The retail sector may be moving to the next stage in the cycle of
At the end of June, the level of outstanding distress for U.S. retail properties was $26.7 billion, only 3% higher than a year earlier.
RCA’s definition of distress includes properties that have been delinquent on their mortgage payments, defaulted on their loans, have been foreclosed on, experienced an owner bankruptcy or are in lender REO.
At the same time that the number of new retail properties entering distress has begun to taper off, resolutions have been on the rise. In some cases, lenders’ improvedstate has allowed them to realize the losses from bad real estate bets.