News:
Spotlight Content
Posted: December 22, 2020
Elie Rieder, Castle Lanterra Properties
Name: Elie Rieder
Title: Founder & CEO
Company Name: Castle Lanterra Properties
What was your most notable project, deal, or transaction in 2020?
In July 2020, CLP acquired the residential portion of The Triangle, a class A, 529-unit community components in downtown Austin. This modern six-building residential complex boasts 111,000 s/f of popular local and national retailers as well as commercial space. The property’s central location—equidistant from Downtown and the Domain—provides easy access to Austin’s top economic, education and technology hubs. It is surrounded by the University of Texas, Dell Medical School, the U.S. Army Futures Command, Texas Health and Human Services Commission’s headquarters, and the biggest names in the technology industry. The asset is well positioned for resilience during any economic downturns. We plan to implement a value-add program and expect to benefit from the strong demand for class A units.
What are your predictions for commercial real estate in 2021?
CLP is continuing an overall strategy of acquiring and repositioning multifamily properties in strong suburban markets, while maintaining a conservative approach to operations through 2022 due to continued pressure on markets from COVID-19. We expect the national eviction moratorium will cease sometime during 2021, leading to a wave of evictions and large amounts of bad debt that will be booked on financial statements. As a result, CLP tends to underwrite 2021 with elevated vacancy, concessions and bad debt, regardless of how well the property has performed to date. We expect to see minimal upgrades by owners vs. a “heads-in-beds” strategy that prioritizes occupancy over rent growth. This trend will likely continue into 2022 as tenants focus on stabilizing their finances before upgrading their living experience.
Tags:
Spotlight Content
MORE FROM Spotlight Content
Over half of Long Island towns vote to exceed the tax cap - Here’s how owners can respond - by Brad and Sean Cronin
When New York permanently adopted the 2% property tax cap more than a decade ago, many owners hoped it would finally end the relentless climb in tax bills. But in the last couple of years, that “cap” has started to look more like a speed bump. Property owners are seeing taxes increase even when an
.png)
.jpg)
Columns and Thought Leadership
Properly serving a lien law Section 59 Demand - by Bret McCabe
Many attorneys operating within the construction space are familiar with the provisions of New York Lien Law, which allow for the discharge of a Mechanic’s Lien in the event the lienor does not commence an action to enforce following the service of a “Section 59 Demand”.
How much power does the NYC mayor really have over real estate policy? - by Ron Cohen
The mayor of New York City holds significant influence over real estate policy — but not absolute legislative power. Here’s how it breaks down:
Formal Legislative Role
• Limited direct lawmaking power: The NYC Council is the primary
The strategy of co-op busting in commercial real estate - by Robert Khodadadian
In New York City’s competitive real estate market, particularly in prime neighborhoods like Midtown Manhattan, investors are constantly seeking new ways to unlock property value. One such strategy — often overlooked but
Oldies but goodies: The value of long-term ownership in rent-stabilized assets - by Shallini Mehra
Active investors seeking rent-stabilized properties often gravitate toward buildings that have been held under long-term ownership — and for good reasons. These properties tend to be well-maintained, both physically and operationally, offering a level of stability
.gif)