From the Editor's Desk
My Fellow CCIM Friends,

First of all, I hope you are each doing well and taking care of your health and family, friends as well. Please stay safe as we begin the reopening on June 8th.

Now trying to find a silver lining...

While we love to keep an upbeat vibe, it would be remiss of us not to bring light to everything that has happened so far:

From the C-19 pandemic, massive job losses, business closures, and its universal effect on the commercial real estate industry to what is happening now— racial divide, economic disparity, and social unrest from recent reactions to historic and systemic inequalities in our society.

It is clear that many if not all of us are suffering and/or hurting in this current environment.

It is my hope that we can rise to the occasion and continue to find ways to be be a positive force for change by helping those around us and our communities while ensuring the relevance of our real estate business during this difficult time.

Let us not forget that we are one nation, one city, one community, made up of diverse people all doing our best to live lives in a meaningful manner. We each have our own hopes, dreams, fears, struggles, and talents. The world we should all want is one in which we are helping each other in the spirit of love.

With that said, a couple of important deadlines:

1) Call for Nominations for the 2021 Slate. Your time and talent to helping our organization is always welcomed!
2) Reminder: Property Submission for 1st Virtual DealShare. Please submit this week since we are extending the deadline!
3) Membership Drive so please tell a friend or colleague.

Should you have any questions and/or concerns, please feel free to contact me anytime. 

(646) 481-3801
Membership Drive
2020 Membership is now PRORATED!
Don't forget to renew with New York Metro CCIM for only $50!

Click HERE and renew today!

Prorated membership available through September 30, 2020.
2021 Officer & Director Nominations
The New York Metro CCIM Chapter is now accepting nominations to the 2021 Board of Directors. If you are interested in applying or nominating someone, please download the nomination form HERE .

Submit the completed form to by June 30, 2020.
1st Annual Virtual Dealshare Event

June 16, 2020 @ 10:30AM
Zoom Secured Conference

Submission guidelines:

  • Property minimum price $750,000
  • Broker listed property only
  • New York Metro (New York City, Northern Jersey and Connecticut); may consider choice listings
  • Complete 1-page template (download HERE and submit HERE)
  • Deadline to submit properties is May 30 @ 5PM
Featured CCIM Member
Tom Attivissimo, CCIM , is the CEO of Greiner Maltz Long Island. He has been a Commercial Real Estate Professional for over 30 years and manages a team of seasoned professionals. Tom has expertise in all aspects of the Commercial Realty Value chain including an engineering / finance background and holds the coveted CCIM designation, validating his position as a recognized expert in the disciplines of commercial and investment real estate. He carefully matches the needs of clients with ideal locations. Though Tom utilizes publicly available data metrics to advise clients, he and his team have cultivated a proprietary database of market reports, statistical analyses and other metrics which have helped crucial decisions. Professionals and Clients alike rely on these proprietary data sources to make informed, strategic transactions.

Tom Attivissimo CCIM
Chief Executive Officer
Greiner-Maltz Co of Long Island LLC
185 Express Street, Suite 300
Plainview NY 11803
Direct: 516-833-1401
Cell: 516-606-6161
May Poll Results
CCIM Institute News
View the Newly Launched Chapter Marketing Resources Page

In an effort to continue to provide chapter leaders and administrators access to turn-key resources, all chapter marketing resources have been relocated from the Connect Chapter Resources Page to the Chapter Marketing Resources Page. This all-new, stand-alone marketing resource page gives chapter leaders and administrators an organized and straightforward way to access all available marketing resources and templates.
Here, your chapter can schedule marketing office hours, access graphic design templates, view marketing webinars, and more. This page will be a vital resource to stay up-to-date on your chapter's marketing and branding. Check back often as new resources will be continually added. 

