Press Release – Page 2 – The Real Estate Roundtable

News Release: While Uncertainty Remains, Commercial Real Estate Executives Are Optimistic About Future Market Conditions

Posted on February 17, 2023October 23, 2023 by Trey Jackson

(WASHINGTON, D.C.) — The Real Estate Roundtable’s Q1 Economic Sentiment Index reports that industry executives, while optimistic about the future, remain uncertain about current market conditions, citing inflation, rising interest rates, and supply chain disruptions as concerns. However, executives also express that perceptions and outlooks differ across asset classes, as some remain strong and others show concerns.

Roundtable President and CEO Jeffrey DeBoer said, “Fundamentally, our Q1 index illustrates that the trends accelerated by the pandemic have led to mixed performances across asset classes. Multifamily and industrial assets have maintained steady growth due to increased housing demand and supply chain needs, while hospitality and student housing are regaining momentum. But in the office sector, remote work policies, concerns over crime and transportation are driving record-high vacancy rates throughout the country, hurting city budgets and small businesses.”

“Looking forward, industry leaders are anticipating the landscape to improve throughout the year, despite recent declines in asset values and the decreased availability of debt and equity capital compared to a year ago. Policymakers should emphasize the need to return to the workplace while considering other innovative solutions such as legislation to convert underutilized offices to housing to entrench this optimism, create jobs, spur economic activity, and increase housing supply and tax revenue,” DeBoer added.

The Roundtable’s Economic Sentiment Index—a measure of senior executives’ confidence and expectations about the commercial real estate market environment—is scored on a scale of 1 to 100 by averaging the scores of Current and Future Economic Sentiment Indices. Any score over 50 is viewed as positive.

The Q1 Sentiment Index topline findings include:

The Q1 2023 Real Estate Roundtable Sentiment Index registered an overall score of 44, an increase of five points from the previous quarter. The Current Index registered at 31, a two-point increase from Q4 2022, and the Future Index posted a score of 58 points, an increase of ten points from the previous quarter.
Several survey respondents acknowledged the dangers of generalizing trends across the commercial real estate industry as the disparities between asset classes grow; multifamily and industrial continue to attract interest, hospitality and student housing are beginning to bounce back, meanwhile Class B office is struggling.
Nearly all survey participants (93%) expressed that asset values have fallen year-over-year. That said, conversations with industry leaders suggest that the market is still in a period of price discovery. With low transaction volume and a limited supply of debt capital, there is lingering uncertainty as to where asset prices will ultimately land.

Survey participants overwhelmingly indicated that the availability of debt and equity capital is worse today compared to one year ago (93% and 82% respectfully). However, over half of participants expect the capital markets to improve over the next 12 months.

Data for the Q1 survey was gathered in January by Chicago-based Ferguson Partners on The Roundtable’s behalf. See the full Q1 report.

The Real Estate Roundtable brings together leaders of the nation’s top publicly-held and privately-owned real estate ownership, development, lending and management firms with the leaders of major national real estate trade associations to jointly address key national policy issues relating to real estate and the overall economy

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The Real Estate Roundtable and Partner Real Estate Associations Join Together for the First Time to Expand Supplier Diversity Opportunities

Posted on February 14, 2023January 31, 2024 by Trey Jackson

The Commercial Real Estate Diverse Supplier (CREDS) Consortium is a first-of-its-kind coalition to provide more opportunities for minority- and women-owned businesses in the industry’s supply chain.

Washington, D.C. — Today, an industry-wide group of seven real estate trade associations announced a first-of-its-kind alliance to foster supplier diversity in real estate. The Commercial Real Estate Diverse Supplier (CREDS) Consortium aims to expand economic opportunities for businesses owned by minority- and women-owned businesses (MWBEs) in the chain of providers that supply the real estate industry.

In addition to The Real Estate Roundtable, CREDS Consortium associations include CREW Network, ICSC, Mortgage Bankers Association, NAIOP, Nareit and the National Multifamily Housing Council. CREDS Consortium associations will highlight tools that their members can use to identify, track, report, and procure products and services from MWBEs and companies owned by veterans, LGBTQ+ persons, and persons with a disability.

