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- Rich - Jul 30 2009 | the, commercial, real estate, commercial real estate, economics, economy
Quoted: As the industry looks for signs the housing sector is beginning to stabilize, the threat of a crash in the commercial mortgage market grows, according to San Francisco Federal Reserve president Janet Yellen. Speaking this week at a bankers convention in Idaho, Yellen said while there are signs that the economic growth is beginning to return — house price declines are abating, consumer spending is stabilizing and new unemployment is lessening — the recovery will be painfully slow and the Fed believes commercial real estate is the economy’s next vulnerable spot. The problem, Yellen said, is maturing loans for commercial properties that lost significant value.
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