MIAMI – March 5, 2009 – The decline in the housing market has been well-documented, but a high-ranking Federal Reserve official told a Miami audience on Wednesday that he has been paying more attention lately to weakness on the commercial side of the real estate market.
Dennis Lockhart, president of the Federal Reserve Bank of Atlanta, described the U.S. economy as being “very weak” but in a position to begin a modest recovery during the second half of this year.
Still, one has to be mindful of the “very real downside risk” that commercial real estate poses to that recovery, Lockhart said in a talk to the Greater Miami Chamber of Commerce.
“Problems in real estate are well known,” Lockhart said during a lunch at Jungle Island. “But with continued economic weakness, I’m increasingly paying attention to commercial real estate.” To read entire article click here.