Look from @CompStak comparing office REIT building quality with private owners. Publics get 40% rent premium over privates, due mainly to 50% in trophy Class A and little in Class B vs 40% trophy and 25% class B for privates. What's notable is that their average building age is the same, which means they both sit on large unfunded capex. Publics will be able to borrow through this by accessing the bond markets---privates will struggle given single asset funding structures. Most of current and pending CMBS distress is in private non trophy A's and B's..

This is important: @Columbia_Biz and @CompStak have teamed up to track like quality, actual rent comps for CRE adjusted for actual concessions. Warehouse rents up cumulatively 60% since COVID, office up only 11%. And construction costs have grown 30% for both. Let that sink in.

Chart from @CompStak on recovery in older A and B office property rents. As trophy A space becomes scarce, the older buildings fill up next, and their rents go up too. But tenant improvements went from $70 to $100/sf +during COVID, so cash net rents still barely positive.