The Real Estate Roundtable’s President and CEO, Jeffrey DeBoer, said, “Owners, developers, and financiers of commercial and multifamily real estate are committed to help minority, women, and other historically under-represented entrepreneurs prosper in our great industry. The CREDS Consortium can help our members realize their intentions to advance economic opportunities across the vast and varied supply chain that serves real estate, makes our buildings productive, and strengthens the fabric of our communities.”

The CREDS Consortium has launched a two-year pilot program that will run through the end of 2024 with SupplierGATEWAY, a leading supplier management software platform and minority-owned firm that automates and simplifies supplier and vendor management. SupplierGATEWAY’s products include supplier sourcing, registration, risk management, compliance, and management—and provide support for corporate social responsibility, diversity, and inclusion goals.

Members of the CREDS associations can subscribe—at a discounted price—to SupplierGATEWAY’s software platform to search for, connect with, and potentially hire MWBEs as contractors, service providers, vendors, and joint venture partners. CREDS associations’ subscribing members can access the vendor management software and a comprehensive database of MWBE suppliers through the Consortium’s portal page, hosted by SupplierGATEWAY.

Hiring companies can also post their purchase orders and other contracting opportunities through the CREDS portal. Tools available on the platform that measure and track MWBE procurement spending will support companies that intend to advance environmental social, and governance (ESG) and diversity, equity, and inclusion (DEI) goals.

During the pilot program, the Consortium also hopes to gain broad insights into supplier diversity trends across the commercial real estate industry.

Visit Supplier Gateway to learn more about the CREDS Consortium pilot program. An FAQ document can be found here.

What CREDS Consortium partners are saying:

Wendy Mann, CEO, CREW Network

“As a global organization focused on accelerating success for all women in commercial real estate, CREW Network supports this partnership and initiative as an important business strategy to elevate ESG and DEI and create a more equitable industry for all. Women- and minority-owned businesses are a driving force behind economic growth and bringing this diverse talent to the industry is a business imperative. Companies that increase their diverse spend also see an increase in innovation and market share. It’s a win-win.”

Tom McGee, ICSC President & CEO

“ICSC is committed to advancing diversity, equity and inclusion in the Marketplaces Industry and giving our members ways to identify and source MWBEs is one way we can do this. The CREDS Consortium helps meet the growing demand for diversity in service providers and offers our members direct access to the tools and resources they need to support their own DEI goals. We are proud to be a founding member of the Consortium and look forward to working closely with the partner organizations to further this important initiative.”

Bob Broeksmit, CMB, President and CEO of the Mortgage Bankers Association

“The Commercial Real Estate Diverse Supplier Consortium is a great resource for expanding DEI and ESG opportunities in the real estate finance industry. Our members will benefit from the consortium’s work to identify minority- and women-owned suppliers that provide essential products and services. MBA and its members are dedicated to supporting and promoting supplier diversity.”

Marc Selvitelli, CAE, NAIOP, the Commercial Real Estate Development Association

“NAIOP is proud to be a founding member of this important initiative. By working together, we believe this powerful alliance of real estate associations can propel our member companies’ success in achieving their important ESG goals. Facilitating access to a minority- and women-owned supplier database is an important first step in creating future opportunities between diverse vendors and developers and owners of commercial real estate.”

Steven A. Wechsler, President and CEO, Nareit

“Increasing the use of diverse service providers is an industry-wide priority that requires an industry-wide approach, which is why we are proud to be a founding member of the CREDS Consortium. The CREDS-SupplierGATEWAY partnership will enable Nareit’s members to leverage existing software and tools to more quickly increase diversity and inclusivity in their respective supply chains.”

Sharon Wilson Géno, President, National Multifamily Housing Council

“As a founding member of the Consortium, NMHC proudly continues our longstanding commitment to DEI as a business imperative that drives innovation and success. NMHC knows that connecting more buyers with more sellers, and measuring those connections, are essential steps toward a more robust market that benefits both multifamily firms and MBWE partners that help power the industry. As an alliance, the Commercial Real Estate Diverse Supplier (CREDS) Consortium can amplify our efforts to strengthen industry access for diverse suppliers, and support the ESG and DEI goals of our members.”

Ade Solaru, Founder and CEO, SupplierGATEWAY

“Our partnership with the CREDS Consortium is an important component of our mission to generate meaningful economic impact at scale for our customers. Each member of the CREDS associations can now create meaningful social impact at the local level without sacrificing efficiency, cost or risk.”

