Commercial Property Owners Choose to Default

The banking system pressed hard for the new bankruptcy laws in 2005. Now those laws are biting them in the arse as more investors default and walk away. The commercial property investors are more professional, so they won't waste time in doing so. For them it's a good business decision. Rather than throw good money at a bad situation, they simply choose to walk away.

Like homeowners walking away from mortgaged houses that plummeted in value, some of the largest commercial-property owners are defaulting on debts and surrendering buildings worth less than their loans.

Source: online.wsj.com