Ares Head of Real Estate Bets on Industrial and Logistics Boom

The video discusses investment opportunities in industrial real estate and multifamily residential sectors, highlighting the demand for logistics and housing due to e-commerce growth and supply chain shifts. It also examines the impact of remote work on office spaces and the housing supply imbalance in major cities, emphasizing the need for strategic investments.

What is driving the demand for logistics and warehouse spaces?

• The decrease in global trade

• The decline in e-commerce

• The increase in office spaces

• The rise in e-commerce

What is a significant factor contributing to the housing shortage in major markets?

• Chronic and compounding housing shortage

• Excessive public sector construction

• Surplus of affordable housing

• Decrease in household formation

How has the pandemic influenced supply chain strategies?

• Shift towards just-in-case inventory

• Increased reliance on just-in-time inventory

• Reduction in warehouse space demand

• Complete dependence on Asian supply chains

What is a potential impact of the work-from-home trend on office spaces?

• Permanent increase in office space demand

• No change in office space demand

• Immediate recovery of office space demand

• Temporary hit to office space demand

What is a reason for the housing supply imbalance in major cities?

• Decrease in urban population

• High public sector involvement

• Low construction costs

• Inability of supply to keep up with demand

Why might young professionals prefer urban living despite the pandemic?

• Preference for remote work

• Lack of job opportunities in cities

• Desire for suburban lifestyle

• Access to good food, friends, and nightlife

What has been a long-term trend affecting housing supply?

• Surplus of rental apartments

• Outpacing of housing delivery by household formation

• Decrease in household formation

• Increase in public sector construction