The world’s CFOs have a dire message for real estate investors
“Hundreds of corporate executives tracked in earnings calls around the world in the past five months addressed the urgency to cut real-estate costs, according to an AI model trained by Bloomberg to scour transcripts. Tactics include cutting office space, accelerating branch closures, renegotiating rents on warehouses and even shutting data centers.”
USAGOLD note: Historically real estate and gold have done well in periods of dollar weakness and inflation simply because they are scarce hard assets and repositories of wealth. In 2020 the two have separated, as the economy processes and absorbs the cultural and societal shocks courtesy of the coronavirus. As this article details, commercial real estate has been particularly hard hit even as investment capital has poured into the sector.