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Wachovia Securities Strategists See Real Estate Decline Moderating Amid Sluggish Economic Growth.

Publication: PR Newswire
Publication Date: 28-FEB-02
Format: Online - approximately 820 words
Delivery: Immediate Online Access

Article Excerpt
CHARLOTTE, N.C. -- Commercial real estate likely will be characterized by further but moderating deterioration amid sluggish economic growth in 2002, but it is not expected to decline to levels seen in the early 1990s, Wachovia Securities Commercial Real Estate Finance strategists said in their Commercial Real Estate and CMBS Outlook for 2002.

Wachovia Securities analysts Brian Lancaster, Davis Cable and Kathy Mixon noted that better real estate loans typically are made during this phase of the real estate cycle after marked deterioration has set in. As a result, although the commercial mortgage-backed securities (CMBS) vintage is expected to be smaller this year, it may be of higher quality.

"On a positive note, it is typically during this phase of the real...

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