Larry Fink must have NYC property and isn’t happy seeing his real estate value going down the drain.
Undoubtedly, many of his firms $7.4 trillion in assets are major pieces of real estate, probably in Manhattan and in other major cities as well. The value of multi-story office buildings in Manhattan; some with Gucci and Ferragamo and Old Navy and Hilfiger on the ground floors, paying $100K a month rent....all closed down....becomes entirely questionable with people set up in their offices at home. I’d be a tad upset as well.
Two of my renters are state of Florida workers. Both told me they will not return to the office. It’s work from home or quit.
A large number of office lease space will be downsized at the least. Our company needs half of what we have.
I was speaking with my contact advisor at Fidelity Inv about just this thing and he said that since the shift to work at home they have seen productivity go through the roof.
Back in the day (1980’s) I used to go into the office on Sunday mornings. I found I could accomplish in about 2 hours what would take me a full day during the week. No phones, no one coming in to my office to ask me what they should do about this or that.
What’s happening with commercial real estate ?
Any media (MSM or otherwise) talking about the effect of the wuhanvirus & work-from-home on the property values?
Fink is a control freak. Obviously he hates this.