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Klay Thompson historically efficient in Warriors' blowout vs. Lakers

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Klay Thompson historically efficient in Warriors' blowout vs. Lakers originally appeared on nbcsportsbayarea.com

Klay Thompson made each of his first 10 3-pointers in Monday's one-sided win over the Los Angeles Lakers. He also broke a record in the process. 

His 10-for-10 start from beyond the arc tied for the hottest start from the outside by any player in NBA history, 

"I've never hit 10 [3-pointers] in a row in a game," Thompson told reporters in Los Angeles. "That was hard. That's hard to do. I thought I had 11 for a second, but that's basketball."

Thompson missed his 11th (and final) 3-point attempt, but was historically efficient against his father Mychal's old team. He finished the night with 44 points on 17-of-20 shooting from the field, and ESPN Stats and Info determined that Thompson's effective field goal percentage on Monday was the highest of any player who took at least 15 shots in a game. 

In all, Thompson shot 85 percent from the field and about 91 percent from beyond the arc. Thompson had never made more than 85 percent of his shots in a game where he attempted at least two, and had never made more than 90 percent of his 3-pointers in a game where he attempted more than five. 

Before Monday, no player had shot at both of those percentages in a game where they made multiple three-pointers. 

Thompson was asked whether the opponent -- the Lakers crushed the Warriors on Christmas -- played into his performance, and he admitted it played "a little bit" of a role. Thompson also pointed to the fact he was playing in front of his family in his hometown.

Other than that, though, Thompson said there wasn't exactly one factor he could point to and describe why he was "on one."

"It just happened to be one of those nights," Thompson said. "I think that's the best percentage I ever shot, [but] it just happened to be one of those nights, man. I can't explain."




Source: https://sports.yahoo.com/klay-thompson-historically-efficient-warriors-075451094.html?src=rss

Accessorize new social tech boosts online conversion by 65 percent

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Monsoon’s Accessorize has reported a 65 percent customer conversion rate rise online after switching to a new social technology which allows user generated content (UGC) to be collected from social media platforms and displayed as a gallery on its website.

The UK accessories retailer is using Curalate’s Fanreel function, where customers’ images posted on Instagram and Facebook are curated and displayed as a gallery directly on Accessorize’s home page.

The retailer’s research found that shoppers interacting with the #Accessorizer gallery spent on average more than double (150 percent) the time on the website compared to those not using it, while order value rose by a third.

“Accessorize customers are keen to share their photos and we wanted to do more with our UGC,” said Robyn Molyneux, Senior Content and Social Media Manager at Accessorize in a statement. “We’d like to explore integrating UGC instore, utilising our digital screens and iPads to bring the online and offline worlds closer together.

“If a customer is shopping online and UGC is encouraging them to make a purchase, there’s no reason why seeing the same image in a store environment wouldn’t have the same effect.”

The retailer has been working with marketing technology company Curalate since 2016. Results for Accessorize’s study were measured over an eight month period to the end of July 2018.

Interested in working at Monsoon? Click here>>

Photo credit: Facebook, Accessorize




Source: https://fashionunited.com/news/retail/accessorize-new-social-tech-boosts-online-conversion-by-65-percent/2018112124677

Sixers beat East-leading Bucks to clinch postseason spot

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Los Angeles (AFP) - Joel Embiid scored 40 points and 15 rebounds as the Philadelphia 76ers overcame Giannis Antetokounmpo's career-high 52 points with a playoff berth clinching 130-125 win over the Milwaukee Bucks on Sunday.

It was Embiid's 52nd double-double and the 25th time he has scored at least 30 points and seized 10 rebounds in a NBA game.

Embiid's best quarter was the fourth when he tallied 18 points as the Sixers earned a spot in the Eastern Conference playoffs by beating the top-ranked team.

"They are the best team in the NBA right now, as far as record goes," Embiid said. "No. 1 in our conference. I felt like we had to make a statement. We had to get this win."

