Aug 30, 2024
Steward Health Care System, once the largest for-profit private U.S. hospital network, is embroiled in a legal dispute with its largest landlord, Medical Properties Trust (MPT), over unpaid rent. MPT, which owns nearly all of Steward’s U.S. hospitals, has demanded that Steward either pay rent or vacate the properties, as Steward navigates Chapter 11 bankruptcy. The dispute, which has sparked legislative debate and led to severe maintenance issues at some hospitals, highlights the financial struggles of both entities. Steward seeks to sell its operations, but MPT claims that Steward is unfairly trying to shift real estate value to its own benefit. The conflict has stalled hospital sales and has broader implications for hospital ownership and real estate investment in healthcare.
Aug 28, 2024
U.S. house prices hit a record high in June 2024, marking the fourth consecutive month of increases, with the S&P CoreLogic Case-Shiller Index showing a 5.4% annual rise. Despite the historical peak, the growth in home prices has slowed for the third consecutive month, as seen in both national and metropolitan indices. Economists suggest that while inflation and housing have decelerated, home prices remain significantly above historical norms. The Federal Housing Finance Agency’s data also indicates a slowdown in house price growth, likely influenced by increasing housing inventory and high mortgage rates. The effects of recent interest rate cuts by the Federal Reserve may be reflected in future reports.
Aug 20, 2024
Florida’s multifamily markets, especially in Palm Beach and Tampa, have seen significant rent growth over the past five years due to rapid population increases, which drove vacancies to historic lows. However, a surge in new apartment construction, particularly in luxury developments, has led to an oversupply, outpacing renter demand. As a result, vacancy rates have risen, and landlords have had to offer significant concessions, such as free rent, to attract tenants, causing rents to decline. This trend is expected to continue as more units come online, keeping pressure on rent growth.
Aug 19, 2024
Foreclosure activity in the U.S. is rising, with nearly 32,000 housing units facing default notices or repossessions in July 2024, an 18% increase from June and a slight 0.2% year-over-year rise. Delaware had the highest foreclosure rate, with a 7.37% increase, followed by Nevada, Utah, New Jersey, and Illinois.
