Having experience handling CMBS workouts from 2007 through 2012 has got to be great experience, looking forward at the real estate market over the next three years according to Adam Knowlton, Senior Attorney at the Law Firm of Loeb & Loeb. He correctly explains in this video how no one had any experience in 2007 handling the CMBS workouts since that market didn’t exist during the last economic downturn and things will be different going forward.
While I had experience dealing with these matters in the two prior decades, the CMBS markets and the bloodletting during the great recession, was unprecedented. We all had to learn as we did.
Now, all those loans that originated in 2005-2007 are all coming due over the next three years and although there has been a slight lull in foreclosures recently, Adam anticipates a lot more activity in workouts through 2017.
Adam and I discuss why he sees more workouts and whether or not we will be seeing more workouts or foreclosures