2024 Year in Review: Nachum Soroka, Eastern Union

What noteworthy transactions or deals from this year best exemplified key market trends or shifts? 

We recently closed on the acquisition of a portfolio out of lender receivership which was, surprisingly, nearly stabilized after being on the brink of bankruptcy for quite some time. While this was in part attributable to the hard work of the receiver and its operator, a big factor was the state’s recent approval of programs that allowed for new sources of tenants and reimbursement. As more and more governments recognize the growing need to house and care for vulnerable populations, markets which may have been overbuilt will now have a use for vacant stock.

What emerging trends will drive investment and development in 2025? 

Lower rates!! We all know they are coming, and it is only a matter of when, not if. Rising costs were the big hurdle for development in 2022 and 2023, but now that inflation has somewhat stabilized, we still need rates to go down at least two points for deals to start really making sense. Hopefully, we are only 12 months away from that figure!