Distress signals are flashing in U.S. commercial real estate. But will it need a TALF rescue?

Hotel rooms, office buildings, and other commercial properties were lonely places last month as much of the nation operated under stay-at-home orders. Being a property owner might have made the lockdowns feel even lonelier. But as regions of the U.S. begin exploring ways to lift restrictive measures to contain the coronavirus and resume business, there is still plenty of uncertainty around what the toll will be on commercial properties, particularly since new protocols for returning to work, visiting the dentist and dining out are still being formed. Read U.S. commercial real estate braces for defaults as pandemic cuts cash flows. Barry Sternlicht, chief executive officer of Starwood Property Trust, Inc. STWD, -6.06%, this week described how hotels might begin resuming operations. “I think hotels, all hotels, will figure out how to operate with lower breakevens with fewer less-profitable parts,” he said during the real-estate company’s first-quarter earnings call. “There won’t be restaurants, there may not be room service, but they will try to fill heads and beds and staff to demand.” Click to read more at www.marketwatch.com.