Commercial real estate walkaways
The trend of mortgage walkaways is coming to the commercial real estate market, the Wall Street Journal reports. The Journal talks about commercial real estate landlords, including some high-profile companies, who have stopped paying their mortgages on office buildings, land and retail space in order to try to work out better loans with lenders.
The trend mirrors the walkaways occurring with distressed homeowners. There also been cases of commercial landlords trying to get better financing here in the Phoenix market. The Bidwill family, which owns the Arizona Cardinals, faces a foreclosure sales on land near University of Phoenix Stadium it had wanted to develop into a large office park. The Bidwills are hoping to work out better financing terms with their lender on that parcel.