The Real Deal - New York Real Estate News

HFZ sues CIM to halt condo foreclosure sale

Posted: 11 Nov 2020 04:35 PM PST

HFZ Capital Group is making a last-ditch attempt to stop its lender from auctioning off loans tied to four of the firm’s Manhattan condo projects. The prolific developer filed a lawsuit seeking a preliminary injunction against CIM Group to prevent the lender from proceeding with an auction planned for Thursday at noon. HFZ, led by Ziel Feldman and Nir Meir, alleges that CIM’s planned auction is a “predatory attempt to capitalize on the Covid-19 pandemic

Knotel may slash its global portfolio by 60%

Posted: 11 Nov 2020 02:50 PM PST

Knotel once hoped to be the next WeWork. And as the pandemic rages on, it’s facing similar headwinds as its co-working rival. The flex office provider is looking to trim 60 percent of its 4.8 million-square-foot global portfolio, and slash its leases in the U.S. and Canada from 3.4 million square feet to just 500,000 square feet, Business Insider reported. Knotel’s goal is to lower its rent obligations $15 million per month to $2 million

Kushner Cos to sell Chicago office tower at sharp discount

Posted: 11 Nov 2020 02:00 PM PST

Kushner Companies is close to a deal to sell its lone Chicago office building for $188 million, a significant discount from what the firm paid for the property over a dozen years ago. Kushner will sell the 853,000-square-foot building at 225 West Randolph Street to Onni Group, according to Crain’s. The Canadian firm would then spend about $154 million to renovate the property. The deal is contingent on the City Council designating the building a

Best holiday gifts for food-loving clients and colleagues

Posted: 11 Nov 2020 01:00 PM PST

Note: These items are independently selected by our team. However, TRD may receive a commission when you purchase products through affiliate links. The holiday season is just around the corner, and The Real Deal is here to help you find the best gifts for coworkers, clients and anyone else who may need holiday cheer this year. Normally, real estate does December with a marathon of parties — think feasts at Pastis, or cocktail celebrations at

Former oceanfront South Florida mansion of Sammy Sosa listed for $20M

Posted: 11 Nov 2020 12:35 PM PST

The former Golden Beach home of longtime Chicago Cubs player Sammy Sosa hit the market for nearly $20 million. The retired Major League Baseball right fielder owned the seven-bedroom, 7,159-square-foot house from 2013 to 2016. He paid $7.6 million for the property at 667 Ocean Boulevard, and sold it three years later for $9.2 million. The current owner, a trust in the name of hair care executive Scott Scharg, paid $10.6 million for the oceanfront

Cuomo imposes new Covid-19 restrictions on restaurants, gyms

Posted: 11 Nov 2020 11:35 AM PST

New York is reverting back to its former coronavirus-imposed restrictions. Any establishment with a state liquor license, including bars and restaurants, along with gyms, must close at 10 p.m., Gov. Andrew Cuomo announced Wednesday. The statewide restrictions will go into effect Friday. “NYS is taking action to stop the spread in response to rising COVID numbers,” Cuomo said in a tweet. Covid-19 cases in New York have hit levels not seen since the spring, with

Kushner Companies no longer delinquent on Times Square loans

Posted: 11 Nov 2020 10:00 AM PST

Kushner Companies is no longer delinquent on loan payments tied to its struggling Times Square retail property. The development group is now in a grace period on a $285 million CMBS loan secured by the 248,457-square-foot retail condo at 229 West 43rd Street. The loan had been over 90 days delinquent. The loan was brought out of delinquency in October when lender-held reserves were used to make outstanding interest payments from April through September, according

Why veterans end up paying more for mortgages than they should

Posted: 11 Nov 2020 09:30 AM PST

Veterans and servicemembers make up 20 percent of homebuyers, and in theory, they are supposed to get better deals on their mortgages thanks to VA Home Loans, which are provided by private lenders with the U.S. Department of Veteran Affairs guaranteeing a portion of the loan. But a new study found that too often, they end up paying more than they should. The study, which was conducted by technology company Own Up and first reported

