It looks like you're using an Ad Blocker.

Please white-list or disable AboveTopSecret.com in your ad-blocking tool.

Thank you.

 

Some features of ATS will be disabled while you continue to use an ad-blocker.

 

The Looming Crisis in Commercial Real Estate

page: 1
2

log in

join
share:

posted on Apr, 23 2009 @ 02:38 AM
link   

The Looming Crisis in Commercial Real Estate


www.time.com

The Looming Crisis in Commercial Real Estate
By MICHAEL WEISSKOPF Wednesday, Apr. 22, 2009

...at least half the loans — and two-thirds of those packaged and resold as securities — will not qualify for refinancing. As a result, many borrowers will likely default, leading to losses on securitized mortgages of $50 billion or more and losses of at least $200 billion on commercial real estate loans overall..."People are only now beginning to realize there is a looming crisis"
(visit the link for the full news article)




posted on Apr, 23 2009 @ 02:38 AM
link   
Commercial mortgages are typically 5-10 year loans and many purchased at overinflated prices are now due for refinancing. Property values are down 45% (from 2007 peak). Banks which once accepted a 5% down payment now require a down payment of up to 40%. Vacancy rates are up and are expected to reach up to 17% nationwide, and banks will not be willing to hold vacant property.

www.time.com
(visit the link for the full news article)



posted on Apr, 23 2009 @ 11:49 AM
link   
reply to post by Dbriefed
 


This is going to be the next shoe to fall in this financial disaster.

Stores are closing in strip malls and regular malls also and now the owners of the malls and such arent getting the rent needed to pay there loans.

The mall in my town can have about 35 stores in it and if I had to take a guess there are maybe 10 left in it now.



posted on Apr, 23 2009 @ 12:34 PM
link   
reply to post by Dbriefed
 


Yes this is what Gerald Celente has been warning about...this will be catastrophic!

I have noticed that in my town, seems every day stores are closing. We have lost 7 car dealers, a dozen plus long standing restaurants, 6 home decor stores, dozens of other stores like florists, clothing stores, etc., plus all the business that just dissapears with out any one noticing but for the bank that financed them!



new topics

top topics
 
2

log in

join