• About Us
  • Home
Friday, May 27, 2022
No Result
View All Result
NEWSLETTER
WiredNewsEngine
  • Home
  • Press Release
  • Entertainment
  • Health
  • Legal
  • Business
  • Featured
  • Current
  • Home
  • Press Release
  • Entertainment
  • Health
  • Legal
  • Business
  • Featured
  • Current
No Result
View All Result
WiredNewsEngine
No Result
View All Result
Home Business

Property prices not falling as fast as before, says Florida commercial real estate broker Ed Kearney

by WebMaster
January 9, 2010
in Business, Press Release
0
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter

Property prices not falling as fast as before, says Florida commercial real estate broker Ed Kearney

The freefall in commercial property prices may be nearing an end, says Ed Kearney of the Florida commercial real estate brokerage firm (http://www.svnpalmbeach.com/about.shtml) Kearney Commercial Realty/Sperry Van Ness. And while improvement is likely a year or two away, the pace of declines may be less dramatic than it was in 2008 and 2009.

“While it might not seem like good news, the latest figures on commercial property prices suggest that the real estate market is stabilizing,” said Kearney, referring to Moody’s/REAL Commercial Property Price Index.

That index dropped 1.5 percent in October to 107.98 from 109.61 in September. Moody’s estimates that prices for commercial real estate were 36.4 percent lower in October 2009 than a year earlier and 43.7 percent below the peak in October 2007.

Matthew Anderson, a partner at Foresight Analytics LLC in Oakland, Calif., told Bloomberg that he thought the size of the declines moving forward was going to be smaller.

“I expect prices will level off at half of their peak value,” said Kearney. “Some types of property, such as retail, might go lower. We have a mall in West Palm Beach that is essentially shutting down and a lifestyle center in Palm Beach Gardens that recently sold for one-fifth of its previous price. Some shopping centers are half empty.”

The Palm Beach market is suffering because the unemployment rate continues to rise, hitting 11.7 percent in November 2009. And home prices are going down, reaching levels in November 2009 not seen in the previous six years. Couple those factors with bank foreclosures on all types of properties and commercial real estate has been hammered, Kearney said.

The state of the market will also depend on whether lenders will refinance an estimated $1.4 trillion of commercial real estate debt nationwide that is scheduled to mature over the next five years. Some of that property is worth less than the mortgage and therefore could face foreclosure. At some properties, rents have declined to the point where owners can no longer afford monthly payments.

“The banks can make a big different in just how fast we will get out of this downward price spiral,” said Kearney, who is managing partner Kearney Commercial Realty/Sperry Van Ness. “If they are in a position to work with borrowers, we could see fewer foreclosures, which would help stabilize prices.”

Delinquencies for commercial real estate mortgages held by banks may rise to 5.6 percent in the fourth quarter and reach as much as 8 percent next year, according to Moody’s.

About Edward Kearney and Sperry Van Ness

Edward Kearney is managing director of Kearney Commercial Realty Inc./Sperry Van Ness with an extensive background in various aspects of commercial real estate including investment analysis, landlord and tenant representation, and property tax abatement. SVN is a leading national brokerage firm that markets commercial real estate properties to an investment and brokerage community of more than 100,000. Kearney welcomes investors, brokers, and others with an interest in the Florida commercial real estate market to contact him today by calling 561-616-6262, or visiting http://www.svnpalmbeach.com for more information about the services he provides.

For more information about Edward Kearney and Kearney Commercial Realty Inc./Sperry Van Ness, please visit http://www.svnpalmbeach.com.

WebMaster

WebMaster

Next Post

Auschwitz Sign Stolen to Allegedly Fund Neo-Nazi Terrorist Plots

Popular News

  • Silencil Reviews – Does It Silence Tinnitus for Real?

    0 shares
    Share 0 Tweet 0
  • Clinitron Bed Management For Flap Patients Is The Standard Of Care

    0 shares
    Share 0 Tweet 0
  • Ceremony CBD Oil Reviews: Trustworthy Hemp CBD Liquid Drops?

    0 shares
    Share 0 Tweet 0
  • Kansas sperm donor asked to pay child support

    0 shares
    Share 0 Tweet 0
  • Anil Ramnarayan Presents 5 Tips For A Successful Nursing Home Survey

    0 shares
    Share 0 Tweet 0

Rehabs Near Me Launches New Rehab Services in the US

February 25, 2021

Ginger-Powered Recoup Beverage: A Founder’s Unlikely Story of Survival and Success

February 13, 2021

What is Unix: The Base of All Operating Systems?

February 2, 2021

Categories

  • Banking
  • Bollywood
  • Brand Partner Content
  • Business
  • Cancer
  • Current
  • Entertainment
  • Featured
  • Finance
  • Health
  • Hollywood
  • Legal
  • Press Release
  • Technology
  • World News
  • Home
  • Press Release
  • Entertainment
  • Health
  • Legal
  • Business
  • Featured
  • Current

No Result
View All Result
  • About Us
  • Home