David Hollerith | Yahoo Finance | Feb 6th, 2024
Category: Financial News
Regional banks have been setting aside more money to deal with future losses on commercial real estate. Some analysts now fear it hasn't been enough.
The stock of commercial real estate lender New York Community Bancorp (NYCB) continued to slide Tuesday, putting it on pace to drop by more than half since it surprised Wall Street last week by slashing its dividend and reporting a net quarterly loss of $252 million. It was down by as much as 18% Tuesday afternoon.
The turmoil surrounding this $116 billion bank is stoking new concerns about the industry’s vulnerability to office buildings and apartment complexes that are suddenly worth a lot less due to high interest rates and shifting work patterns.