Billions of Dollars in Commercial Real Estate Debt Pressuring California Markets
Published on January 19, 2024
High interest rates and a shift to working from home continue to impact commercial real estate in California, specifically the office sector, with lingering high vacancy rates and impending loan due dates creating both risks and opportunities, according to experts. With approximately $21 billion in commercial mortgage-backed securities coming due in Los Angeles and Orange County in 2024, borrowers and lenders have several options, analysts say. “The easy way for everybody is short-term renewals and kick the can down the road,” Chris Cooper, managing director of the Southern California region for commercial and global real estate advisory firm Avison Young, told The Epoch Times. “But that’s going to take everybody’s cooperation.”...