Market watchers in the crowd longing for the days of 2007 discovered the disappointment of looking at the world through rose-colored glasses.
"Most real estate owners, developers, and investors are beginning to realize that commercial real estate isn't going to recover in 2009, and probably not in 2010."
While it's difficult to be optimistic about today's market, Levy says there is a rose among the thorns, but it is in the budding stage.
"In the meantime," Levy says, "the biggest problem owners and developers face today is that their loans are maturing and they lack financing opportunities. Almost $300 billion in commercial real estate loans is coming due in 2009, and more than $200 billion comes from bank loans. This situation creates a major challenge."
Mr. Levy is also co-creator of The Giliberto-Levy Commercial Mortgage Performance Index (sm), the first and pre-eminent index to measure and analyze the performance of investments in the commercial mortgage industry.
For more information about John B. Levy & Company, please visit the firm's website at http://www.jblevyco.com/ or call Andrew Little at 804-644-2000, extension 260.