Commercial market tilts to tenants
Las Vegas Review-Journal reports: Suffering real estate segment may help startups
Commercial real estate has taken a beating along with the housing market. Commercial mortgage delinquency rates have doubled in a year, vacancy has surged and foreclosures are looming.
Southern Nevada's commercial development will be severely affected by foreclosures, real estate analyst John Restrepo of Restrepo Consulting Group said. The wave of commercial real estate defaults is gaining strength each month and will likely crest sometime in 2010, he said.
Troubled commercial real estate assets in Las Vegas jumped 72 percent from $4.7 billion in early 2008 to $8.1 billion in April, according to New York-based Real Capital Analytics. About one-fourth of commercial projects are in financial trouble, with apartment complexes experiencing the most difficulty.
Access to financing and economic uncertainty are cited as the biggest obstacles to recovery in commercial real estate, a May survey by Los Angeles-based LoopNet showed.
View the full article on Las Vegas Review-Journal: Commercial market tilts to tenants
Posted by: Matthew Stone