Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

Commercial Leasing Law & StrategyKickerFeaturesTopicsCommercial LawSectionsNewsLJN Newsletters

Real Estate Downturn Causes Lawyers to Adapt

By David P. Barker
March 27, 2009

Our country's prolonged financial crisis and relentless recession that began in 2006, became acute in late 2007, and continues to the present day, has hit real estate in unprecedented ways. The housing market continues to sag, as national home prices hit levels last seen in 2003, and the fourth quarter of 2008 saw a record low decline of 18.2%, according to the Feb. 24, 2009 edition of Standard & Poor's Case-Shiller Home Price Indices.

There are two strong forces working against a real estate recovery right now: Banks are not making new loans, and opportunistic buyers are not convinced we have hit the bottom yet. With a dramatic fall in the real estate market, the freeze of the credit markets, and now the deepening broad-based recession, law firms that relied heavily on transactional practices are being severely impacted. The transaction practice for most real estate lawyers started slowing down in the second half of 2007, but took a plunge in the fall of 2008. When the credit markets froze, commerce stopped the lifeblood of real estate attorneys: purchase and sale transactions, development and activities, and financing of real estate.

This premium content is locked for Entertainment Law & Finance subscribers only

  • Stay current on the latest information, rulings, regulations, and trends
  • Includes practical, must-have information on copyrights, royalties, AI, and more
  • Tap into expert guidance from top entertainment lawyers and experts

For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473

Read These Next
New York's Latest Cybersecurity Commitment Image

On Aug. 9, 2023, Gov. Kathy Hochul introduced New York's inaugural comprehensive cybersecurity strategy. In sum, the plan aims to update government networks, bolster county-level digital defenses, and regulate critical infrastructure.

Law Firms are Reducing Redundant Real Estate by Bringing Support Services Back to the Office Image

A trend analysis of the benefits and challenges of bringing back administrative, word processing and billing services to law offices.

Bit Parts Image

Summary Judgment Denied Defendant in Declaratory Action by Producer of To Kill a Mockingbird Broadway Play Seeking Amateur Theatrical Rights

Risks of “Baseball Arbitration” in Resolving Real Estate Disputes Image

“Baseball arbitration” refers to the process used in Major League Baseball in which if an eligible player's representative and the club ownership cannot reach a compensation agreement through negotiation, each party enters a final submission and during a formal hearing each side — player and management — presents its case and then the designated panel of arbitrators chooses one of the salary bids with no other result being allowed. This method has become increasingly popular even beyond the sport of baseball.

Disconnect Between In-House and Outside Counsel Image

'Disconnect Between In-House and Outside Counsel is a continuation of the discussion of client expectations and the disconnect that often occurs. And although the outside attorneys should be pursuing how inside-counsel actually think, inside counsel should make an effort to impart this information without waiting to be asked.