‘First Ever’ Bitcoin Real Estate Fund

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Outlook for Private Markets 2025

• Private credit remains attractive due to higher yields and opportunities in lending to businesses with recurring revenues and low capex needs. Leveraged buyout (LBO) activity in private markets was 50% higher than public markets in the first nine months of 2024.

• Middle-market direct lending and asset-backed finance are expected to thrive, with refinancing opportunities emerging from a significant wall of maturities in 2027-2028. Partnerships between private credit firms and banks have surged, with over a dozen new collaborations in the last year.

• Hybrid capital strategies are gaining traction, with $78 billion in dry powder compared to $333 billion in private debt and $1,055 billion in private equity. Capital needs for energy transition, utilities, and digital infrastructure are projected to exceed $100 trillion globally.

• link

Trump policies affect multifamily outlook for 2025 link

• Affordable housing and build-to-rent (BTR) sectors are expected to grow, with 74,000 affordable units and 30,000 BTR units forecasted for delivery in 2025. Market-rate rental starts have declined from 75% to 60% of total new construction.

• Rent growth will be uneven, with increases forecasted in New York (3.1%), Chicago (2.5%), and Kansas City (2.5%), while cities like Austin (-1.4%), Phoenix (-0.4%), and Atlanta (-0.1%) are expected to see declines.

• Rising construction costs from tariffs and potential labor shortages due to deportation policies could hinder development. Non-citizens make up 17% of the construction workforce, heavily concentrated in states like Texas, California, and Florida.

South Emerges As The Fastest-Growing Housing Region link

• The national housing inventory grew by 16.7% from 2005 to 2023, reaching 144 million units. Despite this growth, housing supply still falls short of demand, keeping prices elevated.

• Multifamily housing led the expansion with a 54% growth nationwide, while middle housing lagged at just 11.3%. Single-family homes grew moderately at 16.7% during the same period.

• The South dominated housing growth, with over 30 of the top 50 cities for inventory expansion located in the region. Nearly half of these cities are in Texas.

• click on the link to see the list of cities.

The housing affordability crisis is going global link

• In Dublin, average rent doubled over the past decade, while median home prices rose by 75%, making housing unattainable for many residents. Fifty-nine percent of Irish adults aged 20-34 now live with their parents, the highest increase in Europe.

• In Vancouver, median home prices reached $1.1 million, 17 times the median household income, driven by a 19% population surge over the past decade while construction lagged behind. Canada even banned foreign homebuyers to curb skyrocketing prices.

• Globally, inflation-adjusted home prices rose 32% in the decade through 2021, while construction remained stagnant in many regions. Politicians in Canada, Australia, and Germany are attempting reforms, but local regulations and NIMBY resistance continue to hinder progress.

Property Mogul Grant Cardone Launches ‘First Ever’ Bitcoin Real Estate Fund on Florida’s Space Coast link

• Grant Cardone’s fund aims to raise $87.5 million, allocating $72.5 million to 300 residential units in Florida and $15 million to bitcoin. Investors must contribute a minimum of $250,000.

• Over 48 months, cash flow from properties will systematically reinvest $14 million into bitcoin, projected to grow to $30 million based on historical performance.

• Cardone selected Florida’s Space Coast due to SpaceX and Blue Origin investments, with apartment rents averaging $1,859 and homes ranging from $99,000 to $6.4 million.

How has Tampa’s housing market fared since Hurricane Milton? link

• New listings in Tampa-area cities plummeted by about 80% the week of Hurricane Milton, with Clearwater seeing the sharpest drop at 81%. However, the following week saw a rapid recovery, with Largo experiencing a 650% surge in new listings.

• Pending home sales mirrored this trend, falling by up to 79% in Tampa but rebounding sharply by 185% in the following week.

• Despite sharp swings in listings and sales, overall inventory in the five major cities declined by less than 10%. Home prices remained largely unaffected throughout the disruption.

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Why has the price gone down by 50%?!

Link to the listing

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Vidit

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