About The Real Estate Roundtable

The Real Estate Roundtable brings together leaders of the nation’s top publicly held and privately-owned real estate ownership, development, lending, and management firms with the leaders of major national real estate trade associations to jointly address key national policy issues relating to real estate and the overall economy.

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2022 Annual Report – Building a More Resilient and Dynamic Future

Posted on June 25, 2022October 27, 2023 by Trey Jackson

View Full Report – 2022 Annual Report – Building a More Resilient and Dynamic Future

News Release: Economic Headwinds and Geopolitical Uncertainty Top CRE Executives’ Views About Q2 Market Conditions

Posted on May 16, 2022October 23, 2023 by Trey Jackson

(WASHINGTON, D.C.) — Commercial real estate executives remain optimistic about overall Q2 market conditions despite growing economic headwinds and geopolitical uncertainty, according to The Real Estate Roundtable’s Q2 2022 Economic Sentiment Index released today.

Roundtable President and CEO Jeffrey DeBoer said, “The decline in this quarter’s Real Estate Roundtable Sentiment Index reflects concerns regarding inflationary pressures, interest rate increases, labor shortages and supply chain disruptions. Even so, the overall sentiment of commercial real estate industry senior executives remains positive. Businesses and individuals continue to rethink how real estate meets their evolving working, living, and traveling preferences. Building owners, managers and financiers across the nation are partnering with their business and residential tenants to respond, while also pressing forward in developing and redeveloping buildings to be greener, smarter, and more efficient.”

He added, “Our Q2 Sentiment Index reveals especially bright spots for lease demand in a wide swath of the economy, particularly regarding life sciences, industrial, multifamily, and data center assets. At the same time however, high inflation, rising interest rates, labor and supply chain shortages are increasing costs associated with all real estate development and operations. The impact of ongoing war in eastern Europe is another cloud tempering optimism. We urge national policymakers to focus on creating jobs and supporting strong real estate asset values. Both actions would buttress the overall economy and help local community budgets provide needed safety, education and transportation services.”

The Roundtable’s Overall Sentiment Index—a measure of senior executives’ confidence and expectations about the commercial real estate market environments—is scored on a scale of 1 to 100 by averaging the scores of Current and Future Economic Sentiment Indices. Any score over 50 is viewed as positive.

Topline findings include:

The Q2 2022 Real Estate Roundtable Sentiment Index registered an overall score of 51, a decrease of 15 points from the previous quarter’s overall score and 26 points lower than a year earlier. Survey respondents remain optimistic but have tempered their expectations due to geopolitical and economic uncertainties, which include rising interest rates, increased inflation, and labor and supply chain shortfalls.

Perceptions vary by property type and geography, with industrial, multifamily, life sciences, and data centers continuing to be most favored. As employers continue to roll out return-to-office policies, the demand for office space remains uncertain.

Asset values have trended upward across asset classes compared to last year, while forward-looking expectations are starting to taper off.

Participants cited a continued availability of debt and equity capital despite those heightened concerns over rising interest rates, geopolitical concerns, and inflationary risk.

Data for the Q2 survey was gathered in April by Chicago-based Ferguson Partners on The Roundtable’s behalf. See the full Q2 report.

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The Real Estate Roundtable Elects FY 2022 Leadership

Posted on August 5, 2021October 27, 2023 by Trey Jackson

John Fish is New Chair of Roundtable Board of Directors; Debra Cafaro Commended for her Effective Three Years as Roundtable Chair

(WASHINGTON, D.C.) — The Real Estate Roundtable today announced its new FY2022 leadership, with John F. Fish (Chairman & CEO, Suffolk) elected as Chair for a three-year term starting July 1, 2021 – following an effective, productive term by Immediate Past Chair Debra A. Cafaro (Chairman & CEO, Ventas, Inc.). The Roundtable’s membership also approved a 22-member Board of Directors and committee officers.

“I am honored and humbled to assume this new role at such a pivotal moment for the real estate industry. Our communities are facing a host of challenges – from unprecedented political polarization, to the growing threat of climate change, to the comeback from the global pandemic – but where we see obstacles ahead, we also see opportunity to expand jobs, provide housing, and assist businesses evolve in the post-Covid economy,” said John Fish, Chair of the Real Estate Roundtable.

