Surge in Commercial Foreclosures Across the U.S.
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Episode Transcript:
ATTOM, a leading curator of land, property, and real estate data, recently unveiled a special report shedding light on the state of commercial foreclosures across the United States. The findings reveal a notable surge in commercial foreclosures over the past few years, with numbers climbing from a low of 141 in May 2020 to a staggering 635 in January 2024. This upward trend has persisted consistently throughout the period, marking a 97% increase from the previous year.
Among the states bearing the brunt of commercial foreclosures in January 2024 are California, New York, and Texas, with New York reporting a total of 59 commercial foreclosures for the month.
In response to the rising tide of vacant commercial properties, local real estate broker Stephen Skinner has been spearheading efforts to repurpose these spaces into much-needed housing units. According to Skinner, such initiatives offer a viable solution to address housing shortages, particularly in communities grappling with underutilized facilities like old-school buildings or factories.
Skinner, the owner of Skinner & Associates Realty, emphasizes the importance of community-driven vision in identifying opportunities for revitalization. He highlights a prime example of successful repurposing with the transformation of a former American Legion into the Taft Building, slated to house 28 market-rate apartments by 2025.
However, Skinner acknowledges challenges posed by inflation and the sluggish pace of development, emphasizing the need for streamlined processes to expedite project completion. While he applauds initiatives such as New York's grant offers for reimagining commercial properties, Skinner advocates for accelerated efforts to ensure timely execution and effective utilization of available resources.
This is Tyler Cauble, Signing off