Studies suggest targeted lockdowns of restaurants, gyms, hotels to curb Covid

Posted: 11 Nov 2020 09:00 AM PST

Going to a restaurant, gym or hotel? It may not be as safe as you’d think. A new study by researchers at Stanford University and Northwestern University tracked the movement of people and compared it to Covid outbreaks, according to Bloomberg. The study estimated that just 10 percent of locations account for 85 percent of predicted infections. In Chicago, for example, the study found that if restaurants were to reopen at full capacity, they would

Trump plan would let real estate firms avoid SALT deduction cap

Posted: 11 Nov 2020 08:15 AM PST

The Treasury Department has announced a new measure that would allow many businesses to get around the cap on state and local tax deductions. Congressional Republicans and the Trump administration implemented the $10,000 cap as part of their 2017 tax overhaul. But it has been met with heavy resistance from both the real estate industry and Democrats, especially in the Northeast and California, which were disproportionately affected. Efforts to repeal it have been in vain,

JPMorgan walks back some mortgage constraints

Posted: 11 Nov 2020 07:35 AM PST

The head of JPMorgan’s consumer lending arm says the bank is relaxing its mortgage criteria as housing prices surge across the country. Marianne Lake made the comments at a virtual investor conference this week, Bloomberg reported. In the mortgage space, she said the bank had “walked back some of our constraints” as home prices rise throughout the country. “We have loosened some of our criteria there,” she added. It is unclear what elements of the

Five candidates emerge for Biden’s HUD secretary

Posted: 11 Nov 2020 06:45 AM PST

Though President Donald Trump has yet to concede the election, pundits are already speculating about the makeup of Joe Biden’s cabinet. Five candidates have emerged as frontrunners to lead the Department of Housing and Urban Development, a role currently served by former neurosurgeon Ben Carson. Carson made headlines this week after he tested positive for coronavirus, days after Trump’s chief of staff, Mark Meadows, was found to be infected. Carson’s successor will be tasked with

Title giant First American pumps $40M into digital closing startup

Posted: 11 Nov 2020 06:20 AM PST

One of the country’s biggest title insurers is doubling down on digital closings. First American Financial Corp. said it’s investing $40 million into Endpoint, a title and escrow startup it launched last year. That’s on top of the $30 million it already pumped into Endpoint to develop the standalone company, which bills itself as a mobile-first service. Endpoint, based in El Segundo, California, said the new funding will allow it to accelerate hiring and expansion,

A tale of two markets: Some CMBS players see huge losses, others opportunity

Posted: 11 Nov 2020 05:00 AM PST

Nobody knows how to sniff out distress like Barry Sternlicht. In the early ‘90s, in the thick of the savings and loans crisis, his company Starwood Capital Group scooped up real estate loans for pennies on the dollar. And after snapping up distressed debt from Miami to Los Angeles during the financial collapse of 2008, Starwood became one of the largest real estate investors in the country. Sternlicht knows how to make money when others

Gold Coast rush: NJ markets pick up in third quarter

Posted: 11 Nov 2020 04:30 AM PST

Over the summer, Renee Condon, head of Keller Williams’ Jersey City office, watched as New Yorkers bypassed her market for more suburban neighborhoods. But she has seen that pattern shift in recent months. “We are still the great alternative with cheaper price points to New York,” she said. “I’m selling brownstones at the same price point as a two-bedroom in Tribeca.” Downtown Jersey City and other areas along New Jersey’s side of the Hudson River,

Homebuying slump worsens as applications for mortgage loans drop

Posted: 11 Nov 2020 04:00 AM PST

As the vote counting in last week’s presidential election slowed down, so did mortgage applications. An index tracking the number of mortgage applications to buy homes dropped 3 percent, seasonally adjusted, compared to the prior week. The Mortgage Bankers Association’s weekly metric, known as the purchase index, has not increased in seven weeks. Joel Kan, head of industry forecasting for MBA, said the purchase index last week was at the lowest level since May. The