West Virginia vs. EPA at Supreme Court: Energy costs at stake

 The Supreme Court listened to oral arguments last week on the biggest energy-related case heard in years, West Virginia v. EPA, which ultimately could see the Environmental Protection Agency lose some of its regulatory powers – all while gas prices surge amid Russia's war on Ukraine.

The case tackles whether the EPA can issue significant rules capable of reshaping the nation’s electricity grids without congressional authority, addressing the ramifications of the Obama administration’s Clean Power Plan. 

"If the Supreme Court rules in favor of West Virginia and the other state plaintiffs, it means that the Biden administration, if it wants to reduce greenhouse gas emissions through regulation or taxation… [will] have to go to Congress," Myron Ebell, the director of the Center for Energy and Environment at the Competitive Enterprise Institute, told FOX Business.

Other experts in the industry expressed similar sentiments. Gregory Wrightstone, executive director of The C02 Coalition, said if the court upholds the EPA’s authority, it'll be one more regulation strangling America's energy freedom.

"This continuation of EPA regulation of greenhouse gases will lead to the continued destruction of that reliable energy sources," Wrightstone shared.

President of the Judicial Crisis Network Carrie Severino told FOX Business this case served as an example of the constitutional gray zone within the regulatory state.  

"We have seen so much overgrowth of the administrative state beyond what our framers could have even fathomed. We were never designed to have a fourth branch of government that is this enormous regulatory state," Severino said.

However, Michael Panfil of the Environmental Defense Fund, an advocacy group, says depending on the outcome, the ruling has the power to weaken the nation’s ability to deal with "dangerous emissions." He adds that the "new legal theories the challengers are advocating could interfere with the federal government’s ability to address other pressing problems through law." 

Assembly member Vince Fong represents Kern County, which produces 70% of the oil in California. He told FOX Business, "To further tighten regulations would continue to choke out energy production, resulting in thousands of lost middle- and working-class jobs and will be a significant hit to our economy." 

President Biden announced during his State of the Union address last month, "The United States has worked with 30 other countries to release 60 million barrels of oil from reserves around the world" amid the war in Ukraine. Biden added, "America will lead that effort, releasing 30 million barrels from our own Strategic Petroleum Reserve." 

Wrightstone responded to President Biden’s comment: "The world uses about 100 million barrels of oil per day, so if we did that, it would get us from midnight to around 9 a.m." 

Additionally, on Tuesday, Biden announced the U.S. would ban imports of Russian oil, but did not elaborate on how else the administration would work to curb spiking gas prices.

Rich Goldberg, a former senior official at the National Security Council under President Trump, argued that the Biden administration has been hostile to U.S. energy. "We need to be doing all we can to save every possible green light… to increase American production of energy to compensate for the rising prices due to lower supply from Russia." 

If West Virginia v. EPA rules in favor of enacting the Clean Power Plan, it would be the first national regulatory standard to address greenhouse gas emissions from power plants. The ruling would be costly for energy companies, calling on power plants to install more efficient technologies and make changes needed to meet requirements. 

https://www.foxbusiness.com/politics/supreme-court-west-virginia-epa-energy-ukraine-russis-war

‘Chaotic And Volatile.' Inside Running A Russian Property Company Right Now

 A London-listed property company that runs a significant Russian logistics portfolio has issued a trading update that highlights the mayhem of running a business in the country right now.

Raven Property stressed in the update that it currently did not know if it could access funds it had in Russian domiciled companies, nor whether it would be able to convert those funds to other currencies.

The value of the Russian rouble has collapsed by more than 25% against the dollar in the past month, and Russian banks have been cut out of the global financial system as a result of a series of sanction packages following the invasion of Ukraine. 

“The board of Raven is deeply shocked and saddened by the situation in Ukraine and the tragic consequences unfolding there,” the company said in a trading update. [Its] shares have dropped by 54% in the past five days. 

