Our Economy - Can Obama Improve Real Estate & Tourism?
Recent meetings at the White House, Treasury Department & Fed’s office have been constructive since the Obama administration began. Before any more bailout’s can be distributed, the government realizes it needs a better understanding of the financial system.
Jeffrey DeBoer who is president & CEO of The Real Estate Roundtable stated at the American Resort Development Association convention that getting commercial real estate lending going again is top priority. He believes that commercial properties will experience increased foreclosures as we have seen in the residential market.
Two facilities may offer a solution to this problem. TALF (Term Asset Lending Facility) has been compared to a giant credit card, and offers attractive financing to investors and private equity groups.
The PPIF or Public-Private Investment Fund organized by the government is a program put together by the government that will use private capital along with public money. The main task is to re-secure or refinance existing loans and new transactions, which will require a large amount of equity. This will help regain investor confidence.
DeBoer stated that the current policy-making process contains dialogue that is very constructive towards relieving the downturn of the US. Roger Dow, president & CEO of The US Travel Association, stated that President Obama, who recently met with them about the state of the vacation industry, left them feeling that he knows where the challenges exist. During the President’s visits overseas, he has a huge opportunity to pitch American to the world. He will keep the pressure on to help improve tourism in the US.
