Company defaults on $212 million loan after CEO warns of economic 'suicide'

would have on the U.S. economy.

Eight months later, his prediction came true as his company defaulted on a $212.5 million mortgage backed by an Atlanta office tower when the loan matured on July 9. Acquiring a loan has grown progressively more expensive as the Federal Reserve raises interest rates to combat inflation. Last month was the first time in the past 15 months that the Federal Reserve

. The respite could be short-lived as at least two more increases are expected before the end of the year, according to the Fed Chair Jerome Powell.amid a competitive market. Average rates are on the verge of 7 percent, nearly 4 percent higher than the average mortgage rate in January 2022. Borrowers also are struggling to repay their loans in the corporate world as they battle high rates.

Barry Sternlicht, chairman and CEO, Starwood Capital Group, speaks during the Milken Institute Global Conference in Beverly Hills, California, on May 3, 2022. Starwood defaulted on a loan for an Atlanta, Georgia, office building when it failed to pay off or refinance when the loan matured on July 9.

Deutschland Neuesten Nachrichten, Deutschland Schlagzeilen

Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.

Funko CEO taking leave of absence as company strugglesThe Funko CEO is stepping down. With other company issues, it raises the question: Is anyone having fun at Everett-based Funko?
Herkunft: Mynorthwest - 🏆 438. / 53 Weiterlesen »

Funko CEO taking leave of absence as company strugglesFunko is the Everett-based pop culture toymaker known for vinyl figurines with big heads and little bodies.
Herkunft: KIRO7Seattle - 🏆 271. / 63 Weiterlesen »

Howard Hughes to create new holding company structure to promote growthHoward Hughes Corp.’s stock rose 2.6% in premarket trade Monday, after the company said its board has authorized the creation of a newly incorporated holding...
Herkunft: MarketWatch - 🏆 3. / 97 Weiterlesen »

CNET’s Parent Company Preparing to Kickstart the AI Content EngineIn an all-hands meeting, Red Ventures CEO Ric Elias laid out an expansive plan for the publisher's AI-driven future.
Herkunft: futurism - 🏆 85. / 68 Weiterlesen »

Dead & Company Wraps Up Final Tour With Electric Shows In San FranciscoThe band, which featured founding members of Grateful Dead, ended its farewell tour with a two-set show full of iconic songs and covers on Sunday.
Herkunft: HuffPostWomen - 🏆 27. / 68 Weiterlesen »