Quote:
Originally Posted by twister244
Interest rates are only one factor......
We have economic uncertainty..... Record office vacancy rates that won't come down..... etc.
Reduced interest rates may help tug a couple projects across the line if it means a little more capital is available from investors, but I don't see it suddenly giving us Tribune East.
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Building upon this, personally I think that it will help move some pending / already approved projects across the finish line. I think interest rates carry a bigger weight here compared to other cities that are seeing big population growth, or just have the insane high demand (Miami, NYC, Toronto etc.) compared to us. I think investors, banks and developers are more weary about Chicago as the population has either stagnated or remained flat. -- And current leadership does not help either.
I agree that even if rates are cut once or twice in the next 3-6 months that it won't get a Tribune East level project green lite, but I do think we could see 3-400' footers move dirt finally. But I also agree that any current proposed office buildings of any height will likely not move an inch no matter how much rates are cut soon.