"I thought we all did a pretty good job in the first half. In the second half, he (Antetokounmpo) kind of got going. He is tough to guard."

Jimmy Butler had 27 points and JJ Redick 19 for the Sixers, who won their fourth in a row.

Antetokounmpo carried the Bucks on his back with one of the best games of his career. He also 16 rebounds and seven assists and Khris Middleton added 19 points.

The Bucks played without guard Malcolm Brogdon, who will be sidelined for at least six weeks with a plantar fascia tear in right foot.

Embiid made two free throws in the final seconds of the fourth to help seal the win.

"He's (Embiid) a tough guy," Antetokounmpo said. "He's a great defender, strong. It was kind of hard going at him."

Elsewhere, LeBron James scored 33 points but it was not enough to prevent the Los Angeles Lakers sliding to an embarrassing 124-123 defeat to the league-worst New York Knicks.

The Lakers, who are all but out of contention for the playoffs, blew a 122-111 lead late in the fourth quarter as the Knicks ended a run of eight consecutive defeats with an upset win at Madison Square Garden.

It marked another grim milestone in the Lakers' rocky season, which has nosedived dramatically since the turn of the year.

The Knicks are rooted to the bottom of the Eastern Conference with the worst record in the NBA, with Sunday's win seeing them improve to 14 wins against 56 defeats.

The Lakers meanwhile are stuck in 11th spot in the Western Conference with 31 wins and 39 defeats, nine wins fewer than the Los Angeles Clippers, who occupy the last remaining playoff berth.

Dejected Lakers coach Luke Walton, whose job is reportedly in peril, praised the Knicks for digging out an improbable win.




Source: https://sports.yahoo.com/sixers-beat-east-leading-bucks-clinch-postseason-spot-010103577--nba.html?src=rss

Looking for a comedy podcast? Earwolf has dozens to make you laugh

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The appeal of other Earwolf shows is more immediate. On a recent Monday afternoon, co-hosts Andrew Ti and Tawny Newsome sit down with their producer, Cody “Zig” Ziglar, and a guest, Dave Holmes — the co-host of an Earwolf show, “Homophilia” — to record an episode of “Yo, Is This Racist?” Together they field voicemails from listeners on a variety of race-related subjects, from the racist undertones of tiki culture to the etiquette of covering up offensive tattoos. Newsome, a comedian, actress and musician with an easy air on the mic, came aboard last year and provides a snappy comic foil to the wordier Ti, who created the podcast based on his Tumblr blog of the same name.



Source: https://www.latimes.com/entertainment/arts/museums/la-ca-st-earwolf-pocast-company-20190102-story.html

A New Fellowship Program Is Prepping Musicians of Color for America’s Orchestras

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In the 1970s and ’80s, the country’s top orchestras began using blind auditions to select their musicians, hiding the faces and forms of the applicants behind opaque screens. If the musicians were unseen, the thinking went, the juries—almost universally white and male—would be less apt to discriminate against women (who made up only a tiny fraction of orchestra rosters) and African Americans (who had been excluded for decades). The experiment worked—to a point.

The number of women in major orchestras skyrocketed from around 5 percent in the 1970s to upward of 30 percent today. But the number of musicians of color didn’t show a comparable rise, largely because a Matterhorn-size mountain of obstacles, from the lack of orchestra programs in underrepresented communities to the high cost of instruments and lessons, kept many potential applicants from picking up a violin or viola in the first place (string players make up two thirds of modern orchestras).

“In the vast majority of colleges and conservatories, there is either zero or maybe one person of color in the string programs,” explains Charles Dickerson III, the director of the Inner City Youth Orchestra of Los Angeles. “When you have so few African American or Latino people in these kinds of programs, then obviously they’re not getting trained for an orchestra career.”

