The Daily REITBeat | Thursday, May 8th, 2025

"One Deal Done?"

Author

David Auerbach
May 08, 2025

Good Morning!

Futures in the green at the time of this writing as talking heads focus on a potential trade agreement with Britain as yesterday’s Fed meeting gets a lot of attention with earnings, treasuries, bitcoin and the other usual suspects getting coverage.

From Bloomberg

  • "US technology shares led a rally in stock futures, as sentiment was boosted by the Trump administration’s plan to rescind some Biden-era curbs on chipmakers and news of a trade agreement with Britain.

  • Contracts for the Nasdaq 100 added 1.3% while those on the S&P 500 climbed about 1%. Intel Corp. rose more than 3% in premarket trading, while peers such as Nvidia Corp. and Micron Technology Inc. also gained after Bloomberg reported the US will rescind restrictions regulating the export of semiconductors to various countries. In addition, President Donald Trump said the US has reached a trade agreement with the UK.

  • The headlines lifted Europe’s Stoxx 600 index by about 0.7%, with chip stocks including ASML Holding N.V. among the top gainers. Britain’s domestically focused FTSE 250 index rose to a two-month high. 

  • Treasuries and gold prices dropped as market sentiment improved, while the dollar firmed and Bitcoin rose toward the $100,000 mark for the first time since February. 

  • Trump’s announcement of a UK deal followed news that US and Chinese officials will meet this weekend to discuss trade. Investors are waiting to see if crippling levies mooted by Trump will be negotiated down, averting lasting damage to economic growth and corporate profits. 

  • “The fear has been of higher prices, company profit margins being squeezed, and the economy going nto recession as a result of higher tariffs,”  said Kenneth Broux, a strategist at Societe Generale. “If you start unwinding all of that, it’s got to be bullish for risk assets.”"

In REIT News

  • Yesterday, BTIG downgraded ADC to Neutral from Buy

  • AHH, BHR, COLD, EPR, FPI, GMRE, GNL, GOOD, HHH, HPP, IIPR, LAMR, NLCP, ONL, SILA, SITC, SMA, TRNO announced quarterly earnings while AHR, FRT, OUT announce after the close of trading and STRW announces tomorrow morning before the open

  • PGRE sold a 25% interest in One Front Street, a 649,000 sf Class A office building located on the corner of Front and Market Streets in San Francisco, at a gross asset valuation of $255 million and Paramount will continue to own the remaining 75% interest and manage and lease the property where as part of the transaction, Paramount has provided $40.5 million of seller financing for a two-year term at a fixed rate of 5.50% and the Company retained net proceeds of $11.5 million from the sale after transaction and other costs

  • DEA acquired a 74,549 sf facility primarily leased to the U.S. Department of Homeland Security (DHS) located near Burlington, VT noting that it is a 100% leased build-to-suit facility, designed to the exact specifications of the U.S. Government and the Level IV secure facility includes support from U.S. Customs and Border Protection (CBP), U.S. Immigration and Customs Enforcement (ICE), and ICE’s Law Enforcement Support Center (LESC) as the 10-year non-cancelable General Services Administration (GSA) lease does not expire until May 2031

  • WSR announced the acquisition of the 31,832 sf, restaurant-anchored San Clemente at Davenport in Austin, TX noting that the center tenant mix includes Fresa’s, a local Mexican favorite with a welcoming atmosphere and outdoor patio that anchors the property, Iron Fitness, a state-of-the-art training and fitness facility and Greenlake Energy, an emerging energy technology company

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Welcome your comments and feedback.

Have a great day!

David Auerbach