All of the general comments about problems with Commercial Real Estate have sound basis in fact. However, knowing those facts is only a starting point in determining value of particular real estate assets. From that starting point one must determine MANY distinct factors:
1. For publicly traded real estate equities (like DDR) perhaps the current stock price correctly discounts those problems.
2. For broadly held, diversified assets, perhaps there is safety in numbers. (I.e. multiple tenants, multiple markets)
3. For leveraged holdings (and this certainly includes DDR) there may well be sufficient prospect of obtaining the loan flexibility that is needed to ride out a consumer recession. A "rolling loan gathers no loss".
4. Aggregate commercial real estate includes vast quantities of "junk". This junk was able to be sold and financed during the bubble, but it has become totally frozen and "lost". DDR's assets are NOT junk.
I believe that DDR will make it and presents a solid opportunity over the next 5 years. I judge this to be the case even when I think about the general problems that commercial real estate must overcome.
very poor thinking-you have to think forward not backward-it is slow but we are getting there-x-mas will be ok you mark my words- no record,so relax -as said before ddr will survive and you will be happy happy by 2012