Prices are based on capitalization of rents... No rent or renters, no value. Do a deal just to get some income and now you have reduced entire value of The building by reducing the market rent for the building. In this case that new capitalization is all the bank will lend on so you are at risk to having your mortgage called. This is how lenders get real estate for a song in a depression. It's not like houses.
Devaluing property so the banks can buy it cheap is a huge component of the shut down
Not commercial.
Prices are based on capitalization of rents... No rent or renters, no value. Do a deal just to get some income and now you have reduced entire value of The building by reducing the market rent for the building. In this case that new capitalization is all the bank will lend on so you are at risk to having your mortgage called. This is how lenders get real estate for a song in a depression. It's not like houses.