Office landlords are looking at the shifting landscape and deciding to cut their losses, Hatch said. “Now, borrowers are looking forward and just realizing that even if they can get a modification on their loan, it's just not a feasible asset class for them to really even stay in,” she told CoStar. 

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About 43% of the firm's CRE-related on-balance sheet alternative investments consisted of historical principal investments that Goldman Sachs intends to exit over the medium term, according to an investor presentation. 

Aside from their manageable debt position, office REITs also own some of the better assets, given the repositioning efforts undertaken to upgrade portfolios over the last few years, Hafeez said.

Midway through 2023, media coverage of the challenges many commercial office real estate owners are confronting has reached a feverish level. One may wonder if the sector’s current low vacancy rates and refinancing requirements will ultimately bring down our entire economy. We think not...

Office prices in the US are due for a crash, and the commercial real estate market faces at least another nine months of declines, according to Bloomberg’s latest Markets Live Pulse survey...

If altered, Icon/Echo could create over a thousand units from the two-acre parcel.

Why Not All Office Space Is Created Equal

2023 is officially the year of the return-to-office mandate, with nearly 3 million workers already under, or expected to be subject to, a new in-person work requirement in the coming months...