The opportunities are endless ...
... we will apply a systematic approach towards identifying and capitalizing on these distressed situations.
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Current market:
There is a lack of new financing due to crisis-weakened and failing financial institutions.
There will be rising vacancy and sublease space due to substantial layoffs specifically in the financial sector.
A fire sale of assets by hedge and open-ended funds will ensue to create liquidity in a credit-tightened environment.
An overall poor performance of the sector with a downward value trend line will characterize much of the closing quarter of 2008 and the beginning quarters of 2009.
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The challenges:
- There will be an inability to find sources of capital to deleverage current investments.
- A weakened tenant capacity and demand will lower property revenues.
- An increasing number of institutional funds will pull out their investments.
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