Office

More than 50% of mid-size tenants have either re-occupied or backfilled their space instead of subletting them.

The ownership and improving market fundamentals made the deal attractive to the lender, Square Mile Capital Management.

"The slight shift, following a few months of minimal change, indicates that the market is settling into a return to normalcy."

The vacancy rate in the two Northern California counties increased from 17.5% to 17.8% in the second quarter, illustrating the sluggish market activity.

We may see lenders dictating a change in the way landlords design their rent increases, and at the least, expect to see more re-trades as underwriters factor in "real return," or how the prevailing inflation rate impacts the asset's ROI.

These investors do not view remote work as a long-term threat to office values.

Office rents did decline in 37 out of the 79 metros Moody's tracks for Q2.

The companies have allocated $1.2 billion in equity to the joint venture to develop Class-A life science office and lab buildings.