Foreclosures on commercial properties in New Jersey more than doubled in 2008 from the previous year, a further sign of the recession’s drag on the real estate, according to state data released today.
At the end of last year, 855 commercial properties across the state fell into foreclosure, compared with the 371 that filed in 2007, according to statistics provided by the New Jersey Judiciary.
Commercial foreclosures had been considered relatively rare. But as businesses’ revenues have declined in the downturn, so has their ability to pay rents, impacting landlords’ ability to repay mortgages. Bankruptcy lawyers have said lenders have been more aggressive during the credit crisis, apparently seeking to foreclose on properties as a way to raise cash quickly.