Contact Us
News

UNCERTAIN HORIZON; THE DEAL SHEET

WASHINGTON DC 03.23.2017

THE NORTHEAST DC UPDATE

An In-Depth Look at the Drivers of One of DC's Hottest Quadrants

Bruce Baschuk -- J Street Companies
Bryant Foulger -- Foulger-Pratt
Adrian Washington -- Neighborhood Development Company
UNCERTAIN HORIZON; THE DEAL SHEET
While Manhattan's office market is beginning to see some relief in fewer job losses and more confidence, two huge clouds loom:overestimating new jobs' positive impact on overall demand for space, and growing landlord instability caused by debt restructuring risk, warns CresaPartners in its Q1 report.
UNCERTAIN HORIZON; THE DEAL SHEET
An hour ago, we snapped principals Marcus Rayner and Bob Stella in the firm's 100 Park Ave. offices. Much of the job creation will come from non-office using sectors like healthcare and education, so in order to stimulate office demand, more growth in financial services will be required, they say. Additionally, shadow space will absorb much of this job growth. And landlords who either acquired or refinanced their buildings between '05 and '07 are struggling to pay debt service based on today's rents; some transactions may be more complex and longer, so tenants need to be keenly aware of the landlord and lender situation in order to progress with meaningful negotiations.
Related Topics: Bob Stella, Marcus Rayner