Real Estate Roundup:
- Health officials warned Americans to brace for a pivotal week in the coronavirus pandemic, as the number of new cases around the world jumped by more than 100,000 in a single day for the first time, with a third of them coming from the U.S. Some of the hardest-hit cities, including New York, Detroit and New Orleans, are expected to see infections peak in the coming days, new models suggested. (WSJ)
- Major department stores like Kohl’s, Nordstrom and Macy’s could run out of capital within a month, according to a liquidity “stress test” published Thursday by Goldman Sachs. Other retailers like PVH (the parent company of Calvin Klein and Tommy Hilfiger), Gap and Victoria’s Secret parent company L Brands fared only a little better under the investment bank’s most extreme scenarios, with two months’ worth of liquidity available. (TRD)
- The Fed Transformed: Jay Powell Leads Central Bank into Uncharted Waters. (WSJ)
Survey on rents
About half of U.S. small businesses haven’t paid their full rent or mortgage yet this month as a result of the coronavirus pandemic, a new survey suggests. In the poll, conducted on Thursday and Friday by Alignable, a small business social networking company, about 30% of the more than 1,000 respondents reported making no rent or mortgage payment in April, while 20% said they had made only a partial payment.
- Dig Deeper: The remaining half reported paying their entire rent on time. Only a quarter of respondents said their landlord or bank offered a reduction or deferral on what they owed. The survey was of companies with up to 50 employees, including retail, restaurant, auto-repair and other small businesses. (WSJ)
- Co-Op City, the world’s largest cooperative apartment complex, will stay affordable for another 30 years under a new agreement between the co-op board and the City of New York. Under the terms, the 16,000 apartments in the northeast section of the Bronx will remain price-limited and income-restricted until 2052. (WSJ)
- SL Green Realty is “quietly marketing” its 27,000-square-foot retail condo at 609 Fifth Avenue, according to CO. Puma currently leases 24,000 square feet at the property on a 15-year lease. (CO)
- Australian manufacturer Brickworks has signed a ten-year retail lease for 16,171 square feet at 445 Fifth Avenue. The building materials company plans to open a flagship design studio on the ground-floor. (CO)
- Gemini Rosemont has closed on its acquisition of a development site 167 North 1st Street from Kevsta Inc. for $18.2 million. The Williamsburg lot currently houses a 13,834-square-foot one-story warehouse fully leased to Poler Contracting. The parcel allows for the development of a total of 50,000 SF. (CO)
Layoffs hit the brokerage industry:
- Paul Massey’s B6 Real Estate Advisors suffers layoffs. The brokerage only counted 25 employees as of last spring. (TRD)
- Douglas Elliman laid off approximately 100 people on Friday.
- Terra Holdings, the parent company of Brown Harris Stevens and Halstead, said it would cut executive pay and furlough employees. Warburg Realty and Bohemia Realty made cuts as well. (TRD)