When it comes to dealing with distressed or lender-owned commercial properties, an immediate sale may not always be the chosen strategy, according to Haddigan. In many cases, lenders and government agencies that control commercial real estate will need property or asset management services.

"As part of our advisory capacity, we are ideally positioned to recommend a best-of-class third-party asset or property management firm through our affiliate relationships by market area," Haddigan says. "This keeps us objective in helping the client select the best choice for that service and not have the perceived conflict of interest in prolonging the hold period. It also allows us to concentrate on what we do best and that is to analyze, value, position and sell properties into the marketplace efficiently."

Marcus & Millichap's strengths include working with the private-client market, which has ready access to capital for distressed assets but is not necessarily as well organized as institutional investors and REITs, which Haddigan notes are in a state of "paralysis" lately. Unlike many other CRE firms that offer multiple services, Marcus & Millichap sticks to investment sales and "our depth of relationships with private capital is second to none," he says.

Haddigan notes that a lack of overbuilding is the biggest difference between the current down cycle and the early 1990s, yet the lack of debt availability in the marketplace makes this one worse. Most distressed assets currently involve busted multifamily or single-family residential deals, though the retail sector is likely to contribute even more after the holidays, he says.