Regions

Miami–Lennar Corp.–the second-largest U.S. homebuilder–announced its fifth consecutive quarterly loss Thursday, Bloomberg said.The Miami-based company was forced to reduce prices to attract buyers. Its fiscal second quarter net loss was $121 million, compared to $244 million a year earlier. Revenue declined 61 percent to $1.1 billion. Deliveries fell 60 percent to 3,830 homes; new orders dropped 45 percent to 4,396. In the quarter ended May 31, the company’s cancellation rate was 22 percent; a year earlier, the cancellation rate was 29 percent. Lennar’s supply of under-contract homes still for sale declined 56 percent to $1.25 billion.In a statement, the company…

Washington, D.C.–U.S. gross domestic product rose in the first quarter, indicating that the U.S. did not enter into a recession in the beginning of 2008, according to revised government figures released Thursday.The Commerce Department said that gross domestic product increased 1 percent at an annual rate, The Wall Street Journal said. The previous GDP estimate was 0.9 percent”Upward revisions to exports, to consumer spending and to business fixed investment were partly offset by an upward revision to imports and a downward revision to inventory investment,” the Commerce Department said.Consumer spending–which comprises 70 percent of GDP–also was revised upward for the…

By Anuradha Kher, Online News Editor San Francisco–The Pacific Coast Builders Show 2008 (PCBC) opened here on June 25 with developers, contractors and architects coming together to find solutions to the problems currently facing the real estate industry.Whether it was former Hewlett-Packard CEO Carly Fiorina’s keynote speech, which emphasized the need for seeking out new opportunities, or author Malcolm Gladwell’s session on how judgment will play a crucial part in the industry turning itself around, the underlying message to troubled developers was that they need to change. “Now is the time you need to seize those opportunities,” said Fiorina. “Innovation is…

By Erika Schnitzer, Associate EditorIndianapolis–Marcus & Millichap Real Estate Investment Services has acquired the exclusive listing for the Premier EPM Portfolio for $242.95 million.The portfolio is comprised of 10 properties and 2,704 units in the neighboring areas of Indianapolis; Fort Wayne, Ind.; Omaha, Neb. and Gainesville, Ga. They are being offered either separately or as a portfolio.Matthew Friedman, associate vice president of investments and director of Marcus & Millichaps’s National Multi-Housing Group in Encino, Calif., is representing the seller, Empire Corporate America, a private investor.The portfolio includes the 256-unit Avon Creek in Avon, Ind.; the 224-unit Brownsburg Crossing in Brownsburg,…

By Erika Schnitzer, Associate EditorBrookfield, Wis.–In a preemptive move to help borrowers at risk of defaulting on their mortgage payments, Fiserv Inc. has released two tools to allow financial institutions to identify and contact borrowers with repayment solutions.The tools systematically identify borrowers who are at risk of becoming delinquent, explains Jim Smith, executive vice president of portfolio services at Fiserv. Once the borrowers are identified, the key is to contact them before they go into default.The biggest problem, Smith notes, is that many at-risk and delinquent borrowers are unaware of their options and do not contact their lenders for help….

By Erika Schnitzer, Associate EditorEatontown, N.J.–The first phase of Mill Pond at Eatontown, a 118–unit, seven-building condominium community developed by Iselin, N.J.-based American Properties Reality, is now 70 percent sold.All units are two-bedroom, two-bathrooms and are priced from $252,990 to $268,990. “The price in today’s market is most important as it correlates to value,” says Paul Csik, senior vice president of American Properties Realty. “The value that people are getting is 1,500 to 1,600 sq. ft. with a lot of standard features already included.”The residences feature Kohler bathroom fixtures, Kitchencraft cabinetry, Whirlpool ovens and dishwashers. Each unit includes private balconies…

Joel Altman, CEO and founder of Boca Raton, Fla.-based Altman Companies, has carried his company from a small business to one of the country’s leading luxury condominium and apartment developers and managers. Despite Altman Companies’ beginnings during a rough economic state in the U.S. in the late-1960s, the firm has worked through the economic difficulties and is currently celebrating its 40th year anniversary. MHN Reporter Rachel Block talks to Altman about the current economic situation and his success in similar times.MHN: How does it feel to be celebrating your company’s 40 year anniversary after having started out in the midst…

Washington, D.C.–The Federal Reserve is expected to keep interest rates unchanged at its meeting today, ABC News said Wednesday.The Fed has cut its Fed Funds interest rate since September several times to revitalize the economy, which has struggled with a weak housing market and credit issues.Currently, rates are at 2 percent; in September, they stood at 5.25 percent. However, lowering rates is a tricky balance. Keeping rates low can spark growth; keeping them too low puts inflation at risk.Therefore, the Fed statement–due Wednesday afternoon–will most likely be a cautiously worded statement, ABC said.

Washington, D.C.–New home sales dropped 2.5 percent in May, and home prices also declined, the Commerce Department said Wednesday. Purchases fell from a revised 525,000 rate in April to a 512,000 annual pace–the second-fewest amount in almost 17 years, Bloomberg reports. In March, new home purchases declined to a 501,000 an annual pace–their lowest point since 1991. The median sales prices dropped 5.7 percent in May to $231,000, compared to May 2007.The U.S. home inventory–at the current sales rate–rose slightly in May to 10.9 months’ worth. In April, the supply was 10.7 months. However, the number of homes completed and…

New York–As investors considered a number of earnings reports and a report that indicated housing was continuing its decline, U.S. stocks reached their lowest level in three months Tuesday, according to the Financial Times.The tone was set after UPS, the largest global shipping carrier, reduced its second quarter earnings expectations because of increased gas costs and declining growth in the U.S. early in the day.UPS’ rival, FedEx, posted a surprise fourth quarter loss last week. Because UPS’ earnings report was also lower than expected, concern about how oil prices are affecting the entire economy may increase, the Times said.