CCIM Institute's New "My Account" Portal Launching Soon

On June 1, CCIM Institute will be officially rolling out a revamped member and student portal on 'My Account.' This updated 'My Account' portal will improve how we provide essential association services to you, and more specifically this will change how you and your chapter members access your profile, course transcripts, CE credit information, and more.
We will be reaching out to you, as chapter leaders, to help support the launch of the updated 'My Account' portal for your local chapter members. Watch your inbox for further directions from institute staff in the coming weeks. For questions, please contact or call +1 (312) 321-4460, option 5
June 1 Deadline to Apply for 2012 NAR Committee Positions

National Association of REALTORS® is now accepting applications for its 2021 committee openings. The application process has been extended through June 1. Several NAR national committees offer positions specifically for affiliate representatives. Express interest in being recommended to represent CCIM Institute in one of the following NAR committees:

  • Business Issues Policy Committee
  • Commercial Federal Policy Committee
  • Commercial RE Research Advisory Board
  • Diversity Committee Federal Financing & Housing Policy Committee
  • Global Business & Alliances Committee
  • Insurance Committee
  • Land Use, Property Rights, and Environment Committee
  • Professional Standards Committee
  • Public Policy Coordinating Committee
  • Professional Development Committee
  • RPAC Trustees Fundraising Committee

Apply for an Opening on the 2021 CCIM Institute National Committee

Get involved or further your involvement with CCIM Institute at the national level. Volunteer with the institute and connect with like-minded individuals who are passionate about the commercial real estate industry, enrich your professional experience, and influence the future of CCIM Institute. Applications for 2021 open positions are now available for the following positions:
  • Volunteer Interest Form for 2021 Committees
  • 2021-22 Governance Committee Application
  • 2021-23 Audit Committee Application
  • 2021 CCIM Technologies Board of Directors

The application deadline is Aug. 18. Committee descriptions can be accessed in the CCIM Governance Reference Library or email questions to

Institute Updates

  • CCIM Institute has renewed D&O Insurance Coverage under the NAR's Insurance Program, which covers CCIM Chapters. This does not include commercial coverage. It is suggested that chapters that host several events purchase the commercial coverage locally. The 2020 D&O insurance policies are valid from Jan. 1, 2020 — Jan. 1, 2021. More information can be found on the Chapter Resources Page under "Latest Shared Files."
  • Alternate Comprehensive Exam Opportunities are being considered at this time by the institute. Please contact Sharese Simmons at with any questions.

August: Chapter Officer Training, Virtual
We are currently reviewing the schedule for these virtual sessions and will provide an updated schedule and additional information in the weeks ahead.
CRE News
Over 50% of department stores in malls predicted to close by 2021

First, the department store closes. Then, the apparel shops try to scoot out of deals. This is a one-two punch that could trigger a wave of malls shutting for good over the next 12 months.

More than 50% of the department stores anchoring America’s malls are going to close permanently by the end of next year, a new report from Green Street Advisors predicts. There are about 1,000 malls still open in the U.S. And roughly 60% of those have department store retailers, such as Macy’s, as anchor tenants, the commercial real estate services firm said.

The coronavirus pandemic that has slammed the U.S. economy is speeding up the demise of department stores. As Covid-19 forced the likes of J.C. Penney, Macy’s, Nordstrom and Neiman Marcus to shut shops temporarily, the circumstances became even more dire for these already struggling companies. Slumping sales and an overhang of debt could push some into bankruptcy. Strained for cash, these retailers are scrambling for additional liquidity. More department store closures are inevitable. And that will put another level of pressure on mall owners.

Up until now, it has been years of “kicking the can down the road,” said Vince Tibone, an analyst at Green Street Advisors.

One likely scenario to play out at malls is that in-line tenants — such as Gap or Victoria’s Secret — will use their co-tenancy clauses to speak up as department stores go dark. Put simply, these clauses give companies the ability to demand rent relief, or to break leases early, when anchor space sits vacant. That pressure could be what puts some malls entirely out of business.

“Many malls will now be faced with multiple anchor vacancies, a tough place to come back from, especially in an environment where demand for space is virtually non-existent,” Tibone said. “This begs many questions. What will a mall redevelopment look like post-Covid? Backfilling with any retail could be tough and most non-retail development now likely doesn’t pencil.”

Dallas-headquartered Penney, which has more than 850 stores, makes up about 19% of mall anchor space, Green Street said. Macy’s is about 18%, while Sears is still 4%. And other department store operators (i.e. Nordstrom, Dillard’s and Lord & Taylor) make up another 20% of America’s mall anchor space, according to the report.

Mall owners’ finances are also being strained, as a number of tenants including Gap are not paying rent during the pandemic. That could mean some landlords aren’t able to make their own mortgage payments, and end up having to hand the keys to malls back to lenders.

Some, like Simon Property Group, have better balance sheets to weather the storm, analysts tell CNBC. Others have less time to spare.

