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|User Info||Commercial R/E: Tick.... tick.... BOOM!; entered at 2009-07-22 22:54:31|
Registered: 2008-10-26 Detroit River
Forget projected interest rates, default terms, complicated 'what if's'...what do you think will happen when 30% of the production and services in this country are vaporized?|
Takes a lot of maintenance and utilities to run commercial. There won't be enough money in the system for magical buyers to just appear. This is uncharted territory. With vandalism and unpaid taxes and utilities, vacancies will soon become liabilities. Even a little thing like reduced wasterwater revenues can sink a city...all that concrete means more run-off and higher costs. Cities are going to choke as fast as CRE lenders. Just as a few people in a vacant condo can't carry the huge maintenance fees, functioning companies will be expected to pony up. Palm Beach County is already doing that with property taxes. **** 'em.
If there are no more bank bailouts, title disputes will soon be reversed. "Hey, we don't own that Mortgage...it got sent to XXX." They know that liabilities for fines and taxes will exceed property net worth.
How this hasn't imploded yet amazes me.