Commercial Mortgages on Brink of Collapse

[Bob Malecki]

This is an interesting article which I think we all hope does happen so that our loan portfolios don't all default. Buy hey, if it does, some great bargains in a year or two....

https://finance.yahoo.com/news/real-estate-billionaire-barrack-says-230309693.html

“To keep people employed, you have to support the employers,” he said Monday in the interview. “The biggest part of employer expense is rent. When commerce stops and they can’t pay rent and they can’t pay interest on the debt, and then the banks and the intermediaries can’t pay their investors, it all collapses.”

[Mike Hartzog]

@Jacob Sampson agreed that normally payroll is much larger.  However, once you close your doors due to lockdown and lay off all of your employees as a result of that, rent moves up on the list.