For Real Estate Professionals Seeking a Market Edge
U.S. Economic Stress Climbed in December
Weakness in several energy-producing states in the Western U.S. helped raise the average county’s economic stress in December to its highest point since the recession began two years ago. Alaska, Wyoming, and Montana are among those states whereby jobs were lost due in part to a drop in energy and mining exploration; regions who, in the past, had generally defied the national economy’s overall weakness. Economic strains in the final month of last year were evident throughout the nation. Foreclosure and bankruptcy rates rose even as the national unemployment rate held steady. The spillover to Western States was inevitable, some economists say. Nearly 45 percent of the nation’s 3,141 counties were deemed stressed in December; compared with less than 39 percent the previous month.
The leading energy-producing states remained economically healthier than the nation as a whole but they too suffered the biggest jump in economic stress during the second half of 2009. These states had previously managed to side-step the worst of the economy. In the past six months, foreclosure rates have risen fastest in a stretch of Western counties extending from Montana to Arizona. Foreclosures also surged in manufacturing counties in the industrial Midwest, parts of Florida, and metropolitan Atlanta. Bankruptcy rates grew fastest in Nevada, Arizona, California, and Utah.
We will keep you posted…
Hot Money
CMBS Lenders Rebound
Non-Recourse Perm-Debt Financing
Penstar is currently working with several investment banks that have returned to the debt market and are entertaining loan requests from $10,000,000. Fully stabilized ‘in-the-box’ office, industrial, retail, and mini,storage properties in major metropolitan U.S. markets will be considered. Non-recourse 10-year money is currently priced between 6.75% and 7.25% with up to 30-year amortizations. For more information, please contact Steven Hamermesh at (818) 883-9609 or Hamer@PenstarAdvisors.com.
Helpful Humor
The best antidote for those challenging transactions is to take a moment to have a hearty laugh. Helpful humor is our way of infusing laughter into your work-week
“The Tennis Player’s Prayer” when I toss the ball for service. Give me speed and strength un-halting, Aces, and no double-faulting. Instill in me the skill and dash of Agassi, Williams, Roddick and Ashe. When a high lob starts to fall, must I always miss the ball? Lord, I know you could, I’m sure, find me a Tennis Elbow cure. With the guidance from above, never let me fall in ‘love.’ And, Lord, while on matters of this sort, please let me find an open court! |
30
Day Libor |
10-Year
Treasury |
Prime |
0.32% |
3.74% |
3.25% |
Penstar Realty Advisors can be reached at (818) 883-9600.
Our offices located at:
21700 Oxnard Street, Suite 1870, Woodland Hills, CA 91367