In an effort to remedy that situation, three of the city’s powerhouse musical institutions—the Los Angeles Chamber Orchestra, Dickerson’s ICYOLA, and USC’s Thornton School of Music—have come together to create the Los Angeles Orchestra Fellowship. Launched in August, the program selected four fellows who, over the course of two years, will be trained by LACO musicians, perform in concerts throughout the city, instruct aspiring young students at ICYOLA, and pursue a music certificate at USC. The fellowship is the first of its kind in the country to include an institution of color in its creation and development (in this case, ICYOLA, the country’s largest African American-majority youth orchestra) and the first to include a mentoring component. “The mentoring part is so critical because the problem we’re trying to solve is so much larger than four people,” says Scott Harrison, LACO’s executive director.

On a recent afternoon I find the four fellows in a small, windowless practice room inside USC’s Ramo Hall talking with Lina Bahn, a violinist and USC music professor who is serving as one of their advisers. The fellows include Bradley Parrimore, a native of Houston and graduate of the Manhattan School of Music, and Sydney Adedamola, who grew up in Boston and recently graduated from USC. Ayrton Pisco, a violinist from Brazil, first played with the Brasilia National Orchestra at the age of five, while Juan-Salvador Carrasco, who was born in Mexico City and grew up in Santa Monica, has performed in orchestras under Placido Domingo and Yo-Yo Ma. The four of them live together in the same graduate dorm building, which makes it easier for them to practice together or just hang out, which they do. In addition to their other fellowship duties, the four were also specifically chosen to perform together as a string quartet. Think of them as the Navy’s Blue Angels, but with violins instead of F/A-18s.

“We’re asking them not only to be virtuoso musicians, but to be virtuoso agents of change as well.”

Bahn asks them about what pieces they’re going to focus on (the Haydn or the Shostakovich?) and how much they intend to practice, together and separately. Later, they talk about whether you have to be friends to be in a string quartet (“some great quartets hated each other,” Parrimore says) and about the final audition they took to get into the program (“that was a long day,” Adedamola remembers). It’s the usual sort of things any musical ensemble might chat about, but this ensemble, of course, is anything but usual. They’ve been chosen to inspire young people of color across Los Angeles to embrace classical music as an exciting, vibrant art form. “We’re asking them not only to be virtuoso musicians,” says Harrison, “but to be virtuoso agents of change as well.”

The four will also participate in mock auditions, with all the time pressure that those entail—but with the added perk of critiques from professional LACO musicians afterward. All that advice and practice will hopefully help them when real auditions come around, which is, after all, the whole point of this.

“We’ll measure success through the placement of our young musicians into jobs in American orchestras,” Dickerson says. “I hope to go four for four.”

RELATED: A Photographic Journey Through L.A.’s Live Music Scene

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Source: https://www.lamag.com/citythinkblog/los-angeles-orchestra-fellowship/

Francesca's to close at least 30 stores this year

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Francesca's is looking to close quite a few of its stores. After reporting a 13 percent decrease in its net sales compared to last year for its first quarter results, the womenswear boutique retailer announced that it will shutter at least 30 stores this year.

The company reported a loss of 10.1 million dollars, and noted in its earnings report that its profit decrease was "principally due to deleveraging of occupancy costs as a result of lower sales."

The company has already closed eight boutiques during this quarter, despite opening three new locations. Its the total boutique count at the moment is 722.

Francesca's CFO Kelly Dilts told analysts on the company’s earnings call on Thursday morning that the company expects to close at least 30 stores to turn its earnings around.

“While we are still in the early stages of executing our turnaround, and we have a long road to success, we are highly encouraged by these initial results," said interim CEO Michael Prendergast in the earnings report. "We continue to believe that our strategic turnaround plan will return the company to longer-term positive sales, cash flow and operating income performance.”




