Mega Worries for the U.S. Post Office

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According to Bloomberg News, about $24.8 billion of US office buildings were in distress at the end of the second quarter, resulting in a higher amount of real estate worries than the leading commercial real estate laggards — hotels and retail properties.

Questions:

  1. What percentage of offices used by the U.S. Post Office were either under water or repossessed by lenders in first quarter 2023?
  2. Why is it likely to get worse in future quarters?
  3. Comparatively, by what percentage was the total of all troubled commercial properties up in the first quarter of 2023?
  4. Propose a solution for maintaining the solvency of the U.S. Postal Service and why it would be important to enact your solution.

Source:

Gittelsohn, J. (2023). Distressed US Offices Jump to $24.8 Billion, More Than Malls. Bloomberg, July 19 (Retrievable online at https://www.msn.com/en-us/money/other/distressed-us-offices-jump-to-24-8-billion-more-than-malls)