1. US Mortgage Rates Fall to 7-Month Low;
2. Nasdaq Posts Best Year Since 1999;
3. University of California to Acquire LA Office Property;
4. World’s Richest Woman’s Net Worth Tops $100 Billion;
5. Manhattan Office Leasing Picks Up at Year-End;
6. Xiaomi Unveils First Electric Vehicle SU7;
7. Selfridges Co-Owner Signa Files for Bankruptcy.**
1. US Mortgage Rates Fall to 7-Month Low
Freddie Mac announced today that the average 30-year fixed mortgage rate fell to 6.61%, down from 6.67% last week—its lowest level since May of this year.
Many industry experts believe that falling rates will boost home sales in the coming months. However, due to the ongoing housing shortage, many Americans still find it difficult to afford persistently high home prices.
Freddie Mac economist Sam Khater noted that mortgage rates have been falling rapidly over the past two months. Although the pace of decline has slowed recently, the downward trend remains intact.
A separate report from the National Association of Realtors (NAR) showed that the home purchase application index for November fell to a record low.
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2. Nasdaq Posts Best Year Since 1999
With just two trading days left in the year, several major tech stocks have already pushed the Nasdaq 100 to its best annual performance since 1999.
Currently, the S&P 500 is just 1% away from the 4,833 target previously forecast by analysts.
Matt Maley of Miller Tabak + Co. said that if markets hit new records in January, it would be a fundamentally bullish signal. Historically, when the market starts strong in January, it tends to rally even harder afterward.
Today, Nvidia, Google, Meta, and Tesla all contributed to the market’s continued climb.
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3. University of California to Acquire LA Office Property
The University of California has submitted a request to purchase the Westside Pavilion office complex in Los Angeles.
Located at 10830 West Pico Blvd, the site was formerly a shopping mall before being converted into office space in 2018 by Hudson Pacific Properties and Macerich Co. Tenants include companies such as Google.
Originally built in the 1980s, Westside Pavilion and similar malls have struggled in recent years due to the rise of e-commerce.
The University of California, Los Angeles (UCLA), located 2.5 miles away, has been acquiring property as its Westwood campus becomes increasingly crowded.
In June, UCLA purchased the Trust Building in downtown Los Angeles.
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4. World’s Richest Woman’s Net Worth Tops $100 Billion
Today, Francoise Bettencourt Meyers, granddaughter of L’Oréal SA’s founder, became the first woman in history to amass a personal fortune exceeding $100.2 billion, driven by L’Oréal’s best stock performance since 1998.
However, her fortune still falls far short of LVMH founder Bernard Arnault’s $179.4 billion.
The 70-year-old Meyers and her family control nearly 35% of L’Oréal. Her two sons also serve as executives at the company.
Known for her private lifestyle, Meyers reportedly spends several hours each day playing piano.
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5. Manhattan Office Leasing Picks Up at Year-End
According to JLL’s latest report, Manhattan office leasing totaled 6 million square feet in Q4, bringing the annual total to 21.7 million—down 20% from 2022.
The good news: Q4 leasing volume sharply exceeded Q3’s 4.2 million, which has analysts feeling more optimistic about 2024.
The bad news: Manhattan’s office vacancy rate rose 0.5 percentage points to 17%, due primarily to SL Green Realty’s One Madison Avenue and Vornado’s Penn 2 adding 2.4 million square feet of new supply. Excluding those, the vacancy rate rose only 0.2%.
Average asking rents in Q4 declined just 1% quarter-over-quarter, indicating price stability.
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6. Xiaomi Unveils First Electric Vehicle SU7
Today, Xiaomi’s billionaire founder Lei Jun unveiled the company’s first electric car—the SU7 (Speed Ultra)—at the China National Convention Center.
During a multi-hour presentation, Lei detailed the car’s features, including a driving range of over 800 kilometers, an adjustable rear spoiler, distinctive paint options, and a top speed of 265 km/h. The five-seat SU7 uses batteries supplied by CATL (Contemporary Amperex Technology Co. Ltd.).
Xiaomi has invested $10 billion in EV development, and Lei stated that the SU7 would be his final entrepreneurial venture.
Lei added that Xiaomi aims to build electric vehicles that rival Porsche and Tesla in quality.
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7. Selfridges Co-Owner Signa Files for Bankruptcy
Signa Prime, the joint owner of iconic London department store Selfridges, has filed for bankruptcy, pushing the retailer toward a potential liquidity crisis.
In response, Selfridges’ other co-owner, Cambridges Properties Holding Limited, is seeking additional capital from parent company Central Group to meet upcoming debt obligations.
Signa’s collapsing real estate empire owns major retail properties in Germany and the Chrysler Building in New York.
In 2022, Central Group and Signa jointly acquired Selfridges, sharing ownership of both the property and store operations.
Founded in 1908, Selfridges is located on London’s famed Oxford Street and is known for selling high-end luxury goods.
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This content is sourced from Financial Times, Bloomberg, and The Real Deal, among other financial news outlets.