Source: https://fashionunited.com/news/fashion/francesca-s-to-close-at-least-30-stores-this-year/2019061428317

The L.A. Taco Horoscope for November, 2018

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Hang onto your crystals, kids. This November, logic and reasoning will get you nowhere fast. Rely instead on love and wanton grooviness — values supported by Venus and Neptune. (Both planets go direct this month. And Venus resumes her Morning Star status on the 16th, when early risers can see her shining in the eastern sky.) Angels can also enjoy two meteor showers: the Taurids (November 11th and 12th) bring love and happiness to the sky, and the Leonids (November 17th) have everybody showing off their dance moves. It’s all fun and disco until Mercury goes Retrograde November 18th, disrupting travel plans right in time for the Thanksgiving holiday. (Triple check that itinerary and print a hardcopy. E-tickets don’t work when your iPhone catches fire, falls in a toilet, and creates a hazmat situation at LAX.) Ah Mercury Retrograde; so much fun. A full Moon in Taurus (November 24th) restores balance after the holiday. The moon is exalted in Taurus – meaning it’s extra potent and happy – so expect a city-wide heart-opener.

Aries (March 21 – April 20)

Looking for a love forecast? Maybe some lucky lotto numbers? Sorry Aries, November is all about financial responsibility. So get ready for some productive adulting. The month begins with a focusing of energy when the Moon eclipses your Ruling Planet Mars in your Career Sector (November 15th). This occultation will leave you disoriented. When you stop being busy, do you stop being you? Take some Ram time and find out if you are just spinning your wheels or making meaningful progress. On the 18th, Mercury goes Retrograde in your Joint Income Sector. This is no time to merge bank accounts with your significant other; however, it is a great time to make a financial plan together – the organizational power a Retrograde Mercury affords is often underrated. Just don’t act on that plan until Mercury goes Direct in December. On the 20th, Uranus aligns with the Moon in your constellation. Demand freedom at any cost. But remember, freedom from one’s own ego is the ultimate revolution. From there you become a real danger to the status quo. On the 24th, the Full Moon lands in Taurus, delivering material security. Paying the bills supports emotional balance, and this Moon attracts all kinds of wealth. It feels good to be the grownup in the room.

Taurus (April 21 – May 21)

Feel good in your body this month, Taurus, when your ruling planet Venus aligns with the Moon in your House of Health (November 5th). Your constellation hosts the Taurid Fireballs (a.k.a. really bright meteors). They brighten L.A. skies November 11th and 12th, supporting determination and hard work. Introspection is overrated for the Bull this November, so no need to overanalyze your badass self. Just go get done what needs to be done. Watch out for the Retrograde Mercury November 18th. It lands in your partnership house, temporarily disrupting the good vibes at home. A Full Moon in Taurus (November 24th) brings out your best qualities; namely, appreciation of beauty and a kind heart for those around you. (If you can get tickets, achieve a trance-like state at LA Opera’s production of Philip Glass’s Satyagraha.) The month ends with your ruling Venus showing her brightest face – Venus has phases, just like the Moon – bringing love to your Work Sector (November 27th). Do good things and good things will come your way.

Gemini (May 22 – June 21)

All eyes are on the Twins’ ruling planet this month – but even Mercury natives like yourself will tire of that planet’s shenanigans. At first, it’s fun though. When Mercury enters Scorpio (your House of Health) November 6th, expect to be preoccupied with sex. All Month. Seriously. On November 8th, Mercury aligns with Antares – the red heart of the scorpion – triggering brilliant insight. This level of mental clarity doesn’t happen every day, so whatever comes up, write that sh*t down. When Mercury goes Retrograde on the 18th – I told you, shenanigans! – conserve your energy. Avoid entering into spiritual commitments, either to ideas or to other earthlings. When the Moon visits your constellation on the 26th, you will be as chatty usual, but the only word you need to say is “NO.” Be a little selfish. If you can avoid spreading your charming self too thin, you will have more to offer others in December.

