Every day, The Real Deal rounds up New York’s biggest real estate news, from breaking news and scoops to announcements and deals. We update this page throughout the day, starting at 9 a.m. Please send any tips or deals to tips@therealdeal.com
Video produced by Sabrina He
Casual clothing brand Marine Layer signed a lease for a new store at 20 Prince Street. The retailer took 3,600 square feet across the ground floor and lower level at the Nolita property, according to Meridian Retail Leasing’s James Famularo, who represented landlord. Cushman & Wakefield’s Jason Greenstone negotiated the deal on behalf of Marine Layer. The asking rent works out to about $214 per square foot for the 1,800 square feet of ground-floor space. Steve Croman, who was released from jail last year after pleading guilty to mortgage fraud, owns the property. [Press release]
The trade war could put a damper on the industrial real estate boom. Net industrial leasing activity for the next two years will be less than the past two years, according to a new report from trade group NAIOP. Trade and manufacturing activity has been impacted by new tariffs, but demand for last-mile logistics facilities has stayed strong thanks to the spread of e-commerce. [WSJ]
Colony Capital founder Tom Barrack
Colony Capital is going all in on tech-centric real estate. Trump pal Tom Barrack’s firm is set to sell up to 90 percent of its $20 billion commercial real estate portfolio by the end of 2021, using the proceeds to buy data centers, mobile phone towers and fiber, and to expand its digital real-estate investment management business. “I’m terrified by legacy assets,” Barrack recently told investors. [WSJ]
Compass is now offering A.I.-driven property search tools. The batch of newly-launched tools was first revealed by CEO Robert Reffkin on Monday during an appearance on CNBC, and will use users’ search and viewing history to recommend listings. The SoftBank-backed firm now says an IPO is “likely,” rather than just “possible” as was the case a few years ago. [Inman]
The MTA has a $51.5 billion plan to fix NYC’s long-underfunded transit system. The five-year capital plan, which still needs city and state approval, includes $37.3 billion for subway projects alone. Planned projects include phase two of the Second Avenue Subway as well as modern signaling systems and improved accessibility, though this will require extended shutdowns on nights and weekends in the short term. [NYDN]
Blackstone Group spent at least $129 million on a Queens industrial portfolio. Property records show that the firm picked up 20 parcels near John F. Kennedy Airport in the transaction, which is reportedly part of a larger nationwide deal with seller TA Realty. TA Realty also sold 28 Texas properties to AEW Capital Management in a separate deal. [TRD]
The White House blames NYC housing regulations for increasing homelessness. A study from the Trump administration’s Council of Economic Advisers says the city’s homeless population could be 23 percent less if not for “over-regulation of local housing markets,” including things like zoning rules, rent control and energy-efficiency laws. [NYP]
The Terminal Stores buildings’ new owners have big plans for the property. The renovation of the former freight warehouse will replace 500,000 square feet of storage space with new offices and add a block-long public courtyard. L&L Holding Company and Normandy Real Estate Partners bought the property for $880 million last summer, and German insurance giant Allianz took a roughly 30 percent stake soon after. [NYP]
A DoBro mixed-use project is moving forward after settling a lawsuit with its neighbors. Demolition is now underway at Alloy Development’s 80 Flatbush, which will include 900 apartments — 200 of which will be permanently affordable — and two new public schools. One of the building’s two towers was originally planned to rise to 986 feet, though that was later dialed back to 840 feet. [Curbed]
Residents of a Williamsburg loft building are losing the fight against their new landlord. Tenants at the 24-unit 240 Broadway had once hoped that the revokal of the building’s certificate of occupancy would allow them to claim Loft Law protections, but that now appears unlikely. The building’s new owner has reportedly shut off the gas and begun installing a new facial recognition security system. [The City]
Knotel has signed a new 27,000-square-foot lease in the Garment District. The co-working company will take up the entire seventh, eighth and 18th floors of ATCO Properties & Management’s 240 West 35th Street in a 10-year deal. The new location is expected to open in late fall. [CO]
The Kushner Companies refinanced 10 Manhattan apartment buildings. The $85.5 million loan was provided by Argentic — formerly Silverpeak Argentic — and replaces a loan from Signature Bank in 2015. Kushner acquired the East Village and Alphabet City walk-up properties in 2012 and 2013. [CO]
Compiled by Kevin Sun
FROM THE CITY’S RECORDS:
FINANCING: Vornado Realty Trust refinanced its mixed-use retail/office building at 606 Broadway with a $75 million loan from Société Générale. Newmark Knight Frank’s Dustin Stolly and Jordan Roeschlaub secured the financing.
