Gellerstedt sees opportunity in recession - Sacramento Business Journal:

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"We're beginning to see banks slowlhy acknowledge their real estate problems and pushthesd through," Gellerstedt said Friday. "You may see some as low as 20 cents on the This is going to be aslow recovery, but it is also goingf to present unprecedented opportunities." Gellerstedt, a graduate, was speaking at the Atlantas chapter's UNC Kenan-Flagler Business School Alumni breakfast. The held at 's 3344 Peachtree drew about 90 people.
Gellerstedt, who is replacing the retirinhgTom Bell, said investors are puttinv their money behind real estatr investment trusts so the development companiew have the capital to buy distresser assets, noting that REITS have raised about $13 billion in the stockm market this year. "They're not interested in They want liquidity for the nextthrere years," he said. "They want us to have the power to purchase." Cousins (NYSE: CUZ) will not face any seriousz debt maturities until 2012, he said.
Its relativelt healthy liquidity could putthe Atlanta-based developer in a strong position as other prominent real estate companie s try to pull themselves out from under mountains of debt -- a problem created primarily by the easy access to credit in recenf years, buying assets at the top of the marketr and the subsequent crash in property values. But Cousins hasn'tg made it through the market unscathed. It has struggle to sell high-end condos in Buckhead, where its 32-storg 10 Terminus Place was one of 35 condominium projects in an area of the city knowmn for expensive homes andluxury shopping.
Ten completed in 2008, has 137 The market is affecting high-end units at othert projects, including John Williams' The Mansion on Peachtreer andRegent Partners' Sovereign at 3344 Peachtree. "There’z just no market for them," Gellerstedt said. Cousins is also tryiny to fillits 25-story Terminus 200 office which has one tenant, mobile banking technology firm . Firethorn is leasinvg two floors. Three other buildings still undert construction in Buckhead haveno Buckhead, Gellerstedt said, offers an example of "the runaway credit markets." In the months following the spatwe of bank failures that claimed , the marketsx shut down.
"Now," Gellerstedt said, "oI see some of that fear and panic