IAMC News Briefs—Week of October 17, 2022
By John Salustri
BLOOMBERG—“As CEOs take steps to insulate their businesses from an upcoming recession, ESG efforts are coming under increasing financial pressure.” So says Jane Lawrie, global head of corporate affairs at KPMG. The firm surveyed corporate decisionmakers and discovered that, while environmental, social and governance protocols are “an integral part of their success,” so is solvency, and the challenge is to balance ESG protocols against a potential recession. “Against that backdrop, spending resources on ESG goals that aren’t fully defined within regulatory frameworks are slipping down the list of priorities.”
https://www.msn.com/en-us/money/markets/executives-are-backing-away-from-esg-as-recession-risks-mount/ar-AA12zq8H?rc=1&ocid=winp1taskbar&cvid=2f805fed9ec64d58cb5586c2bb3cf15e
URBAN LAND INSTITUTE—ESG plans may not be the only initiatives backburnered by the looming recession. The Mortgage Bankers Association (MBA) is also predicting a 14% drop in commercial real estate borrowing in lending this year. “There was a record level of borrowing and lending during the first half of this year,” says Jamie Woodwell, MBA’s vice president for commercial real estate research. “Given market changes, we forecast a significant slowdown in the second half of the year—driven by rising interest rates and capitalization rates and uncertainty among buyers, sellers and other stakeholders about where market values may lie.” This despite the strong fundamentals that virtually all food groups—especially industrial—continue to post.
https://urbanland.uli.org/news/in-brief-commercial-lending-expected-to-scale-back-for-fourth-quarter-2022/?utm_source=realmagnet&utm_medium=email&utm_campaign=HQ%20Urban%20Land%2010%2E17%2E22
SUPPLY CHAIN DIVE—The Presidential Administration is seeking public input on the current $300 billion in tariffs on Chinese imports, a move to review their effectiveness. The question is how effective Section 301 tariffs have been in supply chain resilience, domestic manufacturing and tech innovation, as pressure mounts on the Administration to relax import duties in an inflationary environment. Stakeholders will have from November 15 to January 17 to respond via an electronic portal.
https://www.supplychaindive.com/news/us-reviews-section-301-china-tariffs/634043/?utm_source=Sailthru&utm_medium=email&utm_campaign=Issue:%202022-10-14%20Supply%20Chain%20Dive%20%5Bissue:45273%5D&utm_term=Supply%20Chain%20Dive
COMMERCIAL PROPERTY EXECUTIVE—Phase III of the Golden Triangle Logistics Center in Las Vegas has begun. Trammell Crow and Washington Capital Management are mapping out 600,000 square feet in two class A assets, which will bring the total park square footage to 2.9 million square feet in mid-2023 when the buildings are complete. Fasteners Inc. Southwest Supply has already inked a deal for one of the buildings, which the construction-materials wholesaler will use as its West Coast distribution center. JLL, CBRE and Cushman & Wakefield all pitched in on negotiations.
https://www.commercialsearch.com/news/trammell-crow-debuts-3rd-phase-of-las-vegas-project/
COMMERCIAL PROPERTY EXECUTIVE—Nuveen Real Estate has added La Mirada Distribution Center in Southern California to its portfolio, the result of a $151.2-million sale by Clarion Partners. Cushman & Wakefield engineered the two-building sale for Clarion, delivering the 337,125-square-foot, class A campus, which is fully leased to various tenants. The ports of Los Angeles and Long Beach, as well as Los Angeles International Airport, are within a 26-mile radius of the fully sprinklered facility, which also offers 87,129 square feet of food-grade refrigerated space and 30-foot clear heights.
https://www.commercialsearch.com/news/nuveen-pays-151m-for-la-industrial-campus/