It’s amazing what does not get widely reported …Here’s a news positive blurb that just may be an answer (or at least a good jump start) to head off the potential Commercial Real Estate (CRE) collapse and the related demise of small to mid-sized regional banks with huge commercial loan porfolios.

In January 2010 a little noticed bill was introduced […]

Real estate related loan auctions for 2009 show that non-performing CRE debt traded at a premium to non-performing residential real estate debt. Non-performing CRE debt sold for 37% of book value on average, while non-performing residential debt sold for 23% of book.

The thing that is striking though is that when both loan types are performing, there […]

On February 10, 2010 the Congressional Oversight Panel issued a most amazing and eye-opening report entitled: Commercial Real Estate Losses and the Risk to Financial Stability.
Here a quick executive summary — directly from the source – that should be read very carefully. Keep in mind, this is what the government’s oversight panel is concluding; not […]

The January 2010 Moody’s CMBS delinquency rate hit a record at 5.42%, after posting the largest one month increase (50 bps) in history.
While the deplorable state of CMBS is not a secret to anyone following RealPoint’s monthly delinquency data, getting confirmation from a procyclical firm such as Moody’s should be enough to wake up some […]

We normally would NOT reproduce language from a prospectus filed with the SEC. HOWEVER the following language is culled directly from a very interesting and timely filing made by First Mariner Bank on Tuesday (2.9.10).
It is so related to our recent posts – regarding the collapse of the commercial real estate market and the heavy-weight […]

Here’s what MarylandCommercialTitle.com has been saying for more than two (2) years now. Could this truly be our reality?
Over the next several years, a watchdog group concludes that failed commercial real estate loans could litter American cities with empty stores and office complexes, cause hundreds of bank failures and weaken the economy.
Banks face up to […]

A few green-shoots to focus on with regard to the Maryland real estate marketplace, finally. Is 2010 starting to turn, possitive?
In today’s Sun, despite an economy still in the earliest stages of recovery, some apartment construction projects are securing hard-to-get loans and moving forward as developers count on apartment living coming back into favor.
A Few […]

The largest real estate deal ever has failed. The question is, what’s next?
On Monday, January 25, 2010 — Tishman Speyer BlackRock, one of America’s largest commercial property owners, threw in the towel.
They sent their $5.3 billion investment in 11,000 apartments in New York back to their bankers – the same way some homeowners are mailing […]

Many said the economy is finally on the rise, after the quake of 2008. Perhaps that’s true in some sectors, but with respect to Commercial Real Estate (CRE), the shock-waves are getting much worse than initially imagined.
To put everything into perspective, in 2009 (a year many said was a horrible year for CRE), only […]

In a WSJ article, When Buildings Empty, Banks’ Credit Woes Pile Up, we find out that the regional banks recent rally, may be short-lived.
As banks start releasing fourth-quarter earnings this week, the losses and reserves tied to commercial real-estate loans could spike even higher than some analysts think. Regional banks could get hit hardest, given […]