O'Leary Warns of Chaos Ahead as Commercial Real Estate Faces $1 Trillion in Distress

Commercial real estate is in distress, with high vacancy rates and regional banks stopping lending due to capital requirements.

Kevin O'Leary warns this will cause "chaos" as many buildings need to be refinanced at much higher rates.

Small businesses have also lost a key government subsidy program, further limiting access to capital.

O'Leary estimates up to $1 trillion may be needed to repurpose empty offices as the economy has changed.

Major challenges lie ahead in the next 3 years as problems manifest across regional banks tied to commercial real estate.