Submitted by Taps Coogan on the 24th of September 2018 to The Sounding Line.
Sam Zell, businessman, real-estate mogul, and Chairman of Equity Group Investments, recently spoke with Fox Business News and warned about a growing surge in real-estate supply coming into the market.
“I think things are a little frothy and I think they’ve benefited significantly from the fact that there has been a dearth of supply. The dearth of supply is for sure changing (now) and we are seeing very significant new supply in office (real-estate). We’re seeing new supply in multifamily. The flavor of the month is industrial (real-estate) and I do a lot of reading and I always look for idiosyncrasies and one of the peculiar things that I have found is that everybody in the world is building industrial (real-estate). Now I know that Amazon is terrific and I think that they’re a great company but everybody is building industrial? Everywhere? And building it in huge… million, two-million square-foot buildings. I just wonder whether the lack of discipline that marked the real-estate industry in the past is not coming to repeat it… I just have this sense that we have a lot of supply coming on that’s going to effect various parts of real-estate, obviously in different sectors and different time-frames.”
There is much more to the interview so enjoy it above.
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