5 at 5: Your Daily Digest for Real Estate Investing, 6/7/21

This post was originally published on this site

© Provided by The Motley Fool 5 at 5: Your Daily Digest for Real Estate Investing, 6/7/21

Blackstone buys data center REIT, Fundrise pivots big bucks to single-family rentals, eviction relief extended while rent relief dribbles out, and a think piece about the labor market.

Today on Millionacres

Blackstone Group to Gobble QTS Data Center REIT

Funds managed by private equity giant Blackstone Group (NYSE: BX) have agreed to acquire real estate investment trust (REIT) QTS Realty Trust (NYSE: QTS). The all-cash transaction values the data center REIT at $10 billion.

The Millionacres takeaway: Our Matthew DiLallo says this deal is notable for a couple reasons. First, it continues the blistering pace of M&A in the REIT sector this year. It also shows that Blackstone sees a bright future for data infrastructure.

Fundrise Plans for Massive Expansion of SFR Strategy

Fundrise is one of the biggest real estate investing platforms in the United States, with over 150,000 investors. Its latest moves indicate that it plans to get larger.

The Millionacres takeaway: Our Deidre Woollard says the firm is now targeting $150 million to finance nearly $500 million commitment to building new single-family rentals. Fundrise is not alone. Deidre also explains why this is such a hot market.

On Moratoriums and Rent Relief

Fannie, Freddie Extend Multifamily Eviction Relief

The Federal Housing Finance Agency has extended the eviction moratorium until September for Fannie Mae and Freddie Mac-backed multifamily properties that had sought forbearance during the pandemic, GlobeSt.com reports today.

The Millionacres takeaway: That can gets kicked down the road while court battles over the CDC’s national moratorium eviction continue. Landlords and tenants are inextricably tied together in this turmoil, and only time will tell how it plays out.

There’s $45 Billion Available in Rent Relief, but Where Has That Money Gone?

That aid is being distributed at the state level — and to say the states have been slow in getting that money sent out would be an understatement, our Maurie Backman writes. Unfortunately, that’s doing delinquent tenants and landlords alike a major disservice.

The Millionacres takeaway: At this point, there’s not much to do about the sluggish nature of the rent relief program other than waiting it out. But for some renters, that could spell the difference between homelessness and a roof over their heads. And that doesn’t do much for the property owners, either especially those mom-and-pop investors who depend on that income for their own livelihoods.

Also in Today’s News

Workers Are Gaining Leverage Over Employers Right Before Our Eyes

It’s not just retailers feeling the pain around finding workers, and it began happening before the pandemic, this New York Times piece says. Some businesses may need to raise prices or retool how they operate; others may be forced to close entirely.

The Millionacres takeaway: Read this analysis piece to get a broader perspective of what’s happening in the labor market in this country, and as you do, think about how that might affect real estate investments in multiple segments. There’s a lot here to digest.

Load Error

Got $1,000? The 10 Top Investments We’d Make Right Now

Our team of analysts agrees. These 10 real estate plays are the best ways to invest in real estate right now. By signing up to be a member of Real Estate Winners, you’ll get access to our 10 best ideas and new investment ideas every month.

Find out how you can get started with Real Estate Winners by clicking here.

The Motley Fool has a disclosure policy. Editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. Editorial content from Millionacres is separate from The Motley Fool editorial content and is created by a different analyst team.

Continue Reading