Implode-Explode Heavy Industries news feed http://implode-explode.com/ Tracking the many faces of the global credit implosion. en-us iehi-feed-64223 Wed, 19 Sep 2018 18:02:17 GMT Disgraced Foreclosure Defense Attorney's Law Firm Imploding Into Chaos! http://implode-explode.com/viewnews/2018-09-20_DisgracedForeclosureDefenseAttorneysLawFirmImplodingIntoChaos.html iehi-feed-64221 Wed, 19 Sep 2018 15:16:58 GMT FTC Shuts Down Websites Preying On Section 8 Renters http://implode-explode.com/viewnews/2018-09-19_FTCShutsDownWebsitesPreyingOnSection8Renters.html iehi-feed-64218 Tue, 18 Sep 2018 18:06:22 GMT Trump Tower Condo Values Continue To Plummet By Double Digits http://implode-explode.com/viewnews/2018-09-19_TrumpTowerCondoValuesContinueToPlummetByDoubleDigits.html iehi-feed-64216 Mon, 17 Sep 2018 13:09:22 GMT Porsche Dealership VP Disappears After Pocketing $2.5 Million In Deposits http://implode-explode.com/viewnews/2018-09-17_PorscheDealershipVPDisappearsAfterPocketing25MillionInDeposits.html iehi-feed-64213 Sun, 16 Sep 2018 14:24:16 GMT Mortgage Application Fraud Skyrocketing By Double Digits http://implode-explode.com/viewnews/2018-09-16_MortgageApplicationFraudSkyrocketingByDoubleDigits.html iehi-feed-64210 Sat, 15 Sep 2018 23:49:17 GMT Mortgage Shotgunning Scheme Sends NY Real Estate Broker To Prison http://implode-explode.com/viewnews/2018-09-16_MortgageShotgunningSchemeSendsNYRealEstateBrokerToPrison.html iehi-feed-64207 Fri, 14 Sep 2018 15:10:30 GMT Miami Escort Service Owner Sentenced To 24 Months In Prison For Tax Fraud http://implode-explode.com/viewnews/2018-09-14_MiamiEscortServiceOwnerSentencedTo24MonthsInPrisonForTaxFraud.html iehi-feed-64206 Thu, 13 Sep 2018 16:19:50 GMT Pro-Marijuana Candidate Keeps Having Bank Accounts Closed http://implode-explode.com/viewnews/2018-09-14_ProMarijuanaCandidateKeepsHavingBankAccountsClosed.html iehi-feed-64205 Wed, 12 Sep 2018 16:41:30 GMT Podiatrist Sentenced To 28 Month Of Enduring Rancid Foot Odors Of Prisoners http://implode-explode.com/viewnews/2018-09-13_PodiatristSentencedTo28MonthOfEnduringRancidFootOdorsOfPrisoners.html iehi-feed-64204 Tue, 11 Sep 2018 15:35:33 GMT American Homeownership At 35-Year Low And Plummetting http://implode-explode.com/viewnews/2018-09-11_AmericanHomeownershipAt35YearLowAndPlummetting.html iehi-feed-64196 Sun, 09 Sep 2018 21:56:48 GMT In Charts: Disaster Is Inevitable When America's Stock Market Bubble Bursts http://implode-explode.com/viewnews/2018-09-10_InChartsDisasterIsInevitableWhenAmericasStockMarketBubbleBursts.html To keep it simple, the current U.S. stock market bubble will pop due to the ending of the conditions that created it in the first place: cheap credit/loose monetary conditions. The Federal Reserve inflated the stock market bubble via its record low Fed Funds Rate and quantitative easing programs, and the central bank is now raising interest rates and reversing its QE programs by shrinking its balance sheet. What the Fed giveth, the Fed taketh away.

The Fed claims to be able to engineer a "soft landing," but that virtually never happens in reality. It's even less likely to happen in this current bubble cycle because of how long it has gone on and how distorted the financial markets and economy have become due to ultra-cheap credit conditions.

I'm from the same school of thought as billionaire fund manager Jeff Gundlach, who believes that the Fed will keep hiking interest rates until "something breaks." In the last economic cycle from roughly 2002 to 2007, it was the subprime mortgage industry that broke first, and in the current cycle, I believe that corporate bonds are likely to break first, which would then spill over into the U.S. stock market.

... Because of the record debt burden in the U.S., interest rates do not have to rise nearly as high as in prior cycles to cause a recession or financial crisis this time around.

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iehi-feed-64194 Sun, 09 Sep 2018 17:52:09 GMT The Empty Storefronts of New York: A Panoramic View (UP TO 20% VACANCY!!) http://implode-explode.com/viewnews/2018-09-10_TheEmptyStorefrontsofNewYorkAPanoramicViewUPTO20VACANCY.html New York City's streetscape has been transformed -- visually and economically -- by the staggering numbers of vacant storefronts now dotting its most popular retail corridors. The Times set out with a panoramic camera to capture what this commercial blight feels like on the ground.

...

A survey conducted by Douglas Elliman found that about 20 percent of all retail space in Manhattan is currently vacant, she said, compared with roughly 7 percent in 2016.

While a commercial crisis might more likely be associated with periods of economic distress, this one comes during an era of soaring prosperity, in a city teeming with tourism and booming with development.

...

Particularly hard hit are gentrifying areas in Brooklyn and many of Manhattan's top retail strips in some of the world's priciest shopping districts, from Broadway in SoHo to Madison Avenue on the Upper East Side.

Yeah right, it's just a "period of prosperity" -- not a time of papered-over economic lacunae using cheap money...

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iehi-feed-64192 Sun, 09 Sep 2018 15:11:38 GMT Suspended Attorney Busted In Brooklyn For $3 Billion Pump-And-Dump Scam http://implode-explode.com/viewnews/2018-09-09_SuspendedAttorneyBustedInBrooklynFor3BillionPumpAndDumpScam.html iehi-feed-64190 Sat, 08 Sep 2018 20:58:48 GMT New York Attorney Steven Etkind Pleads Guilty To Tax Fraud http://implode-explode.com/viewnews/2018-09-09_NewYorkAttorneyStevenEtkindPleadsGuiltyToTaxFraud.html iehi-feed-64189 Sat, 08 Sep 2018 19:56:43 GMT Fugitive Florida Lawyer Wanted For $20M Fraud Apprehended In Mexico http://implode-explode.com/viewnews/2018-09-09_FugitiveFloridaLawyerWantedFor20MFraudApprehendedInMexico.html iehi-feed-64187 Thu, 06 Sep 2018 20:34:42 GMT WeWork Hung Up On Financing For $850M Trophy Fifth Avenue NYC Buy http://implode-explode.com/viewnews/2018-09-07_WeWorkHungUpOnFinancingFor850MTrophyFifthAvenueNYCBuy.html When WeWork announced the deal, the plan for the building was to reduce Lord & Taylor's footprint to 150K SF on the lower three floors, with WeWork occupying 500K SF on the top eight. In June, however, Lord & Taylor parent company Hudson's Bay Co., which is selling the property to the coworking giant, announced Lord & Taylor would leave the building entirely. 

WeWork initially was scheduled to close on the purchase last month, according to TRD, but Hudson's Bay granted its buyer an extension to Nov. 13 in exchange for another $25M deposit. In addition to its search for equity partners, Eastdil Secured is on the hunt for lenders to provide a $738M loan package to help fund the buy and an estimated $200M worth of renovations the building would need, Commercial Mortgage Alert reports.

While WeWork has billions in cash thanks to its venture capital investment from SoftBank, that money is not earmarked for property acquisition, according to TRD, which is why WPA and Rhone have raised at least $404M to buy property outside of WeWork's balance sheet. It is unclear how much of that equity will go into 424 Fifth Ave., and how much they are hoping to bring in from a third party.

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iehi-feed-64183 Mon, 03 Sep 2018 21:09:49 GMT Invoking FDCPA Claims In Non-Judicial Foreclosures Could End! http://implode-explode.com/viewnews/2018-09-04_InvokingFDCPAClaimsInNonJudicialForeclosuresCouldEnd.html iehi-feed-64181 Sat, 01 Sep 2018 16:02:45 GMT Manipulation Of Real Estate MLS System In Miami Exposed http://implode-explode.com/viewnews/2018-09-02_ManipulationOfRealEstateMLSSystemInMiamiExposed.html iehi-feed-64175 Thu, 30 Aug 2018 13:10:46 GMT Senator Bernie Sanders Under FBI Investigation For Bank Fraud http://implode-explode.com/viewnews/2018-08-30_SenatorBernieSandersUnderFBIInvestigationForBankFraud.html iehi-feed-64174 Thu, 30 Aug 2018 13:08:36 GMT NYCHA Supervisors Busted Having Drunken Sex Orgies http://implode-explode.com/viewnews/2018-08-30_NYCHASupervisorsBustedHavingDrunkenSexOrgies.html