atari_Pro t1_izfpzfo wrote on December 8, 2022 at 7:48 PM

Reply to comment by olli_bombastico in New York’s ‘zombie’ office towers teeter as interest rates rise by rootbeer_racinette

If current trends continue some of these bldg owners are going to take a loss. There’s not really a way around that. Commercial real estate in the city has been insanely inflated for a long time. Over valued vs residential by like 4:1 or more in some areas. So, why would they sell if they can’t cover? To cut their losses is why. Gotta stop the bleeding somehow. Just my speculation but any guess is as good.

ehsurfskate t1_izhgq30 wrote on December 9, 2022 at 3:22 AM

The thing to remember is they don’t need to stop the bleeding. They may be willing to wait a decade or more if they can borrow against the higher value of a commercial building.