Property Play: Where real estate giants Sternlicht and Wallace are putting their money

In this episode of The Property Play, Diana Olick hosts Barry Sternlicht and Brendan Wallace to discuss the state of commercial real estate. Barry shares his insights on interest rates, tariffs, and supply chain issues, predicting rate decreases and potential price drops due to excess inventory. He also touches on population reduction impacting real estate and the challenges in the office sector due to AI. Brendan discusses the pullback in PropTech investments and a potential market comeback, while both explore the impact of technology, especially AI, on real estate and employment. The conversation shifts to New York City's political landscape, with Barry expressing concerns about rising costs and the potential negative impacts of socialist policies, while Brendan emphasizes the importance of housing policy. They further analyze the data center market, questioning the creditworthiness of tenants and the economic viability of AI-driven infrastructure, and conclude with investment strategies, with Barry favoring Europe and Brendan remaining optimistic about New York's long-term value.