By Grubb Development Team
On September 19 and 20, more than 120 investors came to Charlotte to meet with Grubb Properties executives and hear their perspective on the economy, Grubb Properties’ portfolio performance, and the outlook for the company.
Following a cocktail reception and dinner on Tuesday night, investors convened at the Hyatt Centric Hotel on Wednesday morning for a series of presentations on the company and economic environment.
Grubb Properties’ CIO Todd Williams gave an overview of fund performance. Williams pointed to lower valuations primarily due to continued strain in the office sector and liquidity constraints in the debt and capital markets as significant challenges, even as demographics continue to favor the mid-priced essential housing class of apartments. He believes that distress from high-leverage loans in office and multifamily will create buying opportunities and that the Link Apartments℠ portfolio still has room to run, given valuations below replacement cost and continued demographic demand.
Stepping in for Piedmont Capital’s Mark Vitner, Matt Bacon, Vice President, Investments, offered the highlights of Vitner’s economic outlook. Vitner examined whether the Federal Reserve could engineer a “soft landing” for our economy.
Clark Spencer, Managing Director, Investments, updated the audience on the performance of the Link Apartments Opportunity Zone REIT. Clark highlighted some upcoming OZ Link Apartments℠ communities, including Link Apartments NODA 36th and the car-free Link Apartments CYKEL in Charlotte, Link Apartments QPN in New York, and Link Apartments H Street in Washington, DC.
Megan Slocum, Executive Managing Director, Development, moderated a panel of Grubb development team members to discuss their perspectives on issues and opportunities as Grubb expands its national footprint. Lauren Cahill, Senior Vice President, discussed Grubb Properties’ Link Apartments℠ communities in New York, Chris DeBerry, Senior Associate, focused on Charlotte and the Southeast, while Megan Watson, Director, explained the challenges of essential housing development in California.
To wrap up the day, Grubb Properties CEO Clay Grubb offered his perspective on Grubb Properties’ portfolio and the current real estate market. Clay pointed to the climate crisis as the country's most significant challenge today and discussed Grubb Properties’ efforts to build sustainable essential housing communities in resilient locations. He also addressed the housing shortage in the country and Grubb Properties’ continued collaboration with Lotus Campaign to provide housing for the unhoused. He wrapped up with a note of optimism for the company's long-term success. While the current economic environment is challenging, it will also present compelling opportunities to position Grubb Properties for the long term.
Thanks to all Grubb Properties’ investors for their support. If you would like to view video versions of these presentations, please get in touch with Investor Relations.