“The market and information flows are chaotic and volatile and the board has engaged its advisers to interpret the impact of the sanctions on its operations although these are changing day by day," the statement continued. "The immediate focus is on ensuring the group has liquidity in the correct currency in the appropriate jurisdiction. The ability of the company to continue to access the funds of its Russian subsidiaries and whether those funds can be converted to the correct currency at a commercial exchange rate is the greatest uncertainty at this time.”

As a listed company, Raven provides insight into what any real estate investor with a significant portfolio in Russia could be facing at this time. It owns a 20M SF portfolio of Russian logistics assets. 

“We simply do not have clarity on the restrictions that may be placed on the access and movement of funds intra group at this present time," the company said. "We are working with banks and lawyers in all jurisdictions but it is still too early to get any definitive view on cash flows available to the company. We do not expect that this situation will change while there is no resolution to the events in Ukraine or how long restrictions will affect the group.”

The company said it is in compliance with its banking covenants, and that the debt it holds in roubles has interest rate caps. The Russian central bank has hiked interest rates in an attempt to prop up the value of the currency. 

“The board is working to do all it can to protect the interests of all stakeholders in these unprecedented times,” the company added. “We sincerely hope for a peaceful outcome to these terrible events.”

https://www.bisnow.com/london/news/capital-markets/chaotic-and-volatile-inside-running-a-russian-property-company-right-now-112105

CMBS Loan Backed By Deutsche Bank’s New NYC HQ Delayed Amid Volatility

 A commercial mortgage bond tied to Deutsche Bank's new Columbus Circle headquarters has been put on hold due to market volatility.

The loan, sponsored by Singaporean sovereign wealth fund GIC and the Abu Dhabi Investment Authority, would be worth almost $1.5B, Bloomberg reports. Research reports from both Stone Harbor Investment Partners and JPMorgan Chase noted that the single-loan commercial mortgage bond was no longer in the market.

The delay is just the latest transaction to be put on ice amid growing unpredictability in U.S. capital markets, driven by the Russia-Ukraine War.

“There were also whispers of other CMBS deals being put on pause as well as in other securitized markets including credit risk transfer and asset-backed securities,” JPMorgan analysts led by John Sim said, per Bloomberg.

Deutsche Bank announced in 2018 it planned to move its New York headquarters from Wall Street to a 1.1M SF space at One Columbus Circle at the corner of Central Park. That building was renamed from Time Warner Center to Deutsche Bank Center last year after WarnerMedia decamped for Hudson Yards. Deutsche Bank's previous headquarters was at 60 Wall St.

Russia invaded Ukraine less than a week ago, and the UN human rights office recorded 136 civilian deaths as of Tuesday, the Associated Press reports, although the actual figure is expected to be much higher.

The U.S has slapped sanctions on Russia in relation to the attack, and the impact of the conflict on the global property market is expected to be significant. Experts have told Bisnow the effects will be felt in a reset of values, recalculations of property's risks and years of more cautious deal-making.

Global real estate developer Hines, which has partnered on major NYC projects like One Vanderbilt and 432 Park Ave., told Bisnow Tuesday it is considering exiting its Russia holdings.

https://www.bisnow.com/new-york/news/capital-markets/cmbs-bond-worth-linked-to-deutsche-banks-hq-delayed-by-the-bank-112080

How Russia Invasion Of Ukraine Could Impact Construction Supply Chain

 The Russian invasion of Ukraine has generated seismic economic and geopolitical ripple effects, the vast majority of which have yet to come into view.

And while much of the attention has focused on the economic sanctions placed on Russia and Vladimir Putin's inner circle, the conflict is also expected to have negative impacts for developers, particularly in New York City, who have come to rely on certain materials produced in Ukraine. 

“With the context of the problems going on in the world, this is not high on the list. But we are starting to see some real concern about the impact this will have on an already-stressed supply chain,” Seth Weissman, founder and president of real estate private equity firm Urban Standard Capital, told Bisnow.

The coronavirus pandemic had unearthed flaws in the supply chain, resulting in two years of extended lead times, increased material costs, labor shortages and higher project costs. With inflation already projected to climb higher over the course of 2022, developers questioned if they were in a position to bear the additional cost of delays from a geopolitical conflict.

