Deleveraging

Commercial real estate property owners continue to face situations where the current appraised value of their investment is less than the total amount owed in financing. When that financing consists of CMBS structured debt, trying to find a way out can be complicated and every situation poses its own challenges. Despite the loss of equity, some owners will attempt to carry the property with additional cash out of pocket, but this strategy often only provides additional time before needing to make more difficult decisions.
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Financing Notes

Our newest edition of Financing Notes is now available. Jack M. Cohen discusses: The ongoing capital distribution problem The availability of capital for trophy real estate and dearth of capital for everyone else Jobs! What effect they have on CRE The lasting impact of this economic cycle on CRE Political risk Surgery anyone? Who will be the first to take the remaining losses needed for everyone to move forward?
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