“The Real Estate Roundtable and its members have a tremendous legacy of stepping up during difficult times, and I look forward to working alongside my colleagues and leaders from business and government to build on the great work that is already underway. Together, we can continue to leverage our knowledge and resources to have a positive impact on our industry and the world.”

“We are committed to sustainable national policies that reinforce and expand long-term economic growth and opportunities for all, spur job creation and encourage capital formation,” said Jeffrey D. DeBoer, Roundtable President and CEO. “The real estate industry provides jobs for tens of millions of people, is a significant source of revenue for local governments to help fund schools, hospitals and much needed community services, and is a key investment allocation for pensions and other retirement savings funds. I thank Debra for her leadership, and look forward to working closely with our new chair John Fish on these policy issues and to continuing The Roundtable’s fact-based, data driven advocacy work.”

The Roundtable’s Immediate Past Chair, Debra Cafaro noted, “It has been an honor and privilege to serve as chair for the last three years, and I am delighted to pass the baton to my friend and colleague John Fish. John is uniquely well-positioned to lead this organization as we move forward with the issues of economic recovery from the pandemic, job creation, sustainability, infrastructure and tax policy, which are at the forefront of policy debates in Washington.”

Key Background:

The 22-member FY2022 Board is elected from the membership and includes three elected leaders of national real estate trade organizations from The Roundtable’s 19 partner associations.

Under Mr. Fish’s leadership, Suffolk has grown into one of the leading privately held general building contractors in the country. With approximately $4 billion in annual revenue, Suffolk is currently ranked #23 on the Engineering News-Record national list of “Top 400 Contractors.” Mr. Fish is also fixture on numerous boards focused on improving the economy, strengthening business and creating jobs, and has served on The Roundtable’s Board of Directors since 2017.

The Roundtable’s business and trade association leaders seek to ensure a cohesive industry voice is heard by government officials and the public about real estate and its important role in the global economy.

Joining The Roundtable’s Board of Directors as of July 1 are:

Geordy Johnson, CEO, Johnson Development Associates, Inc.
Brian Kingston, Managing Partner and Chief Executive Officer, Brookfield Property Partners
Kara McShane, Head of Commercial Real Estate, Wells Fargo
Mark J. Parrell, President & Chief Executive Officer, Equity Residential, Member, National Multifamily Housing Council

See the complete list of the FY2022 Roundtable’s Board of Directors here.

Stepping down from The Roundtable Board as of July 1 are:

Shelby Christensen, Chair and Chief Elected Officer, Building Owners & Managers Association, International
Richard B. Clark, Managing Partner, WatermanCLARK
Charlie Dawson, Vice President, National Association of REALTORS®
Robert R. Merck, Senior Managing Director and Global Head of Real Estate, MetLife Investment Management
William C. Rudin, Co-Chairman and CEO, Rudin Management Company, Inc. Chairman Emeritus, The Real Estate Roundtable

For FY 2022, The Roundtable’s Committee Leadership will be:

Equity, Diversity and Inclusion Committee

Jeff T. Blau (Related Companies) continues as chair

The Homeland Security Task Force (HSTF) will be co-chaired by

Amanda S. Mason (Related Companies) and
Keith Wallace (Marriot International)

The Real Estate Capital Policy Advisory Committee (RECPAC) will be co-chaired by:

Kathleen Sullivan Farrell (Truist),
Gregg Gerken (TD Bank), and
Michael H. Lowe (Lowe)

The Research Committee will be co-chaired by:

Spencer Levy (CBRE) and
Paula Campbell Roberts (KKR)

The Sustainability Policy Advisory Committee (SPAC):

Anthony E. Malkin (Empire State Realty Trust) continues as chair,
Daniel Egan (Vornado Realty Trust) continues as co-vice chair
Ben Myers (Boston Properties) is a new co-vice chair

The Tax Policy Advisory Committee (TPAC):

Frank G. Creamer, Jr. (FGC Advisors, L.L.C.) continues as chair
Catherine Perrenoud (Johnson Management, LLC) is the new vice chair

The Roundtable’s membership represents over 3 million people working in real estate; some 12 billion square feet of office, retail, and industrial space; over 2 million apartments; and more than 3 million hotel rooms. It also includes senior, student and manufactured housing as well as medical office, life science campuses, data centers, cell towers, and self-storage properties. The collective value of assets held by Roundtable members exceeds $3 trillion.

