From:
Commercial real estate 'debt bomb' of $929 billion comes due this year with HUNDREDS of banks facing insolvency runs if default rates on the loans spike.
- Some $929 billion in commercial real estate loans will come due in 2024
- About 14% of all CRE loans and 44% of office loans appear to be underwater
- Recent study warns of widespread risk of bank failures if defaults spike to 10%
Mentioned Faculty
Tomasz Piskorski
Tomasz Piskorski is the Edward S. Gordon Professor of Real Estate in the Finance Division at Columbia Business School. He is also a Research Associate at the National Bureau of Economic Research and serves on the Academic Research Council of the Housing Finance Policy Center at the Urban Institute. Professor Piskorski earned a M.S. in Mathematics from New York University Courant Institute of Mathematical Sciences and a Ph.D. in Economics from New York University Stern School of Business.