The Commercial real estate market is sinking despite federal help.
Disappearing revenue at hotels and throughout the entertainment and hospitality industries is straining the U.S. commercial real estate market, as delinquencies rise at a record pace and credit ratings continue to fall.
It is not enough.
The Fed has stepped in to provide funding to the commercial market, but industry groups say it’s not enough, and data show that despite the Fed’s backstop the market is experiencing significant decline. Without action to shore up commercial debt, especially CMBS loans, the hotel industry will experience mass foreclosures and permanent job losses which will snowball into a larger commercial real estate crisis impacting other segments of the economy.
In fact, TRADES Corp. is already experiencing first hand, this considerable decline, in the form of reduced demand for skilled trades with commercial contractors.