Studies released by the National Apartment Association and the Joint Center for Housing Studies at Harvard University have come to similar conclusions about housing and multifamily demand. Rental-apartment demand can be expected to remain high as household formation continues to be robust and affordable single-family homes remain scarce.

Mitsubishi Estate has established a joint venture fund with a unit of Hong Kong investment bank CLSA, with plans to invest $1.79 billion in office buildings and other commercial properties in Asia and Australia over the next four years. This is the first time a major Japanese real estate developer has created an Asian investment fund.

Summit Hotel Properties has closed on its previously announced $163 million acquisition of a five-asset portfolio from Xenia Hotels & Resort. Summit plans to invest between $13 million and $16 million in capital improvements on the 812-key portfolio, which is located in Fort Worth, Texas; Kansas City, Mo.; Pittsburgh; and Baltimore.

Senior housing owners and operators are keeping a wary eye on rising labor costs, which are growing faster in the sector than the national average, writes Beth Burnham Mace, chief economist at the National Investment Center for the Seniors Housing & Care Industry. "In order to grow NOI, operators will need to boost their operational efficiency and staff productivity, likely through technology, training and mentoring," she writes.

New single-family home sales rose by 2.9% in May to a seasonally adjusted rate of 610,000 units, and were up 8.9% on a year-on-year basis, according to the Commerce Department. Economists polled by Reuters had predicted that new-home sales in May would increase month-over-month by 5.4%.

Apple Hospitality REIT is exploring transactions that would be accretive for its shareholders, says CEO Justin Knight. "We're beginning to see renewed interest on the part of sellers and an increased number of buyers," he says.

All 34 banks that underwent the Federal Reserve's annual stress test cleared the first round. "This year's results show that, even during a severe recession, our large banks would remain well-capitalized," Fed Governor Jerome Powell said.

Regulators testifying before the Senate banking committee supported easing and simplification of rules recommended in the Treasury Department's review of post-crisis regulation. While Federal Reserve Governor Jerome Powell advocated an exemption from the qualitative portion of stress tests for banks with high-quality capital planning, acting Comptroller of the Currency Keith Noreika called for streamlining and simplifying the Volcker rule.

The Alternative Reference Rates Committee, which is made up of major international banks, chose a Treasurys-backed repurchase agreement rate as an alternative to the London Interbank Offered Rate. "I am confident the new reference rate chosen today by the Alternative Reference Rates Committee is based on a deep and actively traded market and will be highly robust," said Jerome Powell of the Federal Reserve.

Brought to you by NAREIT, REIT.com is your source for the latest real estate investment data & analysis, news, policy developments and industry information.

Spotlight Focus on REIT investment data & analysis:

• Investing in REITs 
• Investor Resources 
• Market Commentary 
• Index Returns 
• Sponsored Research 

Is Your NAREIT Profile Current? Login at REIT.com to find out. Don’t have a NAREIT profile? Create an account now. Having a NAREIT profile keeps you connected to NAREIT news and information.