Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I've heard form different sources that commercial real estate will be the next segment of the economy to crash and it's expected to be exponentially worse than housing and really could send us into an uncontrollable spiral downward.
Been hearing this since last September. Been noticing more and more businesses, big and small in my locale, disapearing, many without notice. Here today, gone tomorrow. In their place is another dark door, with another "available" sign attached to it. Add to that the new commercial storefronts, and office buildings that are just being completed, with nobody to lease them.....
Oh yeah....the banks are gonna be holding alot of non performing commercial mortgages, that typically have a face value many times the average residential note.
I've been reading at CoStar.com that some commercial property landlords are increasingly under pressure by their tenants to renegotiate their lease agreements. As a commercial landlord, it is old news to me.
It's been happening here for about a year. Marginal to begin with retail businesses first, of course, but now some long standing businesses are shutting down. This would not include the construction/development firms which have bleeding for over a year.
The rents have been going up to unsustainable levels for some time now. Finally the credit-starved consumer has been cutting back. Most of those stores that close will not be replaced by new tenents anytime soon. Overpriced properties face high insurance and taxation, so landlords will hold out for higher rent. Expect many vacant properties in the next few years as stagflation or hyperinflation hits.
All I say is "good riddance"- let's convert some of these back to useful farms or other manufacturing.
It's been happening here for about a year. Marginal to begin with retail businesses first, of course, but now some long standing businesses are shutting down. This would not include the construction/development firms which have bleeding for over a year.
Yes and one of my tenants is a new home builder and I know for a fact he is bleeding. However, I keep my rents substantially below the market even in good times as I have nothing invested in these properties but my time. I'm hoping for a miracle but prepared for the worse.
Hahaha... I am telling many business owners to close shop and fire all their employees and find a job... Some are listening, some aren't and those that aren't are complaining they are losing more money than ever every month... some are beginning to listen... I say if the government is going to eff everything up than screw the government first...
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
