finance

Currently, there is roughly $6 TRILLION of Commercial Real Estate (CRE) debt in the US.

This year, ~$929 billion, of this debt is set to be refinanced.

Rates on these loans are set to double or even triple since they were taken.

All while many of these CRE projects are bankrupt or cash flow negative

🇧🇷🇺🇸-  Book: Making Things Think: https://holloway.com/mtt. Investor in Wander, Carry, Footprint, Merkle Manufactory (Farcaster), Dynamic, Paragraph.

Yea have been seeing and feeling it first hand. Selling some projects lower then expected to get out with something because the cash flow isn’t there and can’t raise the rent prices where it needs to be to be neutral.

Easily about to bankrupt many smaller banks. It’s cheaper to have a WFH staff. Bad model in my opinion. Government will likely socialize these losses.

Real estate is coming to base via https://Together.Realestate

Nah but the economy is in *great* shape right..
...right?

CRE is in for one hell of a reckoning. This alongside a growing wfh community makes it hard to see a viable path forward for many CRE projects.