some info, page-6

the CRE loans are not to property developers, they are to the owners of the investment property. The way it works is if the property value falls below their level of security then they may lose something if the investor defaults.

So the investor would have to give up all their equity first and give it to the lenders to sell. Most of the properties have long term leases and are cash flow positive. So the actual owner doesnt need to sell if they decide to top up security.

Over the longer term propery prices go up, so if there is no forced selling, the assets in a 2-3 year time period look very attractive