Cancer (June 22 – July 22)

Put the tissues away, Crab. Your Moon comes to its own emotional rescue this month, after some quick trips around the Zodiac, bringing good vibes only. Gratitude? Love? Friendship? You got it. The month begins with a Lunar-Venus alignment in your Communication Sector. Tact is heightened – your foot will stay out of your mouth – and everyone will appreciate your talent for smoothing over the drama without getting attached yourself. On the 7th, a New Moon supports new beginnings. Protect the positive mojo any way you can — smudge, wear protective crystals, get a reiki session. Put in maximum energy on the 11th when Saturn aligns with the Moon in your Marriage House. The best relationships demand your best work. Mercury goes berserk on the 18th in your Health Sector, but you will be OK if you watch your inclinations. Substitute kombucha for vodka. A Full Moon in Taurus restores emotional balance on the 24th. Enjoy some loving celestial guidance in professional concerns. This Moon supports reflection and goal setting. You are on the right track.

Leo (July 23 – August 22)

Once again, it’s all about the kitty. The lion’s heart swells when the Leonid Meteor Shower radiates generosity throughout the Zodiac (November 17th). On the 18th, Mercury goes Retrograde in your Love House – which may frustrate you sexually, seeing as it coincides with your ruling Sun entering the constellation Scorpio, a.k.a. bordello of the Zodiac. I recommend cold showers and long hikes. Financial luck comes your way on the 25th when a Solar-Jupiter alignment in your Domestic Sector puts money on the table. Things should calm down at work when the Full Moon in loving Taurus balances your Career Sector (November 24th). At the end of the month, your constellation hosts the last quarter Moon – a theatrical position. When you don’t reign in your love of drama, a star is born. Cut loose.

Virgo (August 23 – September 22)

The Virgin’s constellation hosts mega-goddess energy this month. November begins with a Moon-Venus alignment in your constellation, strengthening your foundational qualities: love, compassion and looking fantastic. (Seriously Virgo, what is your skincare secret?) When Mercury goes Retrograde in your Creativity Sector (November 18th) you have an excuse to rest. Stay in your lane and don’t start new projects until your mind clears in December. A Full Moon in Taurus supports Travel for Virgos just in time for Turkey Day (November 24th). You are the only sign that gets a reprieve from the Retrograde Mercury travel ban, but if you haven’t bought your tickets yet, get on it. Did you know that Venus has phases, just like the Moon? She achieves her maximum brightness in your constellation on the 27th. She also reclaims her position as Morning Star this month, so start every day with an extra boost of love.

Libra (September 23 – October 22)

Let’s face it Libra, your scales don’t stay balanced all the time. They tilt up and down with your moods. Case in point, the New Moon in Libra on the 7th leaves you super sensitive to the opinions of others. Wear clean quartz and avoid jerks — they wreck your equilibrium. On the 13th, Venus steals the celestial show, reclaiming her position as Morning Star. Let love shine in your heart when that planet resumes Direct Motion. And everything is hunky-dory until that bastard Mercury goes Retrograde in your Family Sector, right in time for the Thanksgiving Hell-O-Day. (The drama subsides before December’s holidays, but do what you have to do on Turkey Day. Sometimes avoiding alcohol helps. Sometimes it doesn’t.) A Full Moon in your House of Sexuality (November 24th) coincides with the Sun’s entry into Scorpio — a risqué set of planetary affairs. Marvin Gaye has your playlist. Your ruling Venus achieves maximum brightness on the 27th in your House of the Subconscious. Love will illuminate your values. Pay attention. Know thyself.

Scorpio (October 23 – November 21)

Scorpio, you devil. This November you share your naughty vibes across the sky, and now the whole Zodiac is sex-positive — even modest Virgo! The month begins with Mercury achieving his greatest distance from our Sun – “Greatest Elongation” for my science friends – in your constellation on November 6th. This phenomenon is associated with mystic revelation, and your tantric energy takes us all a little higher. On the 8th, Mercury aligns with your red heart – the star Antares – generating big ideas. Expect more mental clarity than you are accustomed to. Write that sh*t down. Your ruling Mars aligns with the Moon in your House of Home and Family (November 15th), when those closest to you push your buttons. Control your temper. Anger makes for sloppy thinking. Luck visits your wallet on the 25th, when Jupiter aligns with the Sun in Scorpio. But don’t let that money burn a hole in your pocket until Mercury leaves Retrograde in December.

