NAR Proposes Solutions to Congress to Combat Commercial Real Estate Crisis
CHICAGO, IL, May 17, 2010 (MARKETWIRE via COMTEX) -- The commercial real estate market is experiencing its worst liquidity challenge in almost 20 years, and it is vital that Congress take action to prevent a deepening crisis, the National Association of Realtors(R) said in testimony to the U.S. House of Representatives Subcommittee on Oversight and Investigations today.
During a field hearing here, G. Joseph Cosenza, an owner of Inland Real Estate Group in Oak Brook, Ill., testified on behalf of NAR and the Illinois Association of Realtors(R). Cosenza said the crisis is driven by a confluence of high unemployment, a slow economy, weakening commercial property fundamentals, and an increase in commercial loan delinquencies.
"Commercial real estate is the basis for much of the growth in the American industry and economy, and having a stable and well-functioning commercial market is crucial to our nation's economic recovery," Cosenza said. "But the market is now in the midst of a financial meltdown and many property owners are underwater. We cannot regain our footing until action is taken on such issues as an enhancement of liquidity and extensions of terms for performing properties."
