Distress, Stubborn Banks, are Global 'Phenomena'
National Real Estate Investor reports: Distressed commercial property is present in markets around the globe, though it seems banks are equally uniform in preferring to “extend and pretend” the current troubled assets on their books. According to a recent article on National Real Estate Investor (NREI), which relied on Real Capital Analytics’ most recent troubled asset data, distressed assets in the US currently total at about $290.0 billion. This compares to about $150.0 billion Euros of distress in Europe, and $170.0 billion in commercial real estate debt coming due in Japan over the next couple years. In fact, global distress as a share of total property sales has become such a large and popular topic, that it was recently one of the headline discussions held at the Urban Land Institute’s recent fall meeting in Washington, DC.
For investors, however, these opportunities may never come to pass. Banks have sought to minimize losses by refinancing or rolling over troubled loans into future quarters. The wholesale liquidation investors were hoping for, where distressed bargains would come to market en mass, looks less likely at this point.
View the full article on National Real Estate Investor: Distress, Stubborn Banks, are Global 'Phenomena'
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Posted by: Nina Turner