PGIM CEO Sees 60% of Office Real Estate Market in ‘Purgatory’

PGIM’s Hunt and BNY’s Smits on Fault Lines Across Markets
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PGIM Chief Executive Officer David Hunt said the market for office real estate is heading for a shakeout, with about 60% of buildings in “purgatory” because they aren’t up to standards to draw tenants.

“We are going to have a big workout for that purgatory set over the next 24 months,” Hunt said Wednesday at the Bloomberg Invest conference. “Prices will come down.”