Market crash hits Broadway Partners head-on

The real estate crash has hurt Broadway Partners, which at nine years old is one of the newer kids on the block, more than some of its rivals in commercial real estate. The company’s strategy was to purchase buildings using highly leveraged loans, wait for rents to increase and sell the buildings for a profit within two years. The company purchased 28 office properties nationwide in 2006 and 2007. Already, Broadway Partners has defaulted on more than a dozen buildings’ short-term loans and has seen two of its buildings fall into foreclosure. It is unclear whether the company will be able to raise enough capital to pay off its loans and survive.