Search
 

Morgan Stanley Loses $700M on RE Holdings

NEW YORK CITY-The bank says its Q2 results in commercial real estate are typical of 'the industry-wide decline in this market'.

By Paul Bubny | Updated on July 23, 2009

NEW YORK CITY-Morgan Stanley on Wednesday reported a $700-million write-down on the bank’s $17-billion commercial property portfolio, part of what the bank called “the industry-wide decline in this market.” The tally was attributed to real estate-related losses of $300 million in Morgan Stanley’s institutional securities business and a combined $200-million loss and $200-million of non-interest expenses in the asset management line.

Overall, the locally based bank posted a $159-million loss for the quarter. In a statement, CEO John Mack says Morgan Stanley “would have been solidly profitable” in Q2 were it not for repaying TARP funds and improving credit spreads.

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

© 2024 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 © 2024 ALM Global, LLC. All Rights Reserved.