The Real Deal Miami

LeFrak compares bank closures to “death by 1,000 cuts”

November 12, 2009 10:10AM

Richard LeFrak, president of the LeFrak Organization, told CNBC’s Squawk Box today that he’s far more optimistic about the residential real estate market than the commercial, as he anticipates a longer road to recovery for the latter industry. “We’re kind of in the second inning or the third inning,” LeFrak said of the commercial market crisis. While other analysts have made estimates regarding how many banks may fail in the coming months, LeFrak said that he abstains from making those kinds of judgments. “It’s kind of death by a thousand cuts at this point,” LeFrak said of the numerous possible small bank closures nationwide.