The ratings agency is currently reviewing assets and in-house deals to make sure that cap rates and rental growth are inline with the market, he says. However, the commercial sector continues to show strength and defaults are at steady levels. "If we continue to find issues in the subprime space," Lee warns, "That leads to a fundamental economic problem."

Mitchell Hersh, president and chief executive officer of the industrial-owning Mack-Cali Realty Corp., says it is still too early to see how the situation will shake out. "It is the responsibility of us to protect this golden goose for the benefit of investors," he says of the commercial sector, stressing that interest rates are still low.

The subprime issue could lead the industry to "more rational times" in pricing deals. Hersh also says that some companies could find some opportunities in future transactions as a result.