Real Estate Overview - Ernst & Young - United States

How can you manage your company through the recession and position yourself for growth? After interviewing thousands of RE executives, we identified some overarching themes. From increasing capital to reevaluating your business model, we reveal the lessons that could mean the difference between surviving and thriving in the new economic environment.

Despite the effects of the global recession, China’s central government has indicated the financial stimulus measures (pdf, 1.4mb) introduced last year are taking hold, and the economy is expected to return to GDP growth in excess of 8% for 2009. Still, investors should balance the complexity of investing in another country against its opportunities. Read our recommended strategies to better understand the playing field.

The global recession, evaporating gaming revenue and reduced consumer confidence are causing severe stress for gaming companies both near and far. Additionally, the tightening of credit markets is delaying major projects due to the difficulty in obtaining construction financing. How are gaming companies preparing for the road ahead? (pdf, 11.4mb) See our in-depth view of evolving trends playing out in countries across the world.

In our recent survey, we asked investors in distressed debt to share their perspectives on today’s market and to reveal their future outlook. Will distressed debt remain competitive? How is investor interest expected to shift? And which hurdles must be met before the market can improve? We posed these questions, and more, to better understand the state of the distressed debt market. Don’t miss our targeted assessments (pdf, 511.4kb) 

The economic downturn is making its mark. Debt and equity capital, the lifeblood of a thriving real estate private equity firm, are scarce, costly and highly coveted. However, we may be entering one of the best periods for acquisitions of distressed assets the industry has ever seen (pdf, 1M). So, what’s on the horizon? 40 US real estate fund sponsors get frank about their future expectations.

Will 2009 mark a pivot point for the US, where dire financial emergency turns attention to reengineering the nation’s deteriorating infrastructure? “Infrastructure 2009”, a report written by Urban Land Institute and sponsored by Ernst & Young, reveals a call for action with a four-pronged approach to reformulating infrastructure policy. It also looks closely at infrastructure expenditures, needs and investments (pdf, 8.21 M) from individual countries across the world.

Nobody knows when the real estate markets will bottom out. Rather than wait on the sidelines, many companies are focusing their efforts on managing risk and streamlining operations to better prepare for opportunities when they arise. To see how you can better navigate through today’s trying times, read our report on the top 10 business risks affecting real estate in 2009 (pdf, 6.7M).

How are the global events and trends of the past year likely to shape the hospitality industry in 2009 and beyond? In this year’s report, we  review the performance of lodging markets and segments throughout the US (pdf, 1.8M), and examine the effects of the turbulent global economy and financial markets. See how today’s challenges are forcing the industry to focus on improving its bottom line.