The TreppWire Podcast: A Commercial Real Estate Show 391. Justin Kennedy of 3650 Capital on Dispersion, Demand Shifts, and the New CRE Market
Apr 21, 2026
Justin Kennedy, co-founder and managing partner of 3650 Capital with decades in CRE finance and special servicing. He discusses extreme micro-market dispersion and why nearby assets can perform very differently. He explains converting obsolete retail and office into new uses and urges focusing on a property’s forward-looking utility. He also touches on technology-driven demand shifts and the emerging role of AI in real estate workflows.
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From Sacramento Development To CMBS Trading
- Justin Kennedy traced his start from Sacramento development to Goldman Sachs where he traded CMBS and ran syndicate desks in the early 1990s.
- That origin taught him hands-on asset focus and seeded 3650's emphasis on active servicing and micro-market visits.
Match Capital Structure To Borrower Needs
- Offer flexible capital: provide stable fixed-rate lending, mezzanine, construction, or preferred equity to solve recapitalizations and distressed situations.
- 3650 runs three vehicles (stable lending, REX credit solutions, special situations) to match borrower needs.
Dispersion Is The Dominant Market Force
- Market dispersion today is extreme: similar assets within short distance can have drastically different outcomes.
- Justin cites Park Avenue hitting record rents while Worldwide Plaza saw ~90% appraisal cuts as examples of micro-market divergence.