Why are you even at work today? Just so you can read, “It’s not a recession unless it’s from the Recession Region of France, otherwise it’s just Sparkling Misery.” Or to learn that, on this date in 1888 in France, Vincent van Gogh sliced off his left ear as a love-drury. (More lookbacks below.) Been to the store lately? A dozen large eggs, and there aren’t a lot of substitutes for eggs in baking, in the American Midwest is now going for around $5 at wholesale, up from $1.60 at the same time last year, due to the worst-ever bird flu ripping through the poultry population of the United States. So far 57.5 million birds have died as a result of outbreaks, most of which are egg-laying hens. (The flu is expected to continue for the rest of the winter.) In other trends more germane to real estate, the increase in work from home means that some developers of downtown commercial real estate are kicking off transitions of office towers into apartments & condominiums. In 2022 there were just 11 office-to-apartment conversions in the United States according to CBRE, but that’s expected to hit 34 conversions in 2023. The transitions can reduce vacancy rates and don’t involve constructing a whole new building, but on the other hand the installation of plumbing in the new units often means that they need to be gutted, and that’s not even addressing dealing with the regulatory issues with their expenses. (Today’s podcast is sponsored by Richey May, a recognized leader in providing specialized advisory, audit, tax, technology, and other services in the mortgage industry and in banking.)

Published On: December 23, 2022 / Categories: Mortgage News /