Investors waiting for the “blood-in-the-streets” pricing of the Resolution Trust Corp. days of the early 1990s will be disappointed in the current commercial real estate downturn, says veteran latest podcast. The FDIC’s new policy statement that allows banks to keep loans on their books that are underwater whose borrowers are making their debt service payments, will put on governor on pricing, he says.banker John B. Levy in his
In his newest podcast “Commercial Real Estate: Fighting the Last War”, Levy discusses why commercial real estate prices are at or near the bottom, and how that will soon attract “patient” institutional equity investors to the marketplace.
Levy, a former columnist for Barron’s and NREI for 23 years, is the founder of real estatebanking firm John B. Levy & Co. based in Richmond, Va.