CBL, which owns a number of malls in the Southeast including WestGate Mall in Spartanburg, South Carolina, has hired investment bank Moelis & Co. and law firm Weil, Gotshal & Manges to seek advice on strategic and financing options, including restructuring, according a Bloomberg report. A CBL representative did not immediately respond to CNBC’s request for comment.

Green Street is predicting that retailers’ rent-paying ability will be impacted for years because of the pandemic.

“The only certainty is that there will be far fewer department stores in the future and malls will need to adapt,” Green Street’s Tibone said.

Source: CNBC
Goldman Sachs Forecasts Unemployment To Peak At 25%, Remain High For Next Two Years

With the coronavirus pandemic wreaking havoc on the U.S. economy, the unemployment rate has skyrocketed, and it could remain high for the next two years as many job losses won't recover quickly, Goldman Sachs says in a recent note.


Goldman expects the U.S. unemployment rate to peak at 25% amid the coronavirus pandemic, according to a recent note from its chief economist Jan Hatzius.

The national jobless rate is likely to remain high for longer than expected: While many workers are on “temporary layoff,” not all of them will be rehired quickly, the firm points out.

High unemployment will linger because of policies that discourage workers from returning to their jobs, Goldman says: “Compared with a European-style system that is more focused on job preservation [via wage subsidies], many more will thus have to find truly new jobs.”

Countries like the United States that rely on enhanced unemployment benefits have thus “created significant incentives against maintaining existing employment relationships,” which will weaken over time.

A majority of American workers now get higher incomes from unemployment than they do from being employed, especially in low-wage sectors, Hatzius notes.

That will result in a situation where the U.S. jobless rate will stay around 12% by the end of 2020 and still be at 8% through 2021—“well above the levels in most other advanced economies,” Goldman’s top economist predicts.


“We conclude that the U.S. unemployment crisis will not stand in the way of a near-term economic recovery but is also unlikely to go away quickly,” Hatzius summarized.


Unemployment rose to record highs in nearly every state last month: 43 of them surged to historic levels of joblessness in April, according to a recent breakdown from the Bureau of Labor Statistics.

That’s how many Americans have filed for unemployment benefits over the past nine weeks, according to the Labor Department’s weekly jobless claims reports.

The coronavirus has caused the highest rate of U.S. unemployment seen since the 1929 Great Depression. The national jobless rate hit a post-World War II era high, soaring to 14.7% last month—up from 4.4% in March. Before the outbreak hit the U.S. in late February, the unemployment rate had been at a 50-year low of 3.5%.

Source: Forbes
Insurance industry looks to update risk models as climate risks escalate

With 2020 shaping up to be one of the hottest years on record, the insurance industry, already hobbled by the coronavirus pandemic, is bracing for another wave of insurance claims.
If 2019 is any guide, economic losses from climate-related disasters could top $137 billion, according to figures from insurance company Swiss Re.

“The severity of [loss costs] is increasing in part because you’re seeing weather trends happening differently,” said Sean Kevelighan, CEO and president of the Insurance Information Institute. “Loss costs have increased from the 80s, over 660%.

The impact of rising claims has been most acutely felt in California, where wildfires from 2017 and 2018 wiped out 25 years of the industry’s profits. According to the state’s climate change assessment, insurance costs are expected to rise nearly 20% by 2055.

“What we’ve seen after a couple of years of the most catastrophic fires in California is really this challenge of finding affordable insurance and also having availability of insurance products in California in some of our most vulnerable areas,” said California Insurance Commissioner Ricardo Lara.

The state has battled wildfires for decades, but Lara says 2018 was a big wakeup call for insurance companies operating there.

The Camp Fire in Paradise devoured 95% of the community within hours, destroying 19,000 homes, killing people. The fire was the world’s single costliest natural disaster that year, bringing the total amount of insured losses in the state to $18 billion, according to Munich Re.
Worldwide, losses from global natural disasters topped $225 billion in 2018.

Insurance claims have grown so costly and damaging in California, providers started canceling policies of longtime customers in fire-prone parts of the state. That prompted Lara to step in late last year and take the unprecedented step of imposing a one-year moratorium on the practice, protecting more than a million residential policies.

“You hear stories time and time again of Californians who have been with their insurance company for 20, 30 years, all of sudden getting dropped at the moment where they actually need some certainty,” Lara said. “I just thought it was inhumane.”

