New York, NY, March 26, 2010 --(PR.com
)-- GoldenNetworking.com's Real Estate Leaders Forum 2010, "Successfully Investing in Distressed Real Estate Assets" (http://www.RealEstateLeadersForum.com), April 22nd, 2010, New York City, "Successfully Investing in Distressed Real Estate Assets" will be the forum where all industry practitioners, investors, developers, owners, bankers, alternative lenders, brokers, lawyers, restructuring experts and consultants, will obtain crucial insights to prosper in the current Distressed Real Estate environment.
The Congressional Oversight Panel issued a report on February 11th, 2010, that indicated: "There is a commercial real estate crisis on the horizon, and there are no easy solutions to the risks commercial real estate may pose to the financial system and the public. There is no way to predict with assurance whether an economic recovery of sufficient strength will occur to reduce these risks before the large-scale need for commercial mortgage refinancing that is expected to begin in 2011-2013."
Indeed, from 2010 to 2014, about $1.4 trillion in commercial real estate loans will reach the end of their terms and require new financing. $770 billion (53 percent) are "underwater," meaning the borrower owes more than the property is worth. More than 60 percent of mortgages maturing in 2012 and 2013 are underwater. Many of these loans were made at the height of the boom, from 2005 to 2007, and based on inflated values during a time of easy money; therefore, these are likely to default, and the losses could cause more small- and medium-sized banks to collapse. At the same time, commercial property values have fallen more than 40 percent nationally since their 2007 peak; vacancy rates are up and rents are down, further driving down the value of these properties.
Panelists at GoldenNetworking.com's Distressed Investing Leaders Forum 2010 last February noted that lenders are still engaged in the "extend and pretend" or "delay and pray" strategies: holding property values steady and assisting the borrowers where possible. Indeed, if banks were accurately to record property values, that would drive banks into a substantial negative earnings position. Are these times of opportunities or challenges? Real estate funds continue raising capital to chase the best properties as they become available; as the FDIC takes over more banks that will finally stop delaying their moment of truth, distressed real estate investors can expect even more opportunities between 2010 and 2014.
GoldenNetworking.com's Real Estate Leaders Forum 2010 is produced by GoldenNetworking.com (http://www.goldennetworking.com), the premier networking community for business executives, entrepreneurs, investors and diplomats, founded by former McKinsey consultant Edgar Perez. Upcoming Leaders Forums and Business Networking receptions include:
· Banking Leaders Forum 2010, "Discerning the New Industry Landscape (If Possible)" (http://www.BankingLeadersForum.com), March 25th, 2010, Washington DC
· High-Frequency Trading Happy Hour, (http://www.HFTHappyHour.com), April 5th, New York City
· Venture Capital Leaders Forum 2010, "Setting the Stage for Transformational Change" (http://www.VCLeadersForum.com), May 13t, Boston, MA
Panelists, speakers and sponsors are invited to contact GoldenNetworking.com by sending an email to email@example.com. GoldenNetworking.com has been frequently featured in the press, including recent articles in The New York Times, "GoldenNetworking.com Helps Job Seekers Make Overseas Connections" (http://www.nytimes.com/2009/11/07/nyregion/07network.html) and Columbia Business School's Hermes Alumni Magazine, "10 Under 10" (http://www7.gsb.columbia.edu/alumni/news/ten-under-ten).