The Wealth Elevator Podcast: Real Estate, Taxes, Investing · Lane Kawaoka, PE

Mid-Year 2025 Market Recap: 100% Bonus Depreciation, supply/demand

·1 hr 42 min·5 clips

Properties bought after January 19, 2025 can qualify for 100% bonus depreciation through 2029.

The host opens with a blunt market check. He says the semi-annual read lines up with what he said in late 2024: tariffs hit in Q1 and Q2, the recovery slowed, and commercial real estate has only been inching back as cap rates drift lower. That means prices are moving up. From there he gets to the question investors actually need to answer, which is whether an older asset still deserves more time or whether the better trade is to sell, capture the gain, and move capital into newer opportunities where the upside has not already been used up. He comes down on the side of redeploying. The point is plain enough: deals entered in 2020 have already picked up much of the upside, so stretching them into longer holds can create more time, but not necessarily better returns. He wants the math, not the nostalgia. The conversation then broadens to where smart money is showing up, with large institutional players and hedge funds stepping back into commercial real estate while office remains a separate problem. He reads that as a signal. For listeners with properties bought near the peak, the real stress test is debt maturity, especially when a six-year term comes due and the asset is worth close to what it cost because the market reset so hard. That part lands with some force. He keeps translating the market into owner-level decisions instead of hiding behind macro language. There is also the usual community and access pitch around the Wealth Elevator masterclass, the club, the onboarding call, and the idea of getting face-to-face with people in California and Washington. It is promotional, yes, but it also tells you who this is for. The audience is accredited investors and operators who already know the basics and need blunt calibration more than education from scratch. The tone stays casual and skeptical. He keeps pointing back to current conditions, not the market of 2021 or the story people wish they were still in. The disclaimers are standard and the emphasis stays on informed decisions with professional guidance. The episode ends where it started. It comes back to timing, relationships, and whether today's deals deserve fresh capital more than old ones do.

As heard by us

A blunt commercial real estate update on pricing, timing, and whether older assets should be sold and redeployed.

This semiannual commercial real estate update argues that tariffs in Q1 and Q2 slowed the recovery, even as cap rates kept edging lower and prices moved up.

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Why you'd press play

You get a semi-annual market checkup on cap rates, tariffs, pricing, and redeployment math.

Read the full recommendation in PlayNext →

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