For attorney Joseph Earley, those stories are personal. The Paradise resident lost his home and office to the Camp Fire. Over the last 18 months, he’s helped his community rebuild by guiding them through the insurance red tape and successfully pushing for a $13.5 million settlement with PG&E (PCG) the utility company responsible for sparking the fire.

“My fear is that there isn't enough funds to deal with people's needs, to get them to be able to move forward,” Earley said. “It's the second- to third-largest settlement in the history of this country. I don't think there's any more money available for it, but I know it's not enough. I know because I know what I lost and there's no way I can recover what I lost.”

Becky and Lee Nelson lost the place they called home for 40 years in the wildfire. They successfully filed their insurance claim, but say the payout doesn’t begin to cover the cost of rebuilding.
“We're not sure we have water on our property because the water mains were damaged,” Becky Nelson said. “We don't know if our septic tanks made it. There is obviously no power on this property. We really didn't have enough coverage to handle all of that and put our house back in its original form.”

Kevelighan said insurance companies are scrambling to reassess their risk models, to get ahead of natural disasters. That includes working with developers to understand areas most exposed to extreme climate and using data to help homeowners plan for the risks ahead. Kevelighan also says insurance companies need to create a business model that ensures their sustainability.
“We’ve got to make sure we price it in a sound manner in order to stay in business,” he said. “You probably will likely, as risks increase, see prices increase. That’s how insurers have to respond when risks are happening. That’s just the model that we have right now.”

Source: Yahoo! Finance
Over 4 million Americans are now skipping their mortgage payments

Fewer Americans are calling their mortgage servicers to ask for relief from mortgage payments, but the housing industry isn’t out of the woods yet.
More than 4.1 million homeowners are in forbearance plans now, according to the latest data from the Mortgage Bankers Association.

While mortgage servicers are still facing stress because of the record deluge of requests for payment relief, signs suggest that homeowners’ prospects have improved as parts of the country have begun to emerge from coronavirus stay-at-home orders.

Overall, 8.16% of all mortgages were in forbearance as of May 10, meaning borrowers can either skip or make reduced payments, the trade group said. That was up from 7.91% as of May 3, which is the smallest increase since March. Forbearance requests dropped from 0.52% of the total mortgage volume to 0.32%.

“There has been a pronounced flattening in loans put into forbearance — despite April’s uniformly negative economic data, remarkably high unemployment, and it now being past May payment due dates,” Mike Fratantoni, chief economist for the Mortgage Bankers Association, said in the report.
Don’t miss: If you’re skipping your mortgage payments, watch out for this costly mistake.

The potential exception to this trend is the segment of the market for loans backed by Ginnie Mae, including Federal Housing Administration (FHA) and Veterans Affairs (VA) loans. More than 11% of Ginnie Mae loans are in forbearance because of the coronavirus outbreak. These loans tend to go to borrowers who are first-time homeowners with weaker credit — people who could be more exposed to the economic downturn the pandemic has caused.

While the pace of homeowners requesting forbearance has slowed, the end of the mortgage industry’s troubles isn’t necessarily in sight. A recent report from U.K.-based economic forecasting firm Oxford Economics estimates that 15% of homeowners will fall behind on their monthly mortgage payments.

The outlook for homeowners will likely depend on their ability to bounce back, particularly for those who have lost their jobs. The good news for mortgage lenders is that job losses caused by the coronavirus have largely been concentrated in the service sector, according to a report from First American Financial FAF, -1.07%, a title insurance company. Because these jobs are lower skilled and lower paid, it’s less likely that the newly unemployed already owned homes.

Source: Marketwatch
Distressed job market pushes mortgage forbearance requests higher

The total coronavirus-related mortgages in forbearance grew by 55 basis points between April 20 and 26, in lockstep with rising but slowed unemployment claims, according to the Mortgage Bankers Association.

An estimated 3.8 million mortgage loans sit in forbearance plans as of April 26. About 7.54% of all outstanding mortgages went into forbearance, compared to 6.99% from the week before.

The share of loans in forbearance at independent mortgage bank servicers saw a greater increase, growing to 7.13% from 6.52% over that period. At depositories, that share increased to 8.41% from 7.87%.

"With millions more Americans filing for unemployment over the week, the level of job market distress continues to worsen," Mike Fratantoni, the MBA's senior vice president and chief economist, said in a press release. "That is why we expect that the share of loans in forbearance will continue to grow, particularly as new mortgage payments come due in May."

