Financial Turbulence Threatens Commercial Real Estate Recovery

Posted September 8, 2011

We had a decent head of steam from the fourth quarter of 2010 through second quarter of 2011, but a bunch of uncertainty is now in the air. Let’s hope this doesn’t lead to another downturn after just two or three quarters of recovery. Nothing postpones a commercial real estate decision like uncertainty. Let’s see, in the last two months we’ve had the prospect of a national default, stock market turbulence, retail slowing, bond credit downgrade, slouching corporate profit growth, and declining bank lending. It all feels like fourth quarter 2008 again.

I hate writing posts like this, but the news is the news and I have to report the uncertain with the good.

As we all know, to sustain the recovery that had just started a few quarters ago, we need employment growth and that has mostly stopped. We’re still over a year away from a new president, but we hopefully we will have some growth between now and November 2012.

At the link is CoStar’s Mark Heschmeyer, who I find to be one of the most accurate CRE analysts with his opinion of the current state of the commercial real estate market.

CoStar News – Financial Turbulence Rattles Sluggish Recovery

Commercial Real Estate

Commercial realtor

Commercial real estate with a focus on out-of-state investment property for my Southern California investors. My clients are Southern California local buyers looking for a return far better than what is available around here and that generally means out-of-state. We have expert property management, legal, and contracting services available.