gdp's Comments

Marketwi.se : Current Issues With Land Valuations

Fri, 17 Dec 2010 21:53:09 +0000

Basically, the only variable cost in development is the cost of the land.

RetailChatr : Can Someone Please Explain This Graph To Me?

Wed, 15 Dec 2010 21:33:03 +0000

Its very funny. There are eight suites in question in the graphical analysis. Four of the eight are vacant. One of the tenants is not even accounted for. Why I need to look at blue bars to see what I can plainly see in a rent roll is beyond me.

Marketwi.se : Rooftop Solar

Fri, 15 Oct 2010 20:34:17 +0000

Good post John. Thanks for responding. I added an update to Adam's post with a link to yours.

RetailChatr : IKEA to Generate Solar Revenue

Fri, 15 Oct 2010 00:16:47 +0000

John Reeder would be a great person to ask about this. He does a lot of solar deals in the Inland Empire.

RetailChatr : IKEA to Generate Solar Revenue

Fri, 15 Oct 2010 00:15:33 +0000

I think the return IKEA is stating represents their receiving premium value for the power they generate. If the cost of the electricity goes down, their return will as well. The other reason I believe you don't see farms of these panels over parking lots, etc. is because they are expensive and the costs increases as you spread the capture area out over a larger area. This is why the article refers to IKEA doing this in more urban areas.

RetailChatr : Marketing 101 - Say What?

Fri, 15 Oct 2010 00:12:30 +0000

You only need $450,000!

RetailChatr : Still Looking for Suckers (South El Monte Style)

Tue, 21 Sep 2010 23:02:04 +0000

I never mentioned misrepresentation either. Did you actually read the post or did you just read an internal email criticizing the post? My criticism of the property had nothing to do with the brokerage company or listing team. I would have the same opinion of the property regardless of the listing agent(s). Is that a difficult concept for "the big kid" to understand? The side note at the end was merely an observation that all deals are packaged in an identical manner. Of course the seller should get the most they can. How is that even in question here? You seem to be looking for reasons to be upset. How do you define market share by the way?

RetailChatr : Still Looking for Suckers (South El Monte Style)

Tue, 21 Sep 2010 22:13:32 +0000

jtremmy - Where in the post do I state that the property "will probably sell at their list price"? You may want to read it again. Also, do you always refer to yourself as "the big kid on the block"? That's a bit ridiculous if you ask me. IP addresses don't lie. Here is the information for yours: General IP Information Hostname:208.68.246.250 ISP:CB RICHARD ELLIS Organization:CB RICHARD ELLIS Proxy:None detected Type:Corporate Assignment:Static IP Blacklist: Geolocation Information Country:United States State/Region:Texas City:Hutchins Latitude:32.6372 Longitude:-96.6812 Area Code:972 Postal Code:75141 You should at least be brave enough to post under your actual identity but I guess I'd be a bit embarrassed too if I called myself "the big kid on the block."

RetailChatr : Still Looking for Suckers (South El Monte Style)

Sat, 21 Aug 2010 23:40:04 +0000

Classic!

Square Feet : What The Market Told Us Today

Fri, 7 May 2010 01:22:29 +0000

Unfortunately, an event like this is likely to create a flight from the equity markets to the "safety" of commercial real estate, further compressing CAP rates and driving prices up as a result. A very vicious cycle indeed. CoStar posted a timely article about CAP rate compression as item #1 on their newsletter today (http://bit.ly/cpwom4 ). I have been seeing this downward pressure on CAP rates for quite a while now and scratching my head because the increase in values is certainly counter-intuitive. Obviously, more demand and less product equals increased prices. The question is why is there an increased demand? My answer: impatience. People are tired of getting 0.25% in money market accounts. People are tired of keeping their money on the sideline waiting for "distressed" opportunities. This impatience has lead to people jumping into a market with limited supply, creating artificially inflated CRE prices. Just my $0.02.

RetailChatr : Movie Gallery to Close All 2,415 Stores

Wed, 5 May 2010 01:06:04 +0000

I could not agree more. �# 1 Rule: buy good dirt.

Marketwi.se : TBTF Will Dominate Non-performing Loan Market

Mon, 3 May 2010 04:55:01 +0000

Great post John. I am writing a reply post about my thoughts and how this same experience helped focus our strategy at PCI.

Marketwi.se : CoStar Website Saga – Episode 4

Thu, 29 Apr 2010 17:39:26 +0000

This post sponsored by PayPerPost.http://www.crunchbase.com/company/payperpost

Marketwi.se : Sternlicht on Distressed Real Estate Pricing

Thu, 29 Apr 2010 05:23:08 +0000

John - I could not agree more with your thoughts in this post. I am dealing with this very subject in my office right now and I constantly find myself telling people they need to make the best decision they can make now. That decision may very well be to hold, but in most cases where the decision to sell and start from scratch or take profits is abundantly clear, people continually make decisions primarily influenced by the past and their hope for the future rather than looking at conditions that exist now.

RetailChatr : OAKTREE PPIP PRIVATE FUND, L.P.

Wed, 28 Apr 2010 22:26:04 +0000

Sorry - I can't seem to find the document. �I must have deleted it.

Marketwi.se : Are Banks Failing Because of CRE?

Sun, 25 Apr 2010 08:32:12 +0000

So are you saying that CRE is not the "next shoe to drop"? That's crazy because the LA Times, NY Times, WSJ and others have been telling me this for the past 2 years. Could they possibly be wrong or merely chasing a story in hopes that they may make a mountain out of a mole hill? That could not possibly be the case. I have way too much respect for mainstream media sources to think they exist only to sensationalize stories for profit rather than have pure journalistic intentions. Who knows, maybe I'm just an idealist.

Marketwi.se : Recently Issued Debt Goes Bad Faster

Fri, 23 Apr 2010 16:11:04 +0000

10-4

Marketwi.se : Learn The Development Game From Megamall And The Wire

Fri, 23 Apr 2010 09:36:36 +0000

Who is this masked man calling himself Deal Junkie? Glad to have him on board.

Marketwi.se : The Nature of Lending

Fri, 23 Apr 2010 09:31:33 +0000

I thought the business model was to do only good deals. :-) Also, banks are not under pressure to lend when they only have to pay depositors 0.25% to hold their cash. Crappy returns for cash and cash equivs means money looking for placement in alternative locations. 5% and 6% CAPs start to look good. Too bad there are no lenders for these deals!

Marketwi.se : Recently Issued Debt Goes Bad Faster

Fri, 23 Apr 2010 09:27:11 +0000

Old ham just sounds nasty to me. Agreed on pizza though. Quick note: 2008 vintage loans were peak value deals. Pretty simple logic. The last money in gets smoked the quickest (to use a ham pun). Kind of a fatest pig gets slaughtered thing. CREOBA post coming soon. Trying not to be too harsh but they just ask for it.