2022 was supposed to be the year that markets were expected to rebound from setbacks brought about by the COVID-19 pandemic. Instead, markets faced headwinds, among them record inflation and increasing interest rates. Unsurprisingly, features analyzing the impact of these trends dominated the most read list in the North American real estate space during the year.
Topping the list is the article outlining the uncertain future of office properties. Workers refuse to go back to offices and increasingly prefer a hybrid work setup, pushing employers to rethink leases and halt expansion plans.
The decelerating U.S. home prices and a surprise $14 billion privatization deal for STORE Capital Corp. were also among the topics of articles that garnered the most attention in 2022.
Most read real estate articles
1. Future of the office in doubt as workers hesitate to return
The battle to bring people back to the office is raging, and landlords are finding that only the highest-quality office buildings with slick interiors, modern amenities and access to outdoor space are gaining traction with tenants and workers.
2. US housing market: Fastest home price deceleration recorded in July
Growth in U.S. house prices slowed dramatically in July, rising 15.8% year over year, still significantly beyond their year-ago levels but weaker than June's 18.1% gain, based on the S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index. The negative 2.3-percentage-point gap between the latest two months' growth rates was dubbed the "largest deceleration in the history of the index."
3. Store Capital privatization hints at further life for REIT M&A
Despite many analysts believing M&A activity for real estate investment trusts would simmer down in the near future given current macroeconomic conditions, the surprise $14 billion privatization announcement of STORE Capital Corp. could signal that private capital is still keeping an eye on the REIT sector, despite the cost of debt increasing with rising interest rates.
4. Rising rates could pile outsize pressure on 5 US REITs
An S&P Global Market Intelligence analysis identified five U.S. equity REITs that could feel the largest pressure from rising interest rates.
5. Hedge fund manager bets against datacenter REITs; GLPI in $1B deal with Bally's
Hedge fund manager Jim Chanos is raising a new fund that will take short positions in U.S. data center REITs, London's Financial Times reported.
6. BofA Securities to earn up to $56.3M on American Campus-Blackstone deal
BofA Securities Inc. is set to earn a fee of roughly $56.3 million for advising American Campus Communities and providing a fairness opinion on its sale to Blackstone Real Estate Income Trust Inc., a nontraded REIT.
7. LaSalle cuts position in 28, boosts stake in 3 REITs by over 6-fold during Q1
LaSalle Investment Management Securities LLC exited its stakes in two U.S. REITs and slashed its share count in more than half of its REIT holdings during the first quarter, according to the firm's most recent investor filing.
8. Cohen & Steers cuts stakes in more than 50% of REIT positions in Q2
Cohen & Steers Inc. reduced its share count in 56% of its U.S. REIT holdings and exited one REIT position during the second quarter, according to its most recent investor filing.
9. REITs own more than 37,000 properties in Florida; Hurricane Ian making landfall
Among the U.S. equity REITs, single-family rental REIT Invitation Homes Inc. owns the most properties in Florida. Of its 25,300 properties, 8,580 homes are in the Tampa area, 8,346 are in South Florida, 6,446 are in the Orlando area and the remaining 1,928 are near Jacksonville.
10. J.P. Morgan tops REIT M&A league table in H1
J.P. Morgan Securities LLC dominated the top position among financial advisers for REIT M&A through the first half of 2022, with five deals totaling about $61.21 billion.
