The Banks vs. the CRE: Is Wells Fargo the New Lehmann Brothers? Here’s the Analysis…

The commercial real estate or the CRE sector in the United States is facing significant challenges, with roughly $5.7 trillion in outstanding debt, half of which is held by U.S. banks. This sector encompasses various property types such as office buildings, retail spaces, healthcare facilities, and multi-family residences. However, mounting pressures including high interest rates and lower occupancy rates are causing concerns about potential defaults and loan losses, particularly as the sector has not fully recovered from previous setbacks, such as the collapse of Silicon Valley Bank. Is Wells Fargo the new Lehmann Brothers?

Review and analysis with the use of these two articles from visualcapitalist.com:
The U.S. Banks with the Highest Exposure to Commercial Real Estate
https://www.visualcapitalist.com/u-s-banks-with-the-most-commercial-real-estate-exposure/
Visualizing Major U.S. Banks by Commercial Real Estate Exposure
https://www.visualcapitalist.com/which-big-u-s-banks-have-the-most-commercial-real-estate-exposure/

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