Forbearance requests as a percentage of servicing portfolio volume declined 51 basis points to 0.63% from 1.14% for the week ended April 19. But call center volume as a percentage of portfolio volume decreased to 7.2% from 10% the previous week.

The MBA's sample for this week's survey includes a total of 56 servicers broken down by 31 independent mortgage bankers, 23 depositories, plus two subservicers. By unit count, the respondents represented nearly 77% of the outstanding first-lien mortgages.

The MBA remains hopeful the housing industry can be the rising tide that lifts all ships within the economy.

"As states across the country begin to reopen their economies, a silver lining we are seeing is indications of increased activity in the housing market, including more purchase applications in some markets," Fratantoni said. "We are hopeful that the housing market can eventually contribute to a broader rebound in economic activity, which would then begin to reverse the unprecedented job losses experienced during this crisis."

Source: National Mortgage News
FHFA: Forbearance Won't Have Long-term Effect on Borrowers

Borrowers who have taken forbearance can still take advantage of record low mortgage rates for purchasing a home or refinancing their existing home, the Federal Housing Finance Agency announced Tuesday. The FHFA made the announcement to try to clear up some confusion about what limits are placed on those who have taken forbearance during the COVID-19 pandemic, which now totals about 4.1 million homeowners.

Fannie Mae and Freddie Mac, which the FHFA oversees, will permit borrowers who went into forbearance due to the pandemic to refinance their loan or buy a new home as long as they’ve reinstated their mortgage and made three straight months of payments under their repayment plan, payment deferral option, or loan modification from their missed payments.

Also, there is no waiting period for borrowers who requested forbearance but ultimately were able to make their payment in full and on time, Fannie Mae notes.

“Homeowners who are in COVID-19 forbearance but continue to make their mortgage payment will not be penalized,” said FHFA Director Mark Calabria. “Today’s action allows homeowners to access record low mortgage rates and keeps the mortgage market functioning as effectively as possible.”

“NAR applauds the FHFA and Director Calabria for taking additional steps to secure the U.S. housing market and ensure mortgage and refinance options remain available to creditworthy Americans,” said NAR President Vince Malta, broker at Malta & Co Inc., in San Francisco. “Homeowners who have been forced into forbearance by no fault of their own but continue to make payments should not be penalized because of this pandemic. With the real estate industry driving nearly one-fifth of our national GDP, assurances that homebuyers can access credit and capitalize on record low mortgage rates remain critical to America’s economic recovery.”
As Forbearance Confusion Persists, Help Set Owners Straight.

Some borrowers who are in forbearance have been under the impression that they would be shut out from qualifying for another Fannie Mae- or Freddie Mac-backed mortgage for up to 12 months after they exit forbearance. The CARES Act requires that mortgage servicers report borrowers as “current” on any loan that goes into forbearance due to a COVID-19 financial hardship.

Source: Realtor
Senator to Introduce $100B Emergency Rental Assistance Bill

To date, the multifamily industry has received little assistance from Washington, DC, even as 30 million people have been thrown into unemployment over the last six weeks. While the majority of renters paid their April rents, it is widely believed that fewer will be able to meet their monthly rent obligation for May.
A bill that will be introduced in the Senate could provide relief to both tenants and their landlords.

Ohio Senator Sherrod Brown is planning to introduce the Emergency Rental Assistance and Rental Market Stabilization Act, a $100 billion measure that would provide emergency rental assistance to help people pay their rent during and after this pandemic, according to a Tweet he posted Monday.

“We cannot leave behind the millions of Americans who could be facing eviction without #RentReliefNow. The last thing we want during a public health crisis is people being forced out of their homes and onto the Streets,” he tweeted.

A similar measure is being sponsored in the House of Representatives, by Maxine Waters of California and Washington’s Denny Heck.

“Housing is the single largest expense for most American families. By a long shot,” Heck says in prepared remarks. “Right now, those same families are facing job loss, struggling with child care, and dealing with other unprecedented financial burdens stemming from the global COVID-19 crisis – and many are unable to make next month’s rent. We have to get meaningful help to them as soon as we possibly can.”

