Hello Brick Brief readers, 

Good Morning. In today’s news,

US and Iran continue talks despite rejected truce proposal and ongoing attacks – Prolonged conflict keeps oil markets volatile and delays reopening of key energy routes like the Strait of Hormuz (Bloomberg)

US recession risk rises to 30% as oil shock from Iran war hits economy – Surging gas prices and higher inflation threaten consumer spending and job growth outlook (Bloomberg)

Fed’s Miran raises year-end rate projection by 50 bps due to persistent inflation – Sticky price data keeps policy restrictive and delays path to neutral rates (Bloomberg)

Mortgage demand drops 10.5% as rates rise to 6.43%, highest since October – Higher borrowing costs and economic uncertainty push buyers to sidelines and slow housing activity (CNBC)

Mortgage rates return to mid-6% range and erase one-third of 2026 affordability gains – Rising rates weaken buyer confidence and risk delaying home transactions into next season (Zillow)

U.S. housing inventory rises 14.2% YoY to ~1.2M listings but remains below healthy supply levels – Persistent shortage drives bidding wars and forces buyers to compromise despite improving affordability (Homes.com)

14% of U.S. home purchase agreements fell through in February, highest on record for the month – Buyer leverage and rising uncertainty drive cancellations as sellers outnumber buyers nationwide (Redfin)

Regional housing markets sustain demand as mortgage rates rise toward pressure levels – Texas, California, and Midwest metros continue to drive transaction volume and stabilize overall housing activity (HousingWire)

US brokerages including Compass and Redfin must face commission price-fixing lawsuit – Judge allows homebuyer claims to proceed alleging inflated home prices tied to agent commission structures (Reuters)

The lawsuit alleges that brokerages like Compass and Redfin required sellers to cover buyer agent commissions, which inflated home prices by embedding those costs into listing prices

Multifamily permitting rises 5.4% from recent trough to 453K units but remains below prior peaks – Mixed metro trends and tight capital conditions signal prolonged period of flat and challenging apartment developm (RealPage)

Office-to-apartment conversions hit record 90.3K units under construction, up 28% YoY – Adaptive reuse accelerates as remote work drives vacancy and housing shortages fuel residential demand (TheRealDeal)

Pinterest leases 125K sf office building at LBA Realty’s 285 Sobrante Way in Sunnyvale, CA – Long-term deal marks expansion into Silicon Valley as AI-driven office demand picks up (TheRealDeal)

VCT Holdings leases 35K sf office space at Jack Resnick & Sons’ 199 Water Street in Manhattan, NY – The fintech firm signed a five-year sublease for full 10th floor at One Seaport Plaza (CommercialObserver)

US Postal Service plans 8% price increase on packages as fuel costs surge – Rising oil prices from Iran war pressure logistics costs and force pricing adjustments across delivery networks (Bloomberg)

Slightly unrelated, but one possibility is that businesses across a variety of sectors that previously absorbed higher costs may use rising oil prices and war-driven pressures as justification to raise prices and pass through broader tariff-related increases to consumers.

MEI Rigging & Crating renews 248K sf industrial space at Brookfield Properties’ 14555 Alondra Boulevard in La Mirada, CA – Five-year lease valued at ~$21M covers renovated facility with office space and truck access features (TheRealDeal)

Sun Belt states generate outsized share of retail foot traffic relative to population – Strong in-person demand and higher discretionary spending drive more frequent store visits across lower-cost markets (Placerai)

Coastal and Northeastern markets under-index on retail visits despite large populations – Higher e-commerce adoption and trip consolidation reduce physical store traffic and shift demand toward experiential and omnichannel retail (Placerai)

U.S. data center demand surges with 15.6 GW of absorption, nearly doubling YoY – AI-driven workloads accelerate leasing and tighten available capacity across key markets (Colliers)

Power constraints emerge as primary bottleneck for U.S. data center development – Limited grid capacity and rising infrastructure costs reshape site selection and project feasibility (Colliers)

Over $64B in U.S. data center projects delayed or canceled since 2023 – Community opposition and permitting challenges slow new supply despite strong demand (Colliers)

US hotel performance rises YoY to start 2026 – Strong early-year demand and favorable prior-year comparisons support continued momentum across hospitality sector (CoStar)

Convene Hospitality Group raises $220M from investors including TPG and Ares – Capital supports expansion of premium event spaces and platform scaling across development, acquisitions, and technology investments (Bisnow)

Belgian biopharma company UCB plans $2B life sciences manufacturing plant at Georgia innovation campus – Project anchors 460K SF facility and positions region as emerging biotech and advanced manufacturing hub (Bisnow)

Meter acquires WiredScore to expand digital infrastructure platform across global real estate – Deal strengthens connectivity certification and integrates hardware, software, and data into a single building-wide network solution (Bisnow)

SmartStop and AXCS Capital launch $100M credit JV targeting self-storage financing – Venture provides bridge debt and preferred equity across development, acquisitions, and recapitalizations (ConnectCRE)

CIM Group files $149M foreclosure suit against Imperial Companies’ Goodtime Hotel in Miami Beach, FL – The lender alleges the borrower defaulted after failing to repay the loan at maturity in 2024 (CommercialObserver)

Monroe Capital sues PPG Development and BH3 over $70M mezzanine loan tied to Mondrian Hallandale Beach condo project in Hallandale Beach, FL – The lender alleges default after missed payment and seeks full repayment of ~$72.7M plus fees (TheRealDeal)

Zillow launches AI-powered home search assistant to answer buyer and renter questions – New tool aims to streamline discovery and improve engagement across listings and market data (Inman)

TransUnion launches AI-powered app for real estate agents to verify identity and prevent fraud – Tool combines safety checks, ownership validation, and prospecting into one platform to reduce risk and improve efficiency (HousingWire)

Waterstone Mortgage deploys AI pre-underwriting platform across 200+ loan officers to boost capacity – Technology improves file quality and reduces underwriting conditions without increasing headcount (HousingWire)