Sagittarius (November 22 – December 21)

The Archer rolls up his shirtsleeves and gets to work this November. Saturn aligns with the Moon in your constellation, supporting professional ambitions on the 11th. Seriousness (and sobriety) will maximize outcomes. Beware of self on the 18th when Mercury goes Retrograde in your house of self-undoing. You will not lose iconoclast status by laying low for a few weeks. The Cisco Kid had a hideout. So did Johnny Cash. Retreat to yours until the Retrograde ends in December. A Full Moon in Taurus on the 24th brings loving balance to your marriage house. Enjoy maximum smooches. Continue to loosen up when your ruling planet, lucky Jupiter, aligns with the Sun in sexy Scorpio, firing up the Archer’s mojo (November 25th). Play Deep Purple in your head. This planetary combo also supports finances – but remember, Mercury is still in Retrograde. Make your plans but don’t act on them just yet.

Capricorn (December 22 – January 20)

Get a jersey now. Put “sea-GOAT” on the back. The whole Zodiac benefits from Capricorn’s ruling planet Saturn’s achievements when that pretty planet aligns with the Moon in your House of Karma (November 11th). This sounds way heavier than it is. It supports mega spiritual growth from minimum effort– put in a nickel and get out a dollar. Give yourself the gift of you. On the 15th, Mars aligns with the Moon in your constellation. This can trigger tidal waves of temper tantrums – even rage. Cardio helps. On the 24th, a Taurus Full Moon in your Work Sector brings love to your job. Work attracts wealth under this Moon. Feel your heart open, and take the edge off your seriousness. Like the Zen boys say: Chop wood. Carry water.

Aquarius (January 21 – February 19)

Listen up, Water-Bearer. A Lunar-Neptune alignment in Aquarius brings this monthly reminder: You are a freaky cosmic love child with big old hearts in your eyes (November 16th). Keep that in mind during Mercury’s Retrograde — it starts on the 18th and it lands in your Career Sector. You may feel like you are not making any professional progress, but this a great time to make a business plan. The organizational bennies of a backwards Mercury are underrated. Rebellious tendencies backfire during a Retrograde, so check your head like the Beastie Boys said, and exercise self-discipline. Your ruling planet Uranus aligns with the Moon in your House of Communication (November 20th). Be careful with words. True freedom includes freedom from ego. Sometimes you are the trap. (Also, you will be super creative that day, so make cool sh*t.) Neptune goes direct in your constellation on the 25th. Be the shining example of happy hippiedom to those around you. Hugs. Art. Love. Repeat.

Pisces (February 19 – March 20)

Stay mellow and flow this November, Pisces. The mystic Fishes’ aura glows green and lovely on the 16th when your ruling Neptune aligns with the Moon in your House of Subconscious. Read David Foster Wallace’s “This is Water” to remember how to stay present. On the 18th, Mercury goes Retrograde your House of Travel. STAY HOME THIS THANKSGIVING! (Well, that was subtle.) If you must visit Grandma, print hard copies of flight confirmations and pack light — carry-on luggage is less likely to be lost by an airline. Don’t worry, by December’s holidays Mercury behaves himself again. A Full Moon in love-struck Taurus lands in your Communication Sector November 24th. Love letters and flirty texts abound. Lap it up. Want more good news? Your ruling Neptune goes Direct in Aquarius on the 25th, reestablishing your cosmic faith in a universe that loves her fishes.

Ophiuchus (November 29 – December 17)

Mercury goes Retrograde in your constellation on the 16th, Snake-Bearer. You might feel burdened by big questions of self and identity. Good answers will surface, and they will serve your plans to move past stagnation in 2019. What doesn’t suit you? Maybe it’s a suit. A career change may fit your nonconformist nature better and you deserve happiness. The Taurus Full Moon lands in your House of Partnerships — a great place to feel the love. Again, this may represent a new professional direction as this position attracts wealth in all forms. When the Last Quarter Moon lands in Leo (November 24th), watch your pride. Drama isn’t your scene.

