The political battles shaping real estate; can CPC clean up Signature’s “toxic” debt? And more ...

The best national real estate stories from The Real Deal. Jan 06, 2024 [View in Browser]( | [$1 for 1 Month]( [The Real Deal Logo](   [The National Logo](   In today’s newsletter, we take a look at the political battles that will [dominate real estate this year](, and pit YIMBYs against NIMBYs across the country. Plus, Donald Trump’s civil fraud trial [shines a light on an unexpected corner of the industry](, Terra’s David Martin [moves forward with his biggest project](, and a nonprofit tries to [save New York’s “toxic” housing stock](. These and more stories below.   [The political battles shaping real estate this year]( In December 2022, New York Governor Kathy Hochul took aim at city and state policies that blocked housing development. She highlighted New York’s exceptional ability to restrict new development, and announced her intention to end that. But, more than a year later, nothing has changed. Despite the need for housing, and what looked like political support for new development, resistance to significant policy changes persisted. This story isn’t unique to [New York](, either. Housing shortages have permeated almost every major metropolitan area in the country. Politicians have discussed cures for the ailment, but few have enacted meaningful policies to address it. Housing advocates have highlighted pro-development measures like builder's remedy — a penalty allowing certain projects to override local zoning in cities failing to pass a state-approved housing plan, already being tested in California. California Gov. Gavin Newsom supported builder's remedy, yet new construction faced obstacles from a recently elevated transfer tax on high-priced properties. Chicago grappled with a potential increase in its transfer tax while attempting to dismantle barriers to new housing. In Austin, Mayor Kirk Watson championed YIMBY (Yes In My Backyard) policies, only to be thwarted by litigation and bureaucratic hurdles. Gov. Ron DeSantis signed a law in Florida permitting taller and denser housing developments, but certain municipalities countered with building moratoriums. Beyond major cities, rent regulation, deemed a deterrent to new construction by developers, headed for the ballot in several smaller Bay Area cities and was set to become a reality in Newburgh, a city in New York's Hudson Valley. These political battles and substantial challenges are poised to shape the landscape of housing production in 2024.   Advertisement   [I'm an image]( [Can a nonprofit clean up Signature’s “toxic” debt?]( Fifty years ago, the Community Preservation Corporation stepped in to save NYC’s aging affordable housing. Now, with the help of Related Fund Management, it has to do it again. [I'm an image]( [How David Martin plans to deliver the biggest project of his career]( Terra Group’s David Martin has faced a number of setbacks in recent years, but not for lack of trying. The South Florida developer is far from discouraged, and his latest plans are more ambitious than ever. [I'm an image]( [How appraisers and property owners find a price that’s right for their project]( Donald Trump’s recent civil fraud trial shined a spotlight on appraisers. They might not get much attention, but appraisers’ decisions can make a huge impact. They can determine the size of a loan owners can get, shrink tax payments and even throw a wrench in the industry’s biggest succession battle.   Advertisement   [I'm an image]( [Brand Studio Behind the Scenes: 611 West 56th St]( [I'm an image]( [What slump? Manhattan’s luxury market did well in 2023]( While most corners of the housing market struggled through 2023, Manhattan’s luxury market stood steady by most measures. Of course, transaction and sales volume were down from the dog days of 2021, but altogether the market proved resilient to the pressure of rising borrowing costs. [I'm an image]( [Ari Rastegar’s developments are preparing for liftoff in Austin]( Austin-based developer Ari Rastegar is on the brink of something huge, with nine-figures worth of projects coming online over the next 90 days. But he’ll have to survive the wave of distress in the office market if he wants to see it through. [I'm an image]( [With office deals scarce, picky LA investors and lenders choose just the right project]( Once upon a time, a brand-new Class-A office building in Century City — California’s strongest office district — would have been fighting off investors. But with office in the dumps, investors have their pick of the litter, and they’re only jumping on the perfect opportunity. [I'm an image]( [Former CA Ventures exec sues for $6M]( In a follow up to one of TRD’s most popular stories of 2023, CA Ventures CEO Tom Scott has found himself in more legal trouble. This time, it’s a former CA Ventures exec suing the company for $6 million. The lawsuit is the latest in a long series of legal and financial troubles for Scott and his firm. [I'm an image]( [“Lack of supply on steroids” in the heart of Silicon Valley]( Rising interest rates were enough to slow the housing markets in most parts of the country. But Silicon Valley is seeing bidding wars and day zero deals again, thanks to its extreme lack of supply and the return-to-work policies implemented by locally-based tech giants like Apple and Meta.     [The Real Deal Logo]( [Facebook]( [Twitter]( [Instagram]( [LinkedIn]( [YouTube]( [Manage Newsletters]( | [Unsubscribe]( | [Privacy Policy]( | [Subscribe]( | [Advertise]( The Real Deal 450 West 31st Street, New York, NY 10001 ©2023 TheRealDeal. All rights reserved. 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