‘Phantom’ Vacancy Haunts Office Market as Job Losses Mount

Amid rising unemployment and weakening demand for space, the U.S. office vacancy rate rose to 13% in the third quarter. But it could climb as high as 19% if companies consolidate their space to reflect smaller workforce levels.[...more...]

Will New FDIC Bank Rules Help or Harm Commercial Real Estate?

. . . The new guidelines issued by regulators allow lenders to classify loans as performing even though market values of the underlying real estate have fallen by as much as 40%. A key to assessing a loan portfolio, according to the guidelines, is whether borrowers are current on principal and interest payments . . . [more]