That building is only worth its future refinancing value

Implications: The financial basket includes the REIT’s and REOC’s and Homebuilders and Mortgage Lenders and Realtors we’ve funded so generously that overexpansion and speculation was the business rather than the production and operation of real estate.

Analysis: No matter whether it’s commercial real estate or housing, the value is going to be minimal until we reformat our financial products.  Since our current financial leaders got us there, they are not going to be the leaders of the new financial order. Training their successors and putting them in power to execute is not going to be a rapid process. Count on decades passing before we get the old gone and the new in place.