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Reading the T leaves
Commuter rail ridership continues to grow, suggesting more people are returning to work downtown and finding on-time rail service an attractive option, writes Bruce Mohl at CommonWealth.
While the data shows more people are traveling to and from Boston on weekdays, it’s “unclear is whether the numbers will continue to grow or whether they have maxed out with hybrid work schedules,” Mohl adds.
And that’s a big question, not just for the T but for all those small business owners – restaurants, convivence stores, shoe repair joints, dry cleaners, etc. -- who’ve suffered from fewer customers due all those remote workers.
Nearly 20% of office space across the U.S. is sitting empty, a milestone that exceeds the vacancy rate following the 2008 financial crisis. And top Boston commercial real estate execs tell Bisnow they’re worried about the future of the city’s office assets.
Which sets up a whole little old lady who swallowed a fly type sequence.
If companies continue to give up their office leases, landlords may not be able to keep up with mortgage payments, increasing the risk of defaults and foreclosures.
And who wrote those loans? In many cases it was our our smaller regional banks who according to NPR, hold the bulk of these debts — estimated to be worth $1.2 trillion — and are already facing turmoil.
But Greg, you say, those are all downtown’s problems. Why should we care out here in the burbs about downtown Boston?
The answer, of course, is that while many of our office, restaurants and retailers are in a better place out here, our economies are joined at the hip. We all need to rooting for downtown Boston to rebound.
Cutler Park regular is leaving Needham tech company
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