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How Will The Different Sectors of Real Estate Respond to this Current Pandemic?

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As the COVID-19 escalated to a global pandemic, different businesses and markets have been hit worldwide. In these times of uncertainties, it is inevitable that real estate investors would respond accordingly—something we wonder what’s waiting for us this 2020.

The impact of the coronavirus on the financial market has been so sudden. Nobody was ready for it. In fear of the markets falling, investors have diverted their capital reserves to the relatively resilient bond market. This resulted in the largest drop in the stock market in just a matter of one week since the financial crisis in 2008. Since 1987, the Dow experienced the biggest crash.

Based on the recent history of pandemics the world has seen—such as SARS, MERS, H1N1 and others—experts are using the experience to foresee the market volatility and how long and far the correction for the market will take. It may still be too early to compare the full impact of COVID-19, but during the previous pandemics, the markets have already stabilized in the span of three to six months on average.

With the current government’s thrust to prevent further spread of the virus—which includes stay-at-home order and isolation—the real estate markets have been undeniably impacted. Prior to the scare, the supply and demand are in good balance. It is only fitting to assume that, so long as the virus is contained the shortest time possible, economic growth will remain positive. It may slow down, or even have a decline, but it will thrive. In theory, for the rest of the year, the real estate markets will be relatively stable.

Among the real estate markets, the hospitality and tourism industry are the ones to be impacted the most as tourists have cancelled their vacations, so were the conferences, and other big events, have all been put on hold. Last year, the nationwide occupancy rate reached a record high at 66.2% and though the virus will certainly affect its performance, experts still expect it to settle at 62.5% which is still higher than the average occupancy rate in the last 30 years. 

Another market that will also experience poor performance, at least for the short term, is the retail sector, especially the ones related to experiential retail—restaurants, entertainment centers, fitness gyms and other similar businesses and stores. People are advised to stay at-home and avoid public places and crowds and these are what caused the backlash.

The demand will still remain high for the housing market in the midst of coronavirus and the rental businesses will still be favorable. The vacancy rates of the multifamily properties closed 2019 at 4.2%. The construction of new Class A units may raise that rate higher this year, but diminutive vacancy rates in Class B and C will most likely result in rent growth.

The office sector ended at a 13.0 percent vacancy average rate nationwide and we don’t expect much deviation from that. As long as job creation is steady and the labor market stays tight, the impact on this sector is minuscule.

The industrial sector will also be affected in the short term. There will be inevitable decline, if not a total halt, in the flow of goods from other other countries specially from China—this may lead to a little risk as some users may put on hold their pans to utilize for large warehouse spaces as they gauge the situation. 

While the headlines about COVID-19 are currently overwhelming, its detrimental effects are unlikely to cause a long-lasting severe impact on the commercial real estate market. The drop in the interest rates will fuel refinance and acquisition activity and quality investors have managed to lock in debt in the 3% range despite the increasing spread of lenders’ risk-free rates. Investment activity should also remain stable in spite of the lack of confidence in the economy as a whole since property values are not escalating and cap rates are not crashing. 

These assessments are heavily based on the previous pandemics we have experienced plus the current situation of the coronavirus. But things could drastically change like say for example if the consumer confidence levels drop significantly or the market volatility becomes out of control, it’ll be a different situation. But for now, we are expecting to see reduced economic growth but still positive and thriving amid this current health scare.

As for the real estate market, if anyone wants to sell their house, they might think this a bad time for that. However, there are private investors like Mrs Property Solutions who still operate even at this time of crisis. They want to help out people who needs cash for houses Los Angeles. They buy house in as is condition and in any situation.

Mark David is a writer best known for his science fiction, but over the course of his life he published more than sixty books of fiction and non-fiction, including children's books, poetry, short stories, essays, and young-adult fiction. He publishes news on apstersmedia.com related to the science.

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A positive mindset, steering positive financial change, meet Oz Clement Knight

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Oz Clement Knight pushes boundaries as a top financial educator and entrepreneur, inspiring lives worldwide.

It is sometimes not just about feeling passionate about working in a particular field; it is more than that for a few rare professionals and business owners who strive for excellence daily, besides feeling passionate about all they choose to lay their hands on. When we saw the rise of Oz Clement Knight, who has been in the financial sector for several decades, we understood how a person needs to surrender to his aspirations and goals in life to push boundaries and steer positive change.

Oz Clement Knight is all about this and beyond. At every step in his journey, he has proved why he deserves to be called a leader in the financial realm, for he has stayed committed to taking his clients to the financial success they wish to achieve and, in the process, has reached the forefront of the industry.

He has been pioneering financial success for others through two incredible ventures, namely OHL Ventures Fund LLC and Ozmarq Holdings Ltd. The former is a Delaware series limited liability company to make venture capital and growth equity investments in diverse leading seed stage, early stage, and developmental stage and later stage private companies, with companies engaged in social media, social media, life sciences, and clean tech businesses. Through the fund, he promises to create returns for investors by helping them identify and invest in potential leading-edge companies that can later provide them with massive returns.

The latter serves as the Manager of the fund that will establish a series of funds for purchasing securities of a portfolio company/companies from a secondary source, making a separate and distinctive investment directly in a portfolio company/companies, and/or investing in the interests of investment funds, special purpose vehicles, or other entities whose portfolios consist of one or more portfolio companies.

