Analyses are solely the work of the authors and have not been edited or endorsed by GLG.
Commercial Real Estate Still Alive but not neccessarily healthy
October 29, 2009
Commercial Real Estate Debt Won't Be the Next Shoe to Drop, Economists Say | retailtrafficmag.com
Banks and other lenders are ill equipped to operate a failed mall, office building or hotel, once they have foreclosed on this type of property.Shopping malls and other such buildings staying vacant brings no income and makes the property more difficult to sell.A good broker is the answer, One who can find a buyer, negotiate a sale and limit the damage to the bottom line and the structure, itself.
This means more bad news on the commercial real estate sector
October 27, 2009
Stocks waver on housing, consumer confidence data | www.wtop.com
Consumer confidence fell unexpectedly...What gave it away? When you have unemployment hovering around 10% what should the experts expect?
October 22, 2009
Commercial Real Estate Debt Won't Be the Next Shoe to Drop, Economists Say | retailtrafficmag.com
The folks quoted in this article have to be kidding. They must be the same people that didn't question the era of cheap money and low cap rates either.
...If This Isn't A Shoe, Is It A Boot?
October 22, 2009
Commercial Real Estate Debt Won't Be the Next Shoe to Drop, Economists Say | retailtrafficmag.com
The only good news is that most of the loans in question were not securitized and spread through the financial system as cash-equivalent.The bad news is multi-faceted.To expect REITs to be able to stop the fall, is to rely on a frayed shoe lace.
The 3 legs of the valuation stool remain broken
October 21, 2009
Commercial Real Estate Poised to Disappoint | www.taipanpublishinggroup.com
Based on public equity valuations, where P/E ratios based on projected "E" are at all time highs it is hard to envision a scenario where Commercial Real Estate equity returns achieve positiive levels. Fundamentals remain weak, availability of debt financing remains constrained, and all expect a surplus of REO properties to hit the market over the next few years. The tree legs of the valuation stool - supply, debt financing, cash flow growth - are broken; not a pretty picture for valuations.
Who is kidding who regarding a recovery in commercial real estate
October 18, 2009
Bank failures drain FDIC insurance | www.washingtontimes.com
Many so called pundits are still optimistic about commercial real estate making a dramatic recovery in 2010. Nothing could be further from reality
Is Taking Vacant Space off the Market a Viable Alternative for Some Owners?
October 15, 2009
Commercial Real Estate Poised to Disappoint | www.taipanpublishinggroup.com
As property and portfolio budgets are being revisited and solutions to cash flow problems considered, Commercial Real Estate owners are faced with difficult challenges. Having to give a property back to the bank is a terrible decision to have to make. Alternative solutions include cash calls from partners and even deciding to not actively market space unless tenant's can take the space "as is" at reasonable rental rates i.e. "moth-balling" space.The last chapter has yet to be written.
So The Sky Isn't Falling Quite Yet
October 15, 2009
Store Closings Likely To Peak in First Half of 2010 | www.printthis.clickability.com
Year-to-date , the U.S. retail industry saw 3.408 store closings, according to the ICSC. The number of closings is far short of the 10,000 to 12,000 closings many experts projected in late 2008. However this article indicates that 2010 may yet turn out to be even worse.
This article is right on regarding falling Commercial Real Estate sector
October 15, 2009
Commercial Real Estate Poised to Disappoint | www.taipanpublishinggroup.com
Considering the conditions needed for a recovery in commercial real estate – specifically, falling unemployment and rising consumer spending – even optimists are pointing to the third quarter of next year as the beginning of the upswing. The good news – things may not get worse between now and then.
U.S. Helps Commercial Real Real Estate Lenders Pretend and Extend
October 15, 2009
U.S. Will Set Guidelines to Modify Commercial Real-Estate Loans | www.bloomberg.com
FDIC published guidelines to help banks modify commercial real estate loans: help save us from this "help".
The Current Real Estate Downturn is Different
November 4, 2009
Who is kidding who regarding a recovery in commercial real estate
October 18, 2009
U.S. Helps Commercial Real Real Estate Lenders Pretend and Extend
October 15, 2009
Why this report is not a good Omen for the Commercial Real Estate sector
September 29, 2009
September 23, 2009