Goldman Likes the Commercial Real Estate Debt That Others Fear
- Asset management arm sees value in offices, warehouses
- Multi-sector chief Lindsay Rosner also likes bank bonds
Goldman Sachs headquarters in New York.
Photographer: Jeenah Moon/BloombergThis article is for subscribers only.
A wall of debt, a financing crunch and plummeting building values are looming over commercial real estate, menacing investors and banks, but Goldman Sachs Asset Management is a buyer.
“Just because there are some problem properties with very high vacancies and a problem with their cost of capital or the cost of debt — that doesn’t mean that the entire asset class has something wrong with it,” said Lindsay Rosner, head of multisector investing at the firm. “What we’ve been able to do is find a lot of opportunities in commercial mortgage-backed securities.”