Ukraine, along with Belarus, Poland and Germany, is one of the principal producers of windows systems — from manufacturing glass panes and aluminum frames, to assembling windows for export — for developers in the U.S., Weissman said.

Whole products like windows may not be the only building component that could see delays as a result of Russia’s invasion of Ukraine, Savills Executive Vice President and Head of Industrial Services Gregg Healy said.

“The majority of Ukraine’s exports are metals, which go into pipes, impacting the construction market,” Healy said. 

Ukraine is the 13th-largest producer of steel in the world, supplying factories in China and elsewhere with raw materials to produce pipes. Ukraine is also the fifth-largest producer of iron ore, making it a key player in steel production — which cannot happen without iron ore pellets.

But Healy said developers are unlikely to face big jumps in cost, because steel is produced in dozens of other countries around the world by multinational firms used to keeping product costs stable through moments of geopolitical uncertainty.

“There’s going to be an increase in cost, but I think it will be pretty minimal,” he said.

Some developers waiting for deliveries from Ukraine are now facing uncertain timelines, as the invasion by Russian troops closed roads, ports and freight trains. Delays to window installations can mean pushing a project back by anywhere from six months to a year, leaving them unable to enclose their buildings and increasing costs that are eventually passed down to consumers.

Urban Standard Capital’s NYC developments narrowly escaped that fate, Weissman said: The windows for one project, 378 Broome St. in NoLiTa, shipped on Wednesday — less than 24 hours before the Russian invasion began.

NYC construction projects looking for window suppliers may look toward slightly higher-cost products coming from outside of Eastern Europe, potentially seeking to omit the region from their supply chain altogether.

“We want to better understand the potential exposure for Belarus, too,” Weissman said. “If you’re a lender or developer, you want to understand what you’re financing. Do you really want to take the risk?”

NYC developers facing delays may pay a heavier price than those in other regions, which have experienced larger gains in rents and housing prices, and demand for building development, over the past two years.

“In certain markets in the Southeast — like Texas, Florida — where prices have jumped significantly, that’s allowed developers to recoup costs and retain price margins. But in NYC, it’s still below Covid pricing, so margins are getting eaten,” Weissman said. “In our lending business, universally, of the developers who have projects starting within the last five years, almost everyone is losing money.”

While the calculations around risk may have changed over the past two years, Healy said, so have developers’ understandings of their supply chains — leaving them better positioned to adapt.

“The supply chain challenges have dramatically impacted the way companies look at where they should locate their manufacturing facilities and how much supply they should have on hand,” he said. “Speed to market is critical. The companies that are going to succeed in the new economy are the ones that learned something and are making significant changes to their supply chains to be prepared for next time.”

https://www.bisnow.com/new-york/news/construction-development/how-russias-invasion-of-ukraine-could-disrupt-nyc-construction-112056

Hundreds of people are booking Airbnb rentals in Ukraine — here’s why

 Despite the ongoing war with Russia, homes in Ukraine are getting booked up faster than a seaside town at spring break.

On Wednesday, the popular Instagram account Quentin.Quarantino took to social media to announce an initiative to financially support families in Ukraine by booking Airbnb rentals.

Within a day, hundreds of people joined in on the mission and booked an Airbnb in areas where Ukraine has been most affected.

“Yesterday I shared an idea to support Ukraine by booking rooms for rent on AirBnb,” explained the account, which is run by Brooklyn-based influencer Tommy Marcus, who last year raised $7 million on GoFundMe to help evacuate Afghan refugees. “24 hours later, 100’s of people are booking AirBnbs in Ukraine as a way to send immediate monetary assistance to people in hard-hit areas. The message in response from the hosts are so moving.”

The San Francisco-based company has since come out in support of the initiative by revealing they would be canceling any fees associated with those bookings.

The Airbnb homepage for searching homes for vacation rentals in Ukraine.

Airbnb

Hundreds of Airbnb homes are listed in Ukraine.

