Commercial Real Estate Crisis Coming?... A commercial mortgage crisis is likely coming across the country... Elizabeth Warren: "There's been an enormous bubble in commercial real estate... There will be significant bankruptcies among developers and significant failures among community banks"... Warren points out nearly 40% of the banking system have a high proportion of commercial real estate loans relative to their capital... Warren also points out nationwide at least $1.4 trillion in commercial real estate debt is expected to roll over during the next 3 yrs, 1/2 of commercial real estate mortgages will be underwater by the beginning of 2011... http://www.washingtonpost.com/wp-dyn/content/article/2010/02/18/AR2010021805904.html?sid=ST2010021806024 (4*)
Sunday, February 28, 2010
Commercial Real Estate Crisis Coming?... A commercial mortgage crisis is likely coming across the country... Elizabeth Warren: "There's been an enormous bubble in commercial real estate... There will be significant bankruptcies among developers and significant failures among community banks"... Warren points out nearly 40% of the banking system have a high proportion of commercial real estate loans relative to their capital... Warren also points out nationwide at least $1.4 trillion in commercial real estate debt is expected to roll over during the next 3 yrs, 1/2 of commercial real estate mortgages will be underwater by the beginning of 2011... http://www.washingtonpost.com/wp-dyn/content/article/2010/02/18/AR2010021805904.html?sid=ST2010021806024 (4*)
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