Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!americast.com!usa-post Newsgroups: usa-today.real,americast.usa-today.real From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: real Wed, Sep 16 1992 Date: Wed, 16 Sep 92 04:36:01 EDT Message-ID: 09-16 0000 DECISIONLINE: Real Estate USA TODAY Update Sept. 16, 1992 Source: USA TODAY:Gannett National Information Network CONSTRUCTION REMAINS DEPRESSED: The construction industry remains depressed and probably won't improve in the next three months, according to a Dun & Bradstreet Corp. survey released Tuesday. The monthly survey's main index, which measures 200 companies' expectations for new orders, fell sharply to 15 in August from 31 in July and now stands at its lowest level since December 1991. (For more, see Construction package below.) NEW PLAN WILL KEEP BUYING: New Plan Realty Trust, the largest real estate investment trust in the USA, said Tuesday its buying spree isn't over. The trust has spent $133 million so far this year on income-producing properties with commitments to spend $20 million more. With $250 million in cash and marketable securities, New Plan will buy either shopping centers or apartment complexes in the eastern USA. MUTUAL BUYS BUILDING: Mutual of America, one of the country's largest life insurance companies, announced Tuesday it has contracted with Olympia & York Properties for the purchase of the 34-story office building at 320 Park Ave., Manhattan. Mutual of America also announced plans for the renovation of the building, a project expected to provide 1,000 construction jobs in the city. PACIFIC GATEWAY MOVES: Pacific Gateway Properties Inc. announced Tuesday that it has relocated its corporate headquarters to Rincon Center in San Francisco. The firm said the move is reflective of its commitment to profitable growth on the West Coast, particularly in the San Francisco Bay Area, where its major assets are located. The company owns and operates income-producing real estate throughout the USA. DINNER MAKES RECORD MONEY: The Apartment Industry Foundation reported Tuesday that its September Summit benefit dinner raised record funds for housing assistance projects in San Mateo and Santa Clara counties in California. The benefit dinner was attended by over 350 real estate professionals and raised over $25,000. Proceeds will be used for housing assistance to people in need in the two counties. REFERENDUM IS ON ILL. BALLOT: Voters in Illinois will be asked on the Nov. 3 ballot whether, "in order to stop increasing property taxes due to unfunded mandates on local government," lawmakers should propose an amendment to the state constitution banning any new unfunded mandates. Critics: The issue is likely to pass due to its wording. FIXED-RATE MORTGAGES STABLE: The rates for 30-year fixed-rate mortgages from the Federal Home Loan Mortgage Corp. were listed at 7.84% Tuesday, unchanged from Monday but down from 7.94% the week before. They were at 9.02% a year ago. For 30-year adjustable-rate mortgages, the rates were 5.15% Tuesday, unchanged from Monday but down from 5.24% the week before. A year ago they were at 6.78%. ARM INDEXES UNCHANGED: The one-year Treasury ARM index rates were listed at 3.17 Tuesday, unchanged from Monday but down from 3.52% the week before. A year ago they were at 5.58%. For the 11th District ARM index, rates were at 5.258%, unchanged from Monday and unchanged from the week before. A year ago they were at 6.998%. T-BONDS INCREASE: Treasury security rates for the 30-year bonds showed an increase Tuesday, listing at 7.31%. That's up 0.06 from rates of 7.25% Monday and up 0.09 from 7.22% the week before. A year ago T-bonds were at 7.91%. SPECIAL PACKAGE ON CONSTRUCTION: INCREASES ARE NOT EXPECTED: Dun & Bradstreet Corp.'s monthly survey of the construction industry showed a sharp decrease in construction companies' expectations for new orders. Officials said Tuesday that net hiring and price increases are not expected this fall. The increased pessimism comes after a 0.6% fall in construction spending in July to an annual rate of $422 billion from $424.4 billion in June. ANDREW WON'T HELP: Contracting for new construction fell 2% in July, largely because of declines in commercial building and housing, according to McGraw Hill Inc.'s forecasting unit. Although Hurricane Andrew's destruction should help the industry in Florida and Louisiana, the small boost it gives the national average will be concentrated in Florida and national statistics will remain dim. PRICES OF SUPPLIES ARE GOING UP: The sudden growth of activity in Florida may also hurt construction companies in other areas of the country. Economists at the National Association of Home Builders say shortages of building supplies in Florida have caused the prices of those supplies to rise throughout the rest of the USA. (End of package.) Real Estate Editor: Martin Baucom. (1-919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution violates federal law. This article is copyright 1992 Gannett News Service. Redistribution to other sites is not permitted except by arrangement with American Cybercasting Corporation. For more information, send-email to usa@AmeriCast.COM