With his years of experience and knowledge in private wealth management, investment banking, and capital markets, the financial educator, who loves spreading his knowledge among others, especially the youngsters in the field, has ensured that he offers financial services that cater to the individual needs of his clients, eventually empowering them to navigate the varied financial complexities in their journey to reach financial success.

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Dell Unveils AI-Enabled Laptops and Workstations for Indian Enterprises

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In India, Dell has introduced a new line of business AI laptops and mobile workstations. The Latitude 9450 2-in-1, Latitude 5450 business laptop, Latitude 7350 Detachable, and Precision 5490 are the four laptops that the brand has introduced.

These are premium offerings with cutting-edge features that are intended to usher in the AI era and increase employee productivity for businesses. Let’s examine the cost, features, and accessibility of Dell’s most recent laptop models.

Dell Latitude 9450 2-in-1 Price and Features

The world’s smallest 14-inch commercial PC, the Dell Latitude 9450 2-in-1 is intended for consultants, salespeople, and executives. The laptop is the only commercial PC in the world with a Zero-Lattice Keyboard and Haptic Collaboration Touchpad, and it has an InfinityEdge QHD+ display.

Moreover, it has Mini-LED backlighting, which is said to cut down on battery consumption on the keyboard by up to 75%. Starting at Rs 2,60,699, you can purchase the Dell Latitude 9450 2-in-1.

Dell Latitude 5450 Business Laptop Price and Features

The Latitude 5450 business laptop is a member of the 5000 series, featuring the Intel Core Ultra U-series processor that provides up to 10% more performance for web browsing, video conferencing, productivity, and content creation than their predecessor. Starting at Rs 1,10,999, this laptop is priced.

Cost and Features of the Dell Latitude 7350 Detachable

According to some, the most adaptable commercial detachable laptop in the world is the Latitude 7350 Detachable. It has a 3k resolution with ComfortView Plus to lessen harmful blue light, and it has a sleek and lightweight design. Starting at Rs 1,73,999 is its price.

Dell Precision 5490’s Features and Cost

A 14-inch InfinityEdge touch-enabled display with a 16:10 aspect ratio debuted with the Dell Precision 5490. Updates to the device that are enhanced by AI will increase productivity in business and industry applications. In India, it is priced at Rs 2,19,999 at launch.

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Lenovo and US Semiconductor Behemoths Collaborate on AI PCs

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Lenovo Group Ltd, a Chinese technology company, is collaborating with US chip giants like Intel Corp and Qualcomm Inc. to create AI PCs, or computers that have artificial intelligence built in, in response to the increasing demand for more intelligent productivity tools.

Lenovo said that these computers can automatically create artwork presentations and synthesize knowledge based on stored documents at the launch of China’s first batch of AI PCs in Shanghai on Thursday. According to Lenovo, they are appropriate for a variety of users, including scientists conducting research in Antarctica and elementary school pupils.

According to Lenovo chairman Yang Yuanqing, the second half of AI’s development begins when the technology moves from scientific discoveries to useful applications.

According to Yang, gathering user input and advancing AI technology via practical uses are crucial.

He emphasized the high processing demands of AI-enabled PCs and projected a world in which each person has a personal intelligent being that can be easily integrated into smartphones or PCs.

Market research company Canalys has forecast that about 48 million AI-capable PCs will be shipped worldwide this year, representing 18 percent of total PC sales, and the figure will top 100 million units in 2025 to account for 40 percent of total PC sales.

About half of Lenovo China’s PC products will be AI PCs in the upcoming quarter, according to Liu Jun, the company’s president of Lenovo China, and that percentage is predicted to reach 80% by 2024.

Lenovo’s recently released AI PCs come equipped with a large language model developed in-house by the company that can converse with users in a natural way, improving work, learning, and daily life.

According to Lenovo, AI PCs continuously enhance their comprehension and provide accurate, customized services by utilizing local user data.

During Lenovo’s meeting in Shanghai on Thursday, Cristiano Amon, the CEO and president of Qualcomm, stated via video that the PC industry is about to enter an exciting phase.

In addition, “Amon expressed his excitement about collaborating with industry titans like Lenovo to develop and jointly create the upcoming AI PC generation, which will provide users with intelligent, tailored experiences.”

He said the world is witnessing unprecedented innovation and application of generative AI at an accelerated pace, but the development is still in its early stages.

Thus far, a significant portion of the advancements in generative AI have been focused on the cloud, which will remain a crucial component. Nevertheless, Amon noted that generative AI is developing quickly and will soon be able to operate directly on a variety of gadgets, including smartphones, next-generation PCs, and even cars.

Lenovo and Intel are working together to provide AI-enhanced PC experiences and support a thriving AI ecosystem in China, which will contribute to the global AI landscape, according to Intel CEO Pat Gelsinger in a video address.

Furthermore, he highlighted how transformative computing technology is and predicted that AI-powered systems will become a necessary part of everyday life, helping with both mental and physical tasks.

The company’s recent action is a part of a larger effort by Lenovo to take advantage of AI opportunities through complete business transformation and improved R&D proficiency.

Prior to now, Yang has discussed the company’s new ten-year plan, which includes leading the AI revolution, accelerating transformation, creating jobs, growing exports, and promoting corporate social responsibility.

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