According to Forbes, state and local governments will disperse the funds through partnerships with housing agencies and community organizations, providing housing relief for up to two years. The payments will be made directly to the property owner or housing provider on behalf of renters.
Under Brown’s measure, the funds would be disbursed through the Department of Housing and Urban Development’s Emergency Solutions Grant network, according to Ohio City Beat.

HUD will be directed to spend 40% of the money on families making extremely low incomes (less than 30 percent of the Area Median Income).

It will be a long slog to get these measures through Congress and onto President Trump’s desk, given the re-emerging partisan hostilities in official Washington. But with the eviction moratoriums provided under the Cares Act lifting in September, the demand for assistance will become overwhelming.

Source: Globe St.
New Moody’s Analytics CRE Forecasts Predict 11% Drop in Retail Rents in 2020

Moody’s Analytics today announced its new forecasts for commercial real estate (CRE) rents and vacancies, covering eight property types and more than 3,000 submarkets across the US. The forecasts reflect the latest curated Q1 data on US CRE markets collected by the Moody's Analytics Real Estate Information Services (REIS) group.

The retail property sector, pressured by the rise of e-commerce even before the COVID-19 crisis and now burdened with wide-scale store closures, is expected to be affected worst. National vacancies will rise past historic highs, with effective rents projected to fall by 11% in 2020. This drop will constitute almost twice the total decline in rents the retail property sector experienced after the Great Recession in the four years spanning 2008 to 2011.

"The COVID-19 pandemic has prompted unprecedented challenges in the economy, and multifamily and commercial real estate markets are changing rapidly as a result," said Victor Calanog, Head of CRE Economics at Moody’s Analytics. "Store closures have made it difficult for retail tenants to pay rent, which has negatively impacted landlords. It is not yet clear how effective government support will be in this sector.”

White House Looks At 'Opportunity Zone' Extension In Wake Of COVID-19

The White House is looking at extending a tax break for investments in certain low-income neighborhoods as it tries to find ways to address the devastating impact of the coronavirus on communities of color in America.

A provision in the 2017 tax cut law allows investors to defer and lower their capital gains taxes through 2026 if they invest their profits into designated "opportunity zones" –- areas struggling with high unemployment and low wages.

White House adviser Ja'Ron Smith told NPR that the administration is looking "at ways that we can extend the legislation."

"We're having conversations with leaders to figure out how to best approach that," Smith said. "It's a tool and there's a number of other tools we want to leverage, but we want to holistically figure out how we can be a good federal partner."

Smith declined to offer details on what an extension might entail.

Opportunity Zones have been a centerpiece of Trump's reelection pitch to African American and Latino communities. But the coronavirus pandemic has brought the once booming economy that fueled these projects to a halt. Lawmakers are now asking the administration to make adjustments.

Supporters of the tax breaks argue that the more than 8,700 zones have driven transformative investment in areas that otherwise would have been left behind.

"One of the things we're very proud of is Opportunity Zones," President Trump said at a cabinet meeting this week.

The program has not been without controversy, though. Critics say the tax incentives have benefited wealthy and connected investors more than local residents. The law also does not include reporting requirements that would enable the government to measure and track the effects of these investments.
Once the pandemic hit, Republican Senator Tim Scott — a leading advocate for the tax breaks — called for the Treasury Department to immediately relax some of the deadlines for investing profits in the zones.
One Republican-sponsored bill in the House of Representatives would also push the overall program out to 2030 to allow more time for investments.

The additional leeway could make a difference, said Mark Elliott, managing partner for the South Carolina Opportunity Fund. Funds like Elliott's are the vehicle that investors use to get money behind projects in the zones and receive the tax benefits.

"It's not going to hurt, and it may help a lot," Elliott said. "Extending it and loosening and making it a little broader, maybe that encourages more people to want to start businesses and to come back in these areas."

Elliott's fund has $250 million invested in projects in zones right now. He said that some deals have slowed down due to the pandemic, but other avenues have also opened up, including the potential for developing a face mask manufacturing plant in South Carolina.

Expanding Focus

The pandemic has had a devastating and disproportionate impact on black Americans, Latinos and other people of color in the United States.

The White House has been looking for ways to address these disparities through an interagency council that previously had solely been focused on boosting opportunity zones. White House aide Smith said the council, led by Housing and Urban Development Secretary Ben Carson, has been talking with minority business organizations and advocates about legislation or administrative actions that could help.

