Moody's: Commercial real estate prices slipping

Interesting article in Forbes online today. I’ve seen some tightening up of commercial credit just in the last couple of months. Thanks to for the heads up. Here is the article:

Prices for commercial real estate slipped more than 2 percent in March as it became tougher to borrow money to buy property, Moody’s reported Monday.

The Moody’s (nyse: MCOnews people )/REAL Commercial Property Price Indices fell 2.3 percent in March from February, the largest one-month decline since the inception of the index.

Prices are still up 0.9 percent from last March, Moody’s said.

Sally Gordon, a senior vice president, said the decline is to be expected as buyers cope with a tougher financing environment. The market is going to see “some ups, more downs, with a downward net bias over time,” she said.

Prices for retail properties were down the most, while prices for apartments, offices and industrial properties also slipped.