Commercial real estate
*Vornado Realty Trustand partner Crown Acquisitions paid $20 million to buy out De Beers' 15-yearlease at the St. Regis Hotelin Midtown Manhattan, The Real Deal reported.The lease was due to expire in 2019, according to public records. The partnersown the commercial condominium at the base of the hotel at 2 E. 55th St.
Itemerged in 2015 that Swiss watchmaker Swatchwas looking to lease the entire St. Regis space spanning 24,800 square feet.
* According to agents and developers, the slowdown in NewYork City's luxury condominium market is not affecting the middle market, withunits in the $1 million to $4 million range seeing strong buyer interest, The Real Deal reported.
* Adevelopment partnership that includes LennarCorp. has commenced infrastructure work on the $6 billionTreasure Island andYerba Buena Island redevelopment, which is among the largest mixed-use projectsin the San Francisco Bay Area, the SanFrancisco Business Times reported.The redevelopment plan calls for 8,000 homes, and the first phase of theproject will involve around 2,100 residential units and up to 500 hotels, amongother things. The infrastructure work for the first phase will take abouttwo-and-a-half years.
Theproject will also contain 140,000 square feet of retail and commercial spaceand 100,000 square feet of office space, according to the report.
*Forest City Realty Trust Inc.'sForest City Enterprises LPlooks set to open the Cityplaceapartment and hotel tower in Dallas in early 2018, The Dallas Morning News reported.The project will also include more than 23,000 square feet of retail space.Cityplace Co. is acting as a partner in the project, the publication noted.
*Also in Dallas, RED Development intends to break ground on its800,000-square-foot office, residential and retail development near VictoryPark in April, the Dallas BusinessJournal reported.The Union Dallas is a two-tower project.
*Groundbreaking on the $1.2 billion ManchesterPacific Gateway, which will replace the Navy Broadway Complex inSan Diego, is poised to be held by 2016-end after the Navy and developer DougManchester won an important court ruling, TheSan Diego Union-Tribune reported.The legal issue is in relation to a claim that the 2.93 million-square-footproject could be vulnerable to terrorist attacks.
* Inan opinion piece titled "Distorted Markets: Why Banks Are Better Off ThanYou Think, and Real Estate Isn't," TheWall Street Journal's Ken Brown saidthat contrary to predominant investor sentiment, commercial real estate hasbecome a riskier asset class than the banking industry.
After the bell
*Iron Mountain Inc.said it receivedapproval from the Australian Competition and Consumer Commission for its planto unload its Australian business in a stock sale.
Theproposed sale is in conjunction with its pending purchase of Australian firm Recall HoldingsLtd., which is expected to be finalized May 2.
*Inland Real Estate Corp.said it closed itssale to certain fundsmanaged by DRA Advisors LLC in a roughly $2.3 billion deal, including assumeddebt. As a result of the transaction, which won stockholder approval March 23,the company will be renamed IRC Retail Centers Inc.
*Landmark Infrastructure PartnersLP saidit priced its underwritten public offering of 8.00% series A cumulativeredeemable perpetual preferred units. The company plans to use the net proceedsto repay debt.
*First Industrial Realty Trust Inc.said it priced itspublic offering of 5.6 million common shares. The company expects the offeringto generate gross proceeds of roughly $126 million, before deducting estimatedoffering expenses and underwriting discounts and commissions.
*City Office REIT Inc.said it priced apublic offering of 7 million common shares and granted the underwriters a30-day option to buy up to 1,050,000 additional shares.
*Rents are climbing faster than median home values in 45% of markets analyzed,indicating strong demand for rentals, accordingto RealtyTrac's Q1 2016 Single Family Rental Market Report, in which the bestmarkets for buying residential rental properties in 2016 were ranked.RealtyTrac analyzed single-family rental returns in 448 U.S. counties, eachwith a population of at least 100,000, and rental and home price data.
*Gaming revenue in Nevada rose 8% year over year in February, with the totalcoming to $989.8 million, the Las VegasReview-Journal reported,citing the state Gaming Control Board. Gaming win increased 1.5% to $7.48billion for the fiscal year after eight months, the publication noted.
The day ahead
Early morning futures indicators pointed to a lower openingfor the U.S. market.
In Asia, the Hang Seng dropped 0.13% to 20,776.70, while theNikkei 225 was down 0.71% to 16,758.67.
In Europe, as of midday, the FTSE 100 was down 0.41% to6,177.46, and the Euronext 100 fell 1.27% to 865.63.
On the macro front
The jobless claims report, the Chicago PMI, the EIA naturalgas report, the Fed balance sheet and the money supply report are due out today.
: Data released in March showed a generally positive pictureof conditions in the U.S. housing market.
: The department store lost roughly20 million customers when it implemented radical changes in 2012, but it hasclawed its way back by restoring and expanding its product mix and implementingnew strategies to target millennial tastes.
: The U.S. REIT sector experienceda 6-basis-point drop in average short interest to 3.28% of outstanding sharesduring the first half of March.
: William Lyon Homes postedthe largest drop in short interest and topped the most-shorted homebuilderslist during the first half of March.
: Monarch Casino logged the biggestshort-interest gain in the gaming sector, while Wynn Resorts was themost-shorted gaming stock during the first half of March.
The Daily Dose is updated asof 7:30 a.m. ET. Some external links may require a subscription. Articles andlinks are correct as of publication time.