RELATED: The L.A. Taco Horoscope for October, 2018

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Source: https://www.lataco.com/horoscope-for-november-2018/

The Long View: How mortgage banks created the co-working lease

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(Credit: iStock)

Andrew Ross Sorkin, author of the book “Too Big To Fail,” recently wrote an opinion piece in the New York Times arguing that WeWork might be just that: too big to fail. In September, the co-working giant became Manhattan’s biggest office tenant with 5.3 million square feet. The company now has such clout in the market, Sorkin argued, that landlords couldn’t afford to kick it out over unpaid rent in the event of a serious market downturn lest they want to be left with empty buildings. Instead, they’d be forced to lower WeWork’s rent.

You can agree or disagree with Sorkin’s claim that WeWork is unsinkable (I disagree), but he’s right about one thing: those 15-years leases with fixed rents that WeWork signed all over the city won’t be worth much if the office market tanks.

WeWork makes its money through short-term contracts with office users, meaning its income can go up and down with the whims of the market. But the rent it pays landlords is fixed. This so-called asset-liability mismatch at the root of the co-working industry is well known, and as the odds of a market downturn increase a growing number of industry insiders see it as a problem.

“We feel the lease-based nature of this industry is unnecessarily risky,” said Jamie Hodari, CEO of co-working company Industrious. “It produces bad incentives.”

Industrious is among a handful of co-working companies trying to switch from leases to management agreements, where operators get a percentage of revenues and profits, the landlord pockets the rest, and no rent is paid. But so far, leases still dominate the industry as a whole. The vast majority of WeWork’s New York locations are leases. At Knotel, which claims to be big on management agreements, they still just accounted for 13 percent of its locations in the third quarter of 2018.

It’s a strange situation: most people seem to agree that long-term leases are a bad model for the co-working industry, and yet they continue to be the norm. One big reason: mortgage lenders.

Because long-term leases seemingly promise a stable source of income for landlords, banks generally consider them less risky and reward them with lower mortgage rates. Talk to co-working (and co-living) operators, and they often point to lenders as a main reason for why they opt to sign lease after lease. A major Midtown South office landlord recently told me that he would love to copy WeWork and lease out small, furnished offices under short-term deals, but his lenders won’t let him.

“Long-term leases provide – in general – more stable and predictable cash flow,” said George Doerre, a vice president at M&T Bank. “Whatever benefit may come from exposure to the higher revenues from co-working may be undone by the need for greater cushion and downside sensitization due to the more volatile income stream,” he added, referring to the need to put money aside in good times to cover debt payments during a downturn.

By insisting on 15- or 20-year leases with a fixed rent, banks are, in theory, minimizing the risk of a loan default, because borrowers have a stable income they can use to pay interest. But that security is often an illusion. Co-working companies can only pay rent for as long as they find enough customers, and any corporate guarantees they sign are worthless if they run out of money and shut down. This means the landlord still shoulders much of the risk, but they get little of the reward. In good times their rental income is still fixed, and the co-working operator can profit handsomely.

This means office landlords face a choice: cheaper mortgage rates, or a profit-sharing arrangement that compensates them for the business risk they shoulder.

Decades ago, hotel owners faced a similar choice. The rise of global brands like Hilton and Marriott meant the industry split between companies that own hotels and companies that operate them. In France and Germany, where most hotels ended up in the hands of risk-averse institutions like insurers, long-term leases came to dominate, said Lauro Ferroni, JLL’s global head of hotel research.

But in the U.S. and in most other parts of the world, management agreements became the norm. Sharing profits and revenues meant property owners saw their income rise in boom times, while avoiding the risk that an operator could default on their lease during a market downturn in a notoriously fickle business. Hotel brands, meanwhile, managed to avoid the liabilities of long-term leases. “If you’re the operator, it’s really a favorable structure,” Ferroni said of management agreements.

