WeWork Files For