Remington - Offers Recovery Option for Distressed Properties

"Uncertainty"is the best you can say about the outlook for employment in 2010. The Administration doesn't see the jobless rate dipping much below February's 9.7 percent level anytime soon. This is not good news for the commercial real estate market, which needs job growth to kick-start its recovery.

The problem is that persistent unemployment stagnates construction. It also breeds office and retail vacancies, which lead to cash flow problems and commercial loan defaults.

Forthose commercial properties capable of meeting today's stringent underwriting standards, financing and refinancing is always an option at Remington due to the company's global network of 500 active lenders and investors available tous even in the toughest of times.

But what's in store for those highly leveraged properties with values that have plummeted to well-below original senior debt? What can they expect when their debt matures from a capital market that most experts doubt has sufficient bank liquidity to refinance even half of the $1.4 trillion of commercial debt due tomature over the next few years? Some owners may have to sell out, if they can find a buyer. Others may resort to bankruptcy or just give the keys to the bank. For many, however, the answer may be recapitalization. At Remington, we call it our Property Recovery Option or PRO.

For PRO candidates, Remington's Capital Markets Group has access to billions ofdollars of commercial capital available to invest in viable properties. Included are private equity funds, institutional and individual investors, certain corporations, and others.

Remington Founder and Chairman Andy Bogdanoff, a commercial real estate finance expert for nearly 40 years, describes the company's new Property Recovery Option as "a timely answer to a mounting industry problem and an innovative opportunity for savvy brokers."