In return, hotel owners accepted slightly higher mortgage costs. According to research firm Trepp, the average interest rate for hotel commercial mortgage backed securities issued between 2014 and 2018 was 4.93 percent, compared to 4.65 percent for office buildings (on top of that, the average loan-to-value ratio for hotel CMBS was slightly lower than for office CMBS).

Eventually, office landlords may come to accept the same tradeoff.

WeWork, for example, has started branching out from traditional leases.

“As we continue our growth, we are offering a range of options – including joint ventures, profit sharing deals and management agreements – that allow landlords to share in the upside we generate,” WeWork’s chief real estate development officer Granit Gjonbalaj said in a statement. “This has already proven to be a successful strategy and represents a win/win for WeWork and the landlords we partner with.”

Industrious’ Hodari said he has noticed a change in landlords’ willingness to move away from leases. Until 2017, most of his company’s new locations were leased. But this year, he noticed that landlords are increasingly open to management agreements, which now account for the vast majority of its new spaces.

“The industry’s perception has shifted really quickly,” he said.



Source: https://therealdeal.com/2019/01/04/the-long-view-how-mortgage-banks-created-the-co-working-lease/

Inside the Nation: Free Agency Breakdown

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Happy Canada Day, Nation! With free agency kicking off today, there is plenty to talk about and Dusty Nielson wanted to go live to recap the day and discuss the moves that did and didn’t happen for the Edmonton Oilers.

To kick things off, Dusty jumped right in with a breakdown of the moves the Edmonton Oilers made today while also looking at the ones they didn’t make on this first day of free agency. Starting with Mike Smith’s one-year deal, Nielson broke down the contract and described why Oilers fans shouldn’t be too upset about the veteran netminder. Moving forward, he looks at the Andrej Sekera buyout and addresses the concerns that the Oilers should have traded him rather than adding dead space to their cap. The Oilers also upgraded their bottom-six a little bit with the Markus Granlund signing and Dusty offers a guess at where he’ll slot in the lineup. Third line? Fourth line? Ken Holland also took care of some housekeeping today as he re-signed both Jujhar Khaira and Alex Chiasson to fresh two years contracts, but does that necessarily mean the team will look the same as we head into next season? Not necessarily. Lastly, Dusty takes a few swings and guesses on what could come next for the Oilers, including the rumours that the team is considering bringing Pat Maroon back for a second tour of duty.

Check out today’s episode below:




Source: https://oilersnation.com/2019/07/01/inside-the-nation-free-agency-breakdown/

Cushman posts operating income of $11M in the third quarter

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Cushman posts operating income of $11M in the third quarter

Company refinanced its corporate debt

225 West Wacker Drive in Chicago and Brett White (Credit: iStock and Hines)

Cushman & Wakefield reported revenues of $2.07 billion during the third quarter, an increase of 21 percent over the same time last year.

Expenses during the quarter rose 17 percent on the year to $2.06 billion, for operating income on the quarter of $11 million.

“We’re making good progress in our financial, operational and strategic growth objectives,” CEO Brett White said on the company’s third-quarter earnings call Tuesday evening.

It was Cushman’s second earnings call since the company went public with its $765 million initial public offering in August.

Cushman was saddled with a significant amount of debt following the IPO, and during the third quarter the company refinanced its debt facilities. Cushman issued $2.7 billion of first-lien debt that carries a seven-year maturity.

The company paid off its second lien, and completed a new revolving credit facility of $810 million with a five-year maturity.

Fee revenue in the Americas grew 20 percent in the quarter, driven by a 34 percent increase in leasing growth and 25 percent in capital markets, the company said. White also said he expects strong office leasing numbers to continue into 2019.

Cushman’s stock price late Wednesday afternoon was at $18.65 per share, up from its IPO price of $17 per share.




Source: https://therealdeal.com/2018/11/14/cushman-posts-operating-income-of-11m-in-q3/

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