"The overall goal is prosperity everywhere," Smith said. "The COVID pandemic may have set us back in historic ways. However, that goal is still for everyone to realize the American dream and have access to opportunity."

Opportunity zones offer a way to help poor neighborhoods now dealing with the repercussions of a pandemic, said Shay Hawkins, who runs a trade group representing opportunity funds.

"In previous recessions, these places were just going to continue to be left behind," Hawkins said. "Now we have something that at least shines a light and points ... investors towards these areas."

Hawkins says his group supports immediate deadline extensions and the longer term extension of the program, as well as legislation that would expand reporting requirements, so the government and public will have a better picture of where investments are going.

He says his members are seeing the pandemic increase demand to invest in businesses in these areas.

But, there is some skepticism.

Brett Theodos is a senior researcher at the Urban Institute, who has been studying opportunity zones. While a multi-year extension may make the program more attractive for investors, he said it's not going to "restart an economy that's on ice."

Theodos said that based on current available data, the vast majority of investments so far have been in real estate and not in operating businesses. He also said, while there have been successes, it's not clear whether money is actually flowing to all of the zones.

"To date, the program has been more flash than substance," he said. "It's not to say that there has been no investment. There clearly has. (But) there's been a lot more talk and attention on the program than actual material change or investment into communities."

The office sector is also projected to incur significant distress, given the severity of the downturn and social distancing policies implemented to combat the pandemic. As employers have been compelled to execute remote working policies, national vacancies may break the 20% mark by 2021, and effective rents in some markets like New York may fall by close to 25%. By contrast, industrial and multifamily properties are likely to fare better. Vacancies are still projected to rise and effective rents are expected to turn negative, but the impact will not be as severe as on retail and office properties.

Research from the Moody’s Analytics REIS team explores market trends across sectors. Some recent COVID-19-related studies include:
·        The Future of Multifamily
·        The Future of Retail Rental Markets
·        California Property Markets

CRE market participants may access the forecasts through the REIS platform, and can gain further insight by using the Moody’s Analytics COVID-19 CRE Impact Dashboard, available free of charge for the duration of the crisis.

About Moody’s Analytics

Moody’s Analytics provides financial intelligence and analytical tools to help business leaders make better, faster decisions. Our deep risk expertise, expansive information resources, and innovative application of technology help our clients confidently navigate an evolving marketplace. We are known for our industry-leading and award-winning solutions, made up of research, data, software, and professional services, assembled to deliver a seamless customer experience. We create confidence in thousands of organizations worldwide, with our commitment to excellence, open mindset approach, and focus on meeting customer needs. Moody's Analytics, Inc. is a subsidiary of Moody's Corporation (NYSE: MCO). Moody's Corporation reported revenue of $4.8 billion in 2019, employs approximately 11,100 people worldwide and maintains a presence in 40 countries.
It's 'dangerous to ignore the market:' Bank of America sees $1 trillion in cash to fuel stocks

There's a good chance that stocks build on their face-ripping rally off the lows given all the cash sitting on the sidelines, according to Bank of America.
Savita Subramanian, the bank's head of U.S. equity and quantitative strategy, said equity allocation among BofA clients has dropped by 3 percentage points to 57.1% while cash allocations have risen to nearly 14%. Current cash levels are above a historical average dating back to 2005.
The increase in cash holdings comes even after stocks surged from the lows reached in late March. But given the high valuations in bonds relative to stocks, Subramanian thinks $1 trillion in cash could flow into the stock market.
"The extreme attractiveness of stocks over bonds, particularly as rates have plummeted back to near zero, can be the catalyst for the rotation into stocks, driving the market higher," Subramanian said in a note to clients.
Subramanian pointed out stocks have not been this attractive relative to bonds since the 1950s, noting the S&P 500's dividend yield is roughly three times that of the 10-year U.S. Treasury note. The S&P 500 currently yields 1.94%, according to FactSet, while the 10-year yield sits at 0.66%.
That attractive relative valuation is currently in place despite the S&P 500 rallying more than 35% since March 23. Those gains were sparked by expectations of the economy reopening, massive stimulus efforts undertaken by the Federal Reserve and U.S. lawmakers, along with apparent progress on a potential coronavirus vaccine.
"As the economy enters what our economists forecast as the worst recession in the post war era, the market is telling us not to worry. And it is dangerous to ignore the market," Subramanian said.

Source: CNBC
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