Brookfield Office Properties Inc T.BPO.PR.A

Here's What The Problem Is.....

[CrazyTrader]

1) rapid increases in interest rates leading to Losses instead of Profits.    

2) Manipulation.   The media, government, banks, central banks and powers that be have TARGETED the Commercial Sector to RIP-OFF.      I say again, Rip-Off.


All Persons, Businesses, Sectors, Organiztions with DEBT are in the SAME BOAT with rise in interest rates.   That's virtually EVERYONE.     Manipulation has turn everything UPSIDE DOWN..... trying to say the Commercial Sector is in Trouble when in fact it's the Opposite.

Commercial Sector can raise prices, raise rents it charges to increase income.

It's much harder for people to raise income to pay their mortages and loans. It's much harder for Residential Landlords to raise rents because of rent control.


Rapid increase in interest rates is the problem.    It takes time to "Adjust" (raise prices), hence the immediate short term trouble.    

So what's the solution?   
1) Interest Rates Go back down.... or
2) Prices Go Up to increase Revenue to become profitable again.

In the mean time company must withstand the "adjustment period".....  

Again, it's much easier for the Commercial Sector to adjust (raise prices/rents) than say a person to raise their income to pay for increase in interests on debt.   

But the powers that be have targetted the commercial sector.......   Manipulating everything to try hit the commercial sector while minimizing damage to rest of the economy.    You hear about 90 year mortages people are getting on their homes.....  Manipulation.


BPY (Brookfield) seems to have no problem raising capital (either through Equity or Loans or both)....  $17 Billion been added to the balance sheet in past 6 months.     They are definitely doing something (adjusting).....   

Whether or not what they are doing is the right move we will soon find out.    

I believe BPY has warned in the Q reports that possible more defaults on non-recoarse properties may happen.

In a way it's good that much of the debt is due very soon.   Reduces the "adjustment" period.   

All just my opinion/view/thinking/guessing......  could be wrong.