Search
 

Getting Back to Basics

The Schuster Group's Mark Walsh looks at steps to survive the current economy, reviews what to expect in the next year, and provides advice to help prepare for the future.

By Mark Walsh | Updated on June 05, 2009

The current climate of the real estate market unfortunately cannot be described in positive terms. As the national economy continues its downslide, with the Dow Jones down by more than 50%, more than 2.5 million jobs gone, and US households having lost roughly $10 trillion in net worth, these are unprecedented times.

The California market in particular is struggling, with an 11% unemployment rate and commercial real estate is being hit hard. Twelve months ago, the real estate industry had adopted an air of caution, but today that sentiment has shifted to despair and few real estate professionals were prepared for what has since transpired.

Today, many firms are being forced to lay off staff and put projects on hold. Even well capitalized firms cannot get access to bank credit needed to break ground on projects. Where then do real estate firms go from here, and what can firms do to be well positioned when this recession comes to an end? To get ready, it is essential that we take a very realistic view of what’s in store for the next 12 months and decide what to focus on to survive today and succeed when the market comes back.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2025 ALM Global, LLC. All Rights Reserved.