Signs Of Distress Growing In NYC Office Market, But ‘The Worst Is Yet To Come’
“I expect to see a continued deterioration,” said Shlomo Chopp, a managing partner at NYC-based investor Terra Strategies, adding that he expects the market will soon relinquish hopes that the Federal Reserve will decrease interest rates in the near term. “That has significant ripple effects because a bondholder behind the CMBS trust — that may not be willing to accept the loss because they think that the rates are going to change — will now take a loss.”