Understanding the intricacies of distressed commercial real estate investing
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Description
In recent times, the commercial real estate market has seen a surge of new investors and sponsors, many of whom are experiencing the realities of a real estate downturn for the first time. As interest rates rise and operational distress becomes more prevalent, the industry faces significant challenges.   Our guest on The Real Estate Reality Show today, Steve Moore, a seasoned expert from Causeway Advisors, LLC, discusses the impact of these changes on both developers and their investors.   With the potential for distressed assets in the coming months and many sponsors experiencing capital calls, Moore shares his insights on the importance of understanding the nuances of distressed investing. He emphasizes the need for investors to scrutinize their existing portfolios for potential instances of distress and to be cautious about investing in deals that appear different from the usual package deals they've been used to in the past.   Moore also highlights the importance of sponsors having a longer duration of experience, ideally having managed through challenging cycles like the great financial crisis. He expresses caution about sponsors who built their businesses during a high rising tide, as their true capabilities will be tested now that the tide is out.   Don't miss this informative episode as we navigate the current real estate landscape and uncover potential opportunities for savvy investors. *** In this brand new podcast series at GowerCrowd, The Real Estate Reality Show, we take a realistic view of commercial real estate investing, providing pragmatic insights for passive investors who are looking for sponsors they can trust and distressed opportunities they can invest in. You’ll find no quick fixes or easy money ideas here, no sales pitches, big egos or hype. You’ll learn how to build your wealth while protecting your capital investing as a limited partner in commercial real estate investments, even and especially during an economic downturn. Subscribe to our YouTube channel here: https://www.youtube.com/gowercrowd?sub_confirmation=1
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