The recent stress in the banking sector appears to have abated, but knockon effects are pressuring another key corner of the economy, commercial real estate.

So could commercial real estate be the next shoot a drop?

Where we stand today is this nearly perfect storm

of rates much higher, financing markets

almost completely shut down.

And we estimate that there's about four to five trillion dollars of debt in the

commercial and multifamily sectors of which about a trillion of that is maturing in

the next 12 to 18 months.

We've got a big right sizing in the market

that we're gonna have to confront.

That is gonna be the talk of the next 6 to 12 to 18 to 24 months

in our space.

I'm Allison Nathan and this is exchanges at Goldman Sachs.

The turmoil that drove Silicon Valley Bank and Signature Bank out of business

is now shining a spotlight on the commercial real estate market which

relies on small and regional banks for loans.

So as these banks tighten credit, that could further disrupt a market that's already

weighed down by office vacancies, rising interest rates, and mounting debt.

To help assess the vulnerabilities in the market and the broader outlook,

I'm sitting down with Goldman Sachs Research's Lot Viqueaui, Chief Credit Strategist,

and head of the Credit Research Group, and Jeff Fine, Global

Head of Real Estate, Client Solutions and Product Strategy in the firm's asset and

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