October 17, 2009
The Orange County Register ran a Q&A with Stan Ross of the USC Lusk Center for Real Estate on the commercial development industry, which has suffered from defaults and bankruptcies. "The commercial sector has not yet fully seen the impact of illiquidity in the capital markets. As a result, we haven't seen the full magnitude of defaults or foreclosures yet in the marketplace," Ross said. "Some of these institutions that were holding or buying these securities will run into some serious problems with respect to liquidity and capital requirements. They will either have to be restructured, taken over or look for new equity capital to continue on. The impact on the economy could be a further loss of some institutions and a continued slowdown of new development."
The Orange County Register ran a Q&A with Stan Ross of the USC Lusk Center for Real Estate on the commercial development industry, which has suffered from defaults and bankruptcies. "The commercial sector has not yet fully seen the impact of illiquidity in the capital markets. As a result, we haven't seen the full magnitude of defaults or foreclosures yet in the marketplace," Ross said. "Some of these institutions that were holding or buying these securities will run into some serious problems with respect to liquidity and capital requirements. They will either have to be restructured, taken over or look for new equity capital to continue on. The impact on the economy could be a further loss of some institutions and a continued slowdown of new development."