Photos: Nick Koutoufas
(Front row, from left)
GARY E. RUFRANO is a director with Clarion Partners
in New York City. He handles acquisitions and development in the Northeast, Midwest and Texas for the firm,
which has $44 billion in US assets under management.
DIMPESH DARJEE is director for TH Real Estate and head
of acquisitions on the New York Regional Team. Previously
known as TIAA Global Asset Management, the firm has
$68 billion in US debt and equity assets under management, and $96 billion globally.
MICHAEL DESIATO (moderator) is the vice president
and group publisher of ALM Real Estate Media in
New York City.
TUBA MALINOWSKI is sr. portfolio manager of the Smart
Markets Fund and head, portfolio strategy, for Stockbridge
Capital Group in Atlanta. The firm manages over $10 billion
in US assets in core, value and opportunistic investments.
PETER SIBILIA is an executive director in the New York
City office of J. P. Morgan Investment Management
US Real Estate, where he runs the Northeast acquisitions team. The company has $50 billion in assets under
management in the US, and $82 billion globally.
(Back row, from left)
PAUL BONEHAM is an EVP for Bentall-Kennedy in
Chicago. Part of Sun Life Investment Management Co., the
firm manages $35 billion of assets in the US and Canada.
JOHN EHLI serves as co-lead portfolio manager for
Deutsche Asset Management in New York City. The
company’s real estate investment business has in
excess of $54 billion in assets under management.
STEVE PUMPER (moderator) is executive managing
partner, capital markets and asset strategies, for
Transwestern in Dallas.
DENNIS SCHUH is chief originations officer for
Greenwich, CT-based Starwood Property Trust. The
firm manages $10 billion worth of assets across its
lending, investing & servicing and property business
Rising rates can also help to temper new supply. Oversupply is the
kryptonite to our ability to move rental rates and protect returns. If
fundamentals remain strong to balanced, we will continue to see an
active market for acquisitions, dispositions and financing.
MICHAEL DESIATO: Data from Real Capital Analytics show
that US transaction volume declined 11% in 2016, partially
thanks to a significant dropoff in portfolio and entity-level
deals. To what do you attribute most of that decline?
PAUL BONEHAM: Part of it was that 2015 was a year of huge transactions—people that had big bets decided it’s time to hedge those
bets and not be so dramatically exposed in a certain area. That ran
its course. But 2016 was still a very normal, healthy year.
EHLI: If you think about where we were in January and February
of 2016, the stock market was down and a big piece of the lending
market—CMBS—had not yet re-emerged. Over the past few years
a series of core funds and other real estate investments had performed very well, so there was some profit-taking to be had
through the year. So we were coming off a number of very good
years for most real estate investors, in terms of accomplishing
their goals with investment and repositioning their portfolios. As
such, investors were more disciplined and I think we see that
reflected in the numbers.
SCHUH: We also had a very contentious election that captivated
the world, let alone the country. The uncertainty behind that also