By Nick Shatraw, Assistant Vice President, Argo Pro
Within Argo Pro’s financial institutions division, the team offers D&O and E&O products for a broad range of commercial real estate clients, including real estate investment trusts (REITS), private real estate funds and real estate operating companies.
These companies can invest in and operate a variety of commercial real estate sectors, including hotels, office buildings, industrial warehouses, multifamily housing properties and shopping centers.
Variety across real estate calls for thoughtful, nuanced approach
Within real estate – especially commercial real estate – the risks and issues faced by clients are varied and more nuanced than one might assume. This applies particularly to the impact from COVID-19, which has manifested in different ways across the sector.
While shopping malls and hotels have clearly suffered from low foot traffic and diminished occupancy rates, other areas are doing well. Industrial REITs and distribution warehouses, for example, are benefiting from the boom in e-commerce, while multifamily complexes are quite stable.
This variety is why it is important for us at Argo Pro that commercial real estate risks aren’t simply bundled into one bucket and treated all the same. It is critical that we are thoughtful and considered in our approach, taking into account the nuances that each client faces.