What’s wrong with buyers right now?

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Had coffee with a competitor of mine yesterday.

He said something that really resonated with me, something like: “I’m looking at some of these deals getting done and I feel like calling the buyers up and asking them what’s wrong with them.”

That’s exactly how I feel right now.

The benefit of doing sub-institutional scale deals is supposed to be that you’re not competing with super-cheap pension fund money.

But there are apparently plenty of people who think it makes sense to pay $350 / sq ft for rent control, value add deals in East Hollywood or take down 2% caps (on real numbers) in Silver Lake. And they apparently have money.

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