One of his (Warren Buffet) big worries these days is about what’s going to happen to all the pension money that is being invested in the markets, often with little success, in part because investors are constantly buying and selling securities on the advice of brokers and advisers, rather than holding them for the long term. “Most institutional investors, whoever is in charge — whether it’s the college treasurer or the trustees of the pension fund of some state — they’re buying what they’re sold.”

For More: http://dealbook.nytimes.com/2012/12/03/for-buffett-the-long-run-still-trumps-the-quick-return/?ref=todayspaper

Deal Book –  Anfrew Ross Dorkin

The next chapter in the real estate recovery is well on its way. Many segments are showing good signs of stability. Housing is improving.  Class A industrial is inundated by fierce bidding.  User demand is robust for buildings to purchase. Developers are active with many spec developments coming online.  My non-real estate friends even know about multi-family housing. We are ready for a long period of smart buying for the long term.  I call this period The Golden Age because it will consist of reasonable prices, excellent prospects for growth and minimal downside risks.  All through the Great Recession, purchases have been made. But as low as these prices were, they were risky deals because the outcome was still uncertain. Now that the worst is behind us, we are at the start of a new cycle. This also means that Property Owners who did not want to sell at the bottom will fulfill their long delayed plans to part with good real estate. In other words, we are entering a stable period with less risk and the ability to create lifelong investments in real estate.

Continue reading “The Golden Age”