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This investment trend, which flourished from 2005 until the financial crisis hit in 2008, threatened a cherished pillar of urban policy - affordable housing, which has long been regarded as essential for maintaining vibrant diversity in our cities. The victims are among the huge numbers of Americans (estimated at close to...

Author: /time Magazine | Title: Should Private Equity Invest in Residential Real Estate? | 1/20/2010 | See Source »

Read "Crisis of Confidence on Health Care Bill."

Author: /time Magazine | Title: Senator-Elect Scott Brown | 1/19/2010 | See Source »

For about a year now, we've been hearing that commercial real estate is the next shoe to drop, the next big financial debacle. And for about a year now, the oft-predicted crisis has stubbornly refused to materialize. It's not that everything's fine in the commercial real...

Author: /time Magazine | Title: A Slow-Motion Wreck for Commercial Real Estate | 1/18/2010 | See Source »

The residential real estate bust has been a slow-motion wreck too. (It started in 2006!) But the commercial meltdown will take even longer for two main reasons. One is that while commercial real estate lenders certainly got sloppy during the boom, they didn't go utterly crazy the way...

Author: /time Magazine | Title: A Slow-Motion Wreck for Commercial Real Estate | 1/18/2010 | See Source »

The other big difference is that while most residential mortgages are chopped into securities and sold, the bulk of commercial mortgages - and virtually all land and construction loans - stay on banks' books. Banks have leeway to delay recognizing losses on these loans - that is, they don't have to "mark...

Author: /time Magazine | Title: A Slow-Motion Wreck for Commercial Real Estate | 1/18/2010 | See Source »

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