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Roundtable Board of Directors Approves RER Leadership; Establishes Equity, Diversity and Inclusion Committee

Posted on October 2, 2020October 10, 2023 by Trey Jackson

RER Board Approves Suffolk Chairman and CEO John F. Fish as Chair-Elect for FY 2021, Edens CEO Jodie W. McLean as Secretary, and Related Companies CEO Jeff T. Blau as Chair of Newly Established Equity, Diversity and Inclusion Committee

(WASHINGTON, D.C.) — The Real Estate Roundtable’s 24-member Board of Directors has approved John F. Fish (CEO & Chairman, Suffolk) as the organization’s Chair-Elect, to begin his term as Chairman of the Roundtable in mid-2021. The Board also approved, effective immediately, Jodie W. McLean (CEO, Edens) as its Secretary and Jeff T. Blau (CEO, Related Companies) as the Chair of the organization’s newly established Equity, Diversity and Inclusion (ED&I) Committee.

Chair-Elect Fish will succeed current Roundtable Chair Debra A. Cafaro (Chairman and Chief Executive Officer, Ventas, Inc.) whose term expires July 1, 2021. “The Board of Directors of The Real Estate Roundtable is excited to announce John Fish as our Chair-Elect and Jodie McLean as our Secretary,” said Cafaro. “John has been an active Board member and has played a key role in developing our policy agenda. He is active on a bipartisan basis with policymakers, and his experiences and accomplishments across business, government and philanthropy give John a broad perspective that will benefit the Roundtable and our members. John’s emphasis on labor force issues, infrastructure, and the need to level the educational and economic opportunities for all Americans are particularly relevant as The Roundtable develops and advocates fact-based policies that create jobs and inclusive economic growth,” Cafaro added.

Mr. Fish stated, “I am honored to have the opportunity to serve as Roundtable Chair-Elect, work with the talented team and follow Debra Cafaro’s impressive record of policy accomplishments in Washington. I have seen the effectiveness of the organization in advocating shared industry concerns to lawmakers and regulators, and strongly believe it is essential for The Real Estate Roundtable to continue its engagement at all levels of policy-making as the nation comes together to address new economic, societal and health challenges.”

About Fish and McLean

Mr. Fish is the Chairman and CEO of Suffolk, which is a national real estate and construction enterprise that invests, innovates and builds, providing value throughout the entire building lifecycle. Suffolk is one of the largest builders and privately held companies in the country, with main offices in the Northeast, New York, Florida, Texas and California. The company services clients in the aviation/transportation, science and technology, mission critical, commercial, education, healthcare, gaming and government sectors. Mr. Fish is a former Chair of the Federal Reserve Board of Boston, current Chair of Brigham and Women’s Hospital and member of the Mass General Brigham’s Executive Committee, and is serving his second term as Chairman of the Board of Trustees at Boston College.

Jodie W. McLean is Chief Executive Officer of EDENS, one of the nation’s leading private owners, operators and developers of retail real estate. She is responsible for EDENS’ strategy to move the portfolio to major urban centers, creating a portfolio of assets that are the center of community life. Ms. McLean currently serves on the Board of Directors of the Federal Reserve Bank of Richmond. She also serves on the boards of Cushman & Wakefield and Extended Stay America, as well as boards of several other institutions and charities.

Equity, Diversity and Inclusion Commitment of RER

On his appointment as the Chair of the Real Estate Roundtable’s newly created Equity, Diversity and Inclusion Committee, Mr. Blau said, “As leaders, it is our obligation to enact fundamental change. I am honored to chair the ED&I committee and am eager to listen and be guided by diverse voices and perspectives as we work together to promote an industry that is reflective of the society we live in.”

Roundtable Present and CEO, Jeffrey D. DeBoer commented, “I am delighted with these Board leadership decisions and, in particular, I look forward to implementing recommendations from our ED&I Committee that will help advance equal economic opportunities for all.”

The Roundtable’s membership represents nearly 3 million people working in real estate; approximately 12 billion square feet of office, retail and industrial space; more than 2 million apartments and nearly 3 million hotel rooms. The collective value of assets held by Roundtable members is estimated at $3 trillion.

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