2min chapter

Many Happy Returns cover image

What Will Cause The Next Market Crash?

Many Happy Returns

CHAPTER

The Fed's Warning on Commercial Real Estate Debt

Commercial property loans make up more than 20% of the assets of small banks. So it is significant if that default rate picks up on what is quite a sizable chunk of their balance sheet. There's around one and a half trillion dollars of commercial real estate debt that matures in the next three years. Is it going to be affordable? And just the market as a whole, particularly offices,. In terms of offices, the vacant office space in the US is the highest it's ever been.

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