SVB sends tremors across the banking landscape

If market participants are wringing their hands over the potential fallout from the collapse of Silicon Valley Bank, just wait until they lo [Bloomberg]( Follow Us [Get the newsletter]( [Banking’s Next Threat? It Might Be Commercial Real Estate]( — Robert Burgess If market participants are wringing their hands over the potential fallout from the [collapse of Silicon Valley Bank](, just wait until they look at the banking industry’s exposure to the rapidly weakening commercial real estate sector. It seems as if every few days brings news of some big property going into default. Within the past few weeks, an office landlord controlled by Pacific Investment Management Co. defaulted on about [$1.7 billion of mortgage notes]( on seven buildings in places such as San Francisco, Boston and New York. Before that, a Brookfield Corp. business [defaulted on loans]( tied to two Los Angeles office towers. A $1.2 billion mortgage on a San Francisco complex co-owned by former President Donald Trump and Vornado Realty Trust has [showed up on a watchlist]( of loans that may be in jeopardy. If the saga at Silicon Valley Bank hastens the arrival of the next recession, expect to see many more properties go into default sooner rather than later. Read the [whole thing](. [The US, UK and Australia Send China a Message]( — James Stavridis [Meta Layoffs Reveal a Deeper Truth: Tech Exceptionalism Is Dead]( — Beth Kowitt and Parmy Olson [A Trump Indictment Would Put Republicans in a Bind]( — Jonathan Bernstein [Saudi-Iran Agreement Is Less Than Meets the Eye]( — Bobby Ghosh [Ivy League Schools Sure Look Like a Cartel]( — Stephen L. Carter [What Motivates Putin and His Followers Is Resentment]( — Andreas Kluth [GPT-4 Could Turn Work Into a Hyperproductive Hellscape]( — Parmy Olson [The Crypto Bros Are Fast Becoming Unbankable]( — Lionel Laurent [A Chinese Billionaire, His Auto Empire and an Electric Car]( — Anjani Trivedi More From Bloomberg Opinion Here’s what we’ve been listening to this week. - [Crash Course: Small Businesses Vs. the Pandemic]( with Timothy L. O’Brien (listen on [Apple]( or [Spotify]() - [Bloomberg Opinion: VC Uncertainty Post-SVB and the Future of Cancer Drugs]( with Tim Culpan, Jonathan Bernstein, Allison Schrager and Lisa Jarvis This is the Weekend Edition of Bloomberg Opinion Today, a roundup of the most popular stories Bloomberg Opinion published this week based on web readership. Like getting this newsletter? [Subscribe to Bloomberg.com]( for unlimited access to trusted, data-driven journalism and subscriber-only insights. Before it’s here, it’s on the Bloomberg Terminal. Find out more about how the Terminal delivers information and analysis that financial professionals can’t find anywhere else. [Learn more](. Want to sponsor this newsletter? [Get in touch here](. You received this message because you are subscribed to Bloomberg's Bloomberg Opinion Today newsletter. [Unsubscribe]( | [Bloomberg.com]( | [Contact Us]( [Ads Powered By Liveintent]( | [Ad Choices]( Bloomberg L.P. 731 Lexington, New York, NY, 10022