News
WHERE'S THE RECOVERY?
January 7, 2010
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| [Note: Good News is off this week; today's guest editor: Bad News]Delinquencies and defaults are up 500%, says Cushman & Sonnenblick Goldman’s Arthur Sonnenblick, panelist at The Foundation for Accounting Education’s annual RE conference. Arthur (left, with Cornerstone Accounting Group’s Harry Dublinsky), says there’s money to buy, but sellers can’t sell. Regional banks are in desperate shape, and he estimates another 100 banks will go under over the next two years. Debt is the problem, he continues; it’s what brought us here, and government debt is what saved it. Expect another 3-5 years before a recovery we’ll be happy with. |
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| Sterling American Property’s Daniel Rosenberg (left) and Grassi & Co.’s Craig Maurer (right), join Harry, Arthur, and other panelists: Integra Realty Resources’ Raymond Cirz, Prudential Douglas Elliman’s Jacky Teplitzky, and Murray Hill Properties’ Roxana Girand. Roxana’s more positive ’10 outlook calls for an office bottom, moderately improved retail market, conservative rebirth of CMBS, and an increase in foreign buyers. Residential’s already seeing stabilization, Jacky adds, but the wild card will be inventory levels and mortgage availability. Raymond says, despite our office woes, NYC has the lowest vacancies in the country. |
