WeWork’s bankruptcy will increase financial stress on commercial landlords that have rented large chunks of their office buildings to the co-working company.
About $270 billion in commercial real estate loans held by banks will come due in 2023, according to Trepp, a commercial real estate data provider.
“This is another huge problem for the office market to contend with.”No single tenant can make or break the office market, he said.
Around 42% of WeWork’s occupancies are in those three cities, according to CoStar, a commercial real estate data firm.
Commercial real estate was hit hard by the pandemic, with fewer people returning to offices and spending money in downtown corridors.
Persons:
WeWork, ”, Ermengarde Jabir, Goldman Sachs, Stijn Van Nieuwerburgh, Peter Morgan, ” Alie Baumann, can’t, “, ” Baumann, Van Nieuwerburgh
Organizations:
New, New York CNN, Silicon Valley Bank, Signature Bank, Columbia Business School, Cities, New York City’s
Locations:
New York, America, Silicon, New York City, San Francisco, Boston, New York City . New York, NYC, New, United States, Columbia