Insights from TRD with Bob Knakal: Impact of the election on commercial real estate

In the second installment of the new interview program Insights from The Real Deal, Robert Knakal, chairman of investment sales firm Massey Knakal Realty Services, discusses the impact of last week’s elections on commercial real estate in New York City. Now that the Republicans have control of the United States House of Representatives and will likely gain control of the New York State Senate, he says he expects to “see tax policy that will have positive implications for real estate values moving forward.” In addition, Knakal says the possible increase in the capital gains tax rate from 15 percent to 20 percent is driving a large number of sellers to unload properties before the end of 2010. And with the GOP likely to win back the state Senate, he anticipates a package of 12 tenant-friendly bills passed by the Assembly last year “will face significant challenges getting through the Senate.” (Have a comment about The Real Deal’s new Web feature? E-mail Lauren Elkies at le@therealdeal.com.)