am hopeful my concerns in this area are not well founded. In the mean time, that is why my new REIT allocations have leaned to industrial/ warehousing like Granite, plus I like the acquisition climate in Europe right now.
Stay good,
DZ
https://www.bnnbloomberg.ca/real-estate-bets-gone-wrong-roil-us-1-24-trillion-canadian-funds-1.2088707
Comment by
mikoola72 on Jun 25, 2024 6:19am
Thank you for your perspective DZ and for the link to the article. Interesting read. Hopefully we are ahead of the curve here seeing deep value when no one else does..Given the structural shift in attitude towards real estate post Covid I think this could take a while to play out to be rewarded in the public reit space with increased unit values. GLTA.