Comment Re:Other development opportunities (Score 1) 68
That might be true in commercial real-estate but I can tell you from a decade of doing retail IT that it's got butkis to do with things in shopping centers, what other companies care about isn't even a whiff of a concern. They're focused on total profit for the portfolio and occupancy rates, you do whatever deals need to be done to keep the centers full even if you know that it's not going to be super advantageous at the end of the 10 year period because as long as you have the retailers coming to you for space you'll get them back when they need space to expand and the market is tight. Now for commercial this might be a fundamental shift in the market where occupancy is never going to rebound, but you take the one time hit to mark to market your portfolio and recapitalize to redevelop the property or sell it at firesale prices to the bottom feeders in the market. I mean if occupancy is that low you're probably going to get called on your loan covenants by the banks anyways at some point, so waiting for them to do it for you has to be worse than just biting the bullet and renting it out at whatever the true market value is.