It is ALL starting to HIT THE FAN!!!!!
NEW YORK (CNNMoney.com) -- Strip malls, neighborhood centers and regional malls are losing stores at the fastest pace in at least a decade, as a spending slump forces retailers to trim down to stay afloat, according to a real estate industry report.
The consequence for consumers: Fewer stores to shop and less product choice.
In just the first quarter of 2009, retail tenants at these centers have vacated 8.7 million square feet of commercial space, according to the latest report from New York-based real estate research firm Reis.
That number exceeds the 8.6 million square feet of retail space that was vacated in all of 2008.
U.S. employers fired more than 650,000 workers during each of the past four months, pushing the unemployment rate to 8.5 percent in March, the highest since 1983, according to the Labor Department. The first-quarter vacancy rate was the highest since the first three months of 2006, when it was 12.6 percent.
“This will be a very difficult year for commercial real estate and for office markets in particular,” said Maria Sicola, executive managing director and head of Americas Research for Cushman & Wakefield, in a telephone interview.
We expect further increases in U.S. card charge off rate through 2009 as the economy continues to weaken. It is likely that will our U.S. card charge off rate will increase at a faster pace than the broader economy as a result of the denominator effect and our implementation of OCC minimum payment requirements ... We expect monthly U.S. card charge off rates to cross 10% in the next couple of months.
PRIME RESIDENTIAL MORTGAGES
The tables show that the number of prime 60 days+ delinquent rose to 743,686 in January, from 497,131 in December. This is an increase from 1.93% in December to 2.89% in January.
Info gleaned from CalRisk and Mish's Blog.