A report from the Wall Street Journal on California. "Chinese companies have been pulling back on their real-estate investments from New York to London to San Francisco. A host of Chinese firms that bought significant development sites or projects in downtown Los Angeles say they are sticking around, though some have put their projects on hold for financial reasons."

"These developers now face new challenges in the fast-growing downtown L.A. market. A growing glut of construction has caused some Chinese developers to put work on hold. That is especially true for apartments. In 2018, 11 projects with 3,295 apartment units opened, a record, according to the Downtown Center Business Improvement District. Some 7,000 units are under construction with another 35,000 in the planning stages."

"'There’s understandable caution about pulling the trigger,' said Nick Griffin, executive director of the business improvement district."

"Some Chinese developers paid steep prices, and their projects are coming under financial strain. A Chinese developer stopped construction on a three-tower complex known as Oceanwide Plaza early this year. A recent visit to the project across from Staples Center, showed half-finished buildings with gaps in the glass facade and idle construction cranes."

"Shanghai-based Shenglong Group’s U.S. unit City Century LLC is building a 1,367-residential-unit development that has also stalled. City Century hasn’t set a date to restart construction, a company spokesman said."

From Crain's Detroit Business in Michigan. "Construction in Metro Detroit hit an apex last year in terms of project values, but many area builders and others are anticipating a mild slowdown in the years to come. It's not a matter of if, but when."

"A variety of factors are contributing to an anticipated slowdown, in spite of a bevy of large developments in the regional pipeline. 'In a broad sense, the construction industry expansion has been in place for some time now,' said Robert Murray, chief economist for Dodge Data. 'Also what we are seeing is a more cautious lending stance toward the real estate development sector. There is concern nationally that multifamily housing has been overbuilt.'"

"Jeff Baxa, senior vice president of Southfield-based Barton Malow Co., said he is worried about what happens when the existing pipeline of large-scale projects begins to dry up. 'I worry about the next 2-4 years, as these large projects start to wind down, what is out there to replace them? Is that work going to be backfilled?' he said."

The Santa Fe New Mexican. "With as many as 2,155 apartment units either proposed or under construction in Santa Fe, observers have different views on what role these large projects will play in Santa Fe’s housing crisis. 'Bringing in these market-rate apartments will free up more affordable units,' said Alexandra Ladd, the city of Santa Fe’s housing special projects manager. 'Existing apartments will have to bring rents down a little bit.'"

"The Acequia Lofts project on originally would have been by far the largest multifamily housing project in Santa Fe at 450 units, but the city approval process over five years whittled that down to 399 units and ultimately 120 units."

"'Believe it or not, the Planning Commission said we did not demonstrate that there was a need for this much housing,' said Eric Faust, who with his brother Kurt Faust are developing Acequia Lofts. 'The City Council denied it because the neighbors came out against it.'"

"'It’s market rate but affordable for working people,' Kurt Faust said. '“We’re in the final stages of putting together our final budget. We lost our perfect window four years ago. We’re struggling to figure out how to make it all work.' A construction start date hasn’t been determined, Eric Faust said."

From The Real Deal. "Bank OZK is showing no signs of curbing its construction lending this year. Little Rock-based Bank OZK, formerly known as Bank of the Ozarks, reported first quarter earnings that beat analysts’ estimates, as it real estate lending division originated more than $1.86 billion in new loans. That’s an increase of 86 percent compared to the first quarter of 2018."

"With just over $23 billion in assets, Bank OZK is one of the largest and most aggressive condo construction lenders in Miami, Los Angeles and New York City, lending at a time when other banks are pulling back."

"Critics worry Bank OZK is being overly aggressive at a time when condo sales have slowed down in New York and Miami. Signaling this change in market conditions, the bank reported that it expects to see more repayments on its real estate loans due to 'high levels of property sales, leasing and refinancing activity.'"

"In March, Bank OZK provided a $475 million construction loan for One Chicago Square, which is expected to be Chicago’s sixth tallest tower with 76 stories, totaling 1.5 million square feet. The bank also provided a $96 million loan to Anbau Enterprises for a two-building condominium project in New York City’s Flatiron District in April."