Greystone provided a $115 million refinancing loan for an apartment building at 1731 York Avenue in Yorkville. [ACRIS]
FAQs
Trade wars can have a detrimental impact on global economic growth. As countries impose tariffs on each other's goods, trade volumes decline, supply chains are disrupted, and businesses face increased costs. These factors can lead to a slowdown in economic activity and reduced GDP growth.
How does the US-China trade war affect industries? ›
The US-China trade war has led to a decline in innovation ability mainly by increasing the operating costs of ICT firms. The negative impact of the US-China trade war is enormous, especially for companies that have the ability to innovate.
How do trade wars affect the supply chain? ›
Relation between supply chain and trade wars
Trade wars interrupt the import business by imposing heavy duties and taxes on other countries to secure domestic industries. Since the supply chain rests mainly upon import and export, any imbalance in trade directly impacts the supply chain.
What are the negative effects of the US-China trade war? ›
The trade war caused economic pain on both sides and led to diversion of trade flows away from both China and the United States. As described by Heather Long at the Washington Post, “U.S. economic growth slowed, business investment froze, and companies didn't hire as many people.
Who benefits from trade war? ›
Advocates say trade wars protect national interests and provide advantages to domestic businesses. Critics of trade wars claim they ultimately hurt local companies, consumers, and the economy.
What countries are affected by US China trade war? ›
Countries such as Vietnam, Thailand, Korea, and Mexico emerged as major export 'winners' in global markets for products where US-Chinese trade declined. Meanwhile, a set of countries, including Ukraine, Egypt, Israel, and Colombia, saw a decline in exports.
Are the US and China in a trade war? ›
By the end of the Trump presidency, the trade war was widely characterized as a failure for the United States. His successor, Joe Biden, however, has kept the tariffs in place. In early 2024, the Trump presidential campaign was mulling a 60 percent tariff on Chinese goods.
What is the impact of US China trade war on copper demand in China? ›
LONDON, Aug 5 (Reuters) - Copper prices fell to their lowest in more than two years on Monday, hit by the escalating trade dispute between the United States and China, while nickel prices climbed on concern over supplies from Indonesia.
How does trade with China help the US? ›
Today, China is one of the largest export markets for U.S. goods and services, and the United States is among the top export markets for China. This trade has helped the United States in the form of lower prices for consumers and higher profits for corporations, but it has also come with costs.
Who is winning the trade war? ›
So, which side has been “winning” it? Recent research offers an unambiguous answer: neither. US tariffs on Chinese goods led to higher import prices in the US in the affected product categories, and China's retaliatory tariffs on US goods ended up hurting Chinese importers.
Second, trade gives nations an economic incentive to avoid war. If Nation X sells its best steel to Nation Y, and its businessmen reap plenty of profits in exchange, then businessmen on both sides are going to oppose war. This was actually the case with Germany and France right before World War I.
Why is a trade war bad for the economy? ›
This is mostly due to higher costs and lowered consumption. In addition to creating inefficiency in the market, trade wars can also make industries less competitive. With reduced competition being seen in both countries, industries feel less need to innovate, so production technologies can stagnate.
What would happen if the US stopped all trade with China? ›
As a result, if the United States and other countries were to stop trading with China, it would disrupt global supply chains and cause economic disruptions in many countries.
What are the disadvantages of trading with China? ›
Let's review some notable disadvantages of expanding to China or hiring within the Chinese labor force.
- Intellectual property protection gaps. ...
- Prioritization of domestic businesses. ...
- Market break-in difficulties. ...
- Rising costs.
Finally, this paper studies the welfare effects of the trade war, and estimates that in terms of aggregate real income, the trade war costs China $35.2 billion, or 0.29% of GDP, and costs the United States $15.6 billion, or 0.08% of GDP.
What were some effects of trade? ›
[10] The positive, long-term economic effects of trade – increased competition, innovation, productivity, employment, wages, and output – provide benefits that outweigh the short-term transition costs trade can cause.
What are some effects of trade? ›
The terms of trade have two distinct effects in the country. One is a net wealth effect that leads to an increase in the aggregate demand for goods and services. The other, terms of trade effect, are that an improving terms of trade means that the rate of return of producing the nontraded commodity rises.
What are the effects of trade on the world? ›
International trade allows countries to expand their markets and access goods and services that otherwise may not have been available domestically. As a result of international trade, the market is more competitive. This ultimately results in more competitive pricing and brings a cheaper product home to the consumer.
What are the pros and cons of trade wars? ›
A trade war can temporarily increase domestic jobs, boost industry, and increase revenue, in the long-term, However, it can have disastrous effects: job loss, devaluation of currency, and even inflation. Trade wars can also have negative effects on diplomatic relations and international trade.
