CRE Prices Decline 2.6% in February

The Moody’s/REAL All Property Type Aggregate Index declined 2.6% in February. Commercial real estate values are now down 25.8% over the last year, and down 41.8% from the peak in August 2007. Distressed sales have increased sharply. In 2008 distressed sales were only 4% of all sales, in 2009 nearly 20% of all the repeat sales transaction were classified as distressed. In February 2010, the percent of distressed sales jumped to a record 32%.