Airbnb

“We are so humbled by the inspiring generosity of our community during this moment of crisis,” Airbnb Communications Director Liz DeBold Fusco, told The Post. “Airbnb is temporarily waiving guest and Host fees on bookings in Ukraine at this time.”

“We also encourage anyone interested in getting involved with Airbnb.org to go to airbnb.org/help-ukraine, and support Airbnb.org’s initiative to provide housing to refugees fleeing Ukraine, by becoming a Host or donating,” DeBold added. “To date, we have seen an overwhelming response to this effort, with more than 357,000 visitors to this page.”

Airbnb revealed in the past two days alone, there were more than 61,000 nights booked in Ukraine — 34,000 of which were booked by US residents.

A flood of comments have since poured in as people share their experiences after booking an Airbnb to support the people of Ukraine.

A conversation between Karina and Alesia Burnazi, who booked an Airbnb.

Alesia Burnazi, 27, who holds dual American and Albanian citizenship booked two Airbnb’s in Ukraine, telling The Post she felt a moral obligation to help.

“No one deserves such suffering,” she said. “I couldn’t sit still at home and not do anything to help. My help is small, but everyone does what they can.”

Burnazi helped hosts Karina and Natalija.

“Karina replied to me after midnight. She was so touched and expressed sincere gratitude. She told me her and her family were in Kharkiv and there were no bombings for the time being,” Burnazi explained. “I wish I could say the same for Natalija, another host I’ve booked from. I am still waiting for a reply back from her.”

Rob Mason, 38, from Leicester, England, wrote: “Booked an Airbnb in Kyiv for £15. Get the cash to where it’s needed.”

He told The Post he was inspired to contribute when he saw that Airbnb dropped the fees.

“I thought it was a good idea to get some cash to those that need it,” Mason said. “I only had £15 ($20ish), but I’m hoping it buys someone a meal or something.”

Denis Cebulec, a fashion model in Switzerland, also booked a stay in the capital city of Kyiv and let the host know that his intention was purely to show his support.

“Obviously I am not coming, just wanted to support you directly with a small gesture,” Cebulec told host, Irina. “I pray for you.”

A woman with a bag coming from the city of Bucha walks past a destroyed building on the front line in the town of Irpin, Kyiv region, Ukraine.

ROMAN PILIPEY

A man stands in front of rubble left behind by shelling in the village of Stoyanka, west of Kyiv.

ARIS MESSINIS

In response, Irina informed Cebulec she would use the money for “human aid or in the military,” a screenshot of the interaction shows.

“I really appreciate your heart,” Irina wrote. “Stay safe and come stay with us after the war. I will wait. We have almost a day air alarms in Kyiv. Hopefully this will all be alright and going to be over soon.”

Another host, Oksana, responded to another individual who rented her Airbnb.

“You have no idea how valuable it is now. We are all stopped,” Oksana replied. “I’m with two children, 3 and 6 years old, hiding in the Kyiv region. We have a cellar, with me another family with a girl of 6 years and an old woman . . . together we will overcome this bad.”

“Just booked some @Airbnb stays in #Ukraine,” Jordan Markowski, who hails from Toronto, revealed on Twitter. “I’ve let the hosts know I won’t actually be showing up, but that I’m hoping they can use the money to stay safe and buy what they need.”

“Just booked an AirBnb in Irpin,” Alex Tabarrok, an economics professor at George Mason University, also wrote. “My way of helping out (if I can). Plus wife will be surprised. Stay Strong Ukraine.”

The total gross booking value to Ukraine was nearly $2 million, data from Airbnb notes.

Currently the company lists more than 300 properties for rental across Ukraine.

Meanwhile, on Feb. 28, the home-rental platform offered free housing to 100,000 Ukrainian refugees.

The move comes as Airbnb CEO Brian Chesky announced in a tweet on Thursday that the company would be suspending all operations in Russia and Belarus as the war escalates.

https://nypost.com/2022/03/04/hundreds-of-people-are-booking-airbnb-rentals-in-ukraine-heres-why/

Airbnb is suspending all operations in Russia and Belarus

 Home-sharing platform Airbnb is suspending all operations in Russia and Belarus.

Brian Chesky, the company’s CEO and co-founder, announced the move on Twitter late on Thursday as companies continue to boycott Russia following its invasion of Ukraine.

Airbnb did not immediately respond when CNBC asked the company to elaborate on what this means in practice.

The move may not have a significant impact on Airbnb’s bottom line, particularly as the vast majority of airlines have stopped flying to Russia in recent days.

On Monday, Airbnb said it was going to offer free, temporary housing for up to 100,000 refugees fleeing Ukraine. The company will fund these stays with help from Airbnb hosts and donations to the Airbnb.org Refugee Fund.

Some people are booking Airbnb stays in properties across Ukraine that they don’t intend to stay in just to help hosts in the country.

The movement was started by the Quentin Quarantino Instagram account, which makes memes on Instagram to raise money for charitable causes. The account has over 898,000 followers.

“Yesterday I shared an idea to support Ukraine by booking rooms for rent on Airbnb,” the account’s operator wrote on Twitter Thursday. “24 hours later, 100′s of people are booking Airbnbs in Ukraine as a way to send immediate monetary assistance to people in hard-hit areas. The messages in response from the hosts are so moving.”

https://www.cnbc.com/2022/03/04/airbnb-is-suspending-all-operations-in-russia-and-belarus-.html

Home Features That Attract Buyers

 Demand for real estate across North America is high, and buyers have not stopped trying to find their perfect home. Some properties stand out more than others, and those properties have the home features buyers want. If your home has one or more of these sought-after features, you can guarantee it will be at the top of many property lists!

Storage

If there's one thing a home can never have too much of, it's ample storage, and buyers go crazy for homes that have plenty of space for their belongings. Whether it's additional cabinets in the kitchen, a pantry, garage storage, or clever design updates that include space for anything and everything, a home with tons of storage will be highly sought-after in any real estate market.

Laundry Room

A dedicated space for laundry is always a great feature of any home, and buyers love it when they find a property that provides this luxury. If your home has a laundry room, great! If you don't have the space for a dedicated laundry room, you can create a space or make a current laundry space more appealing by adding storage (cabinets or shelving), a drying rack, and a way to hide it from guests.

Updated Windows

Old windows can be a huge energy leak for a home, and buyers know it. Homes with newer windows or energy efficient windows will always attract more buyers than homes without. New windows can also eat into a buyer's renovation budget if they know they'll have to replace them shortly after purchase. If your windows are older, and you have the means to upgrade, it can have multiple benefits for you as an owner and buyers will absolutely love them when you sell.

Adequate Lighting

Lighting can make or break a home, and homes that don't have adequate lighting come off as dark and uninviting. The type of lighting can also be a big draw to buyers - stark, fluorescent lighting commonly found in older homes is inefficient, an energy waste, and can even cause health issues. Incandescent bulbs are still available but are not energy efficient. Compact Fluorescent Lamps (CFLs) are more energy efficient than incandescent bulbs, but they have mercury in them which means they need to be recycled as hazardous waste. Buyers like homes that have modern lighting systems that utilize LED bulbs. LED bulbs can last for thousands of hours and are extremely energy efficient. They may be a little more costly up-front, but they will last for years, and a home with great lighting will always shine above the others.

Outdoor Area

Buyers love living space, and homes that have usable living space both inside and outside are highly sought-after throughout North America. A popular outdoor feature for buyers: a patio. They're more affordable to install and easier to maintain than a deck or porch, and they're versatile and can be customized in a variety of ways. Regardless of whether you're in an area with a climate that allows outdoor living all year-round or just seasonally, homes that have outdoor areas that can be utilized as living areas or entertaining areas are a top pick for many buyers.

Demand for real estate is high across all of North America, but not every property is fought over. Homes that have features buyers want can be 'sale pending' within hours. If you're thinking of selling, and you want to ensure buyers will be ecstatic about your home, consider updating or adding one or some of features above.

https://www.facebook.com/REMAXPremierWiregrass/posts/4963576703698964