Source: The American Prospect
by David Dayen
“It hasn’t gotten much attention, but one of Elon Musk’s major DOGE initiatives is a massive fire sale of federal office space. Despite forcing federal employees back to the office by abolishing telework programs, Musk and company want to unload a large number of unused properties and recoup that money for the budget, a process that could expand if worker purges continue. That theoretical win-win, however, will soon come into contact with the realities of commercial real estate markets, which are particularly depressed when it comes to the very type of inventory the government wants to sell. … It could lead to widespread defaults in financial securities linked to commercial mortgages. And if unchecked, that could lead to broader pain.” (02/13/25)
https://prospect.org/economy/2025-02-13-how-doge-could-spark-a-financial-crash/