Credit Suisse Brings US Bank Panic Home for European Real Estate
- Investors worry about contagion at annual Cannes conference
- Concern over rates and further turmoil chills property lending
Bruised by Covid, war and interest rate hikes, real estate investors at the Mipim conference in Cannes this week had a new topic on their minds: the alarming plunge of Credit Suisse Group AG, which threatened to bring a US bank meltdown to their doorsteps.
More than 23,000 investors, brokers, bankers and assorted hangers-on flocked to the French Rivera for the annual real estate conference earlier this week, hopping between sponsored yachts and hotel suites and intending to pick over the few deals currently being shopped around. Instead, they spent the first few days nervously glancing at headlines on their phones, trading updates on the latest bank to wobble. Attendees at a reception hosted by Goldman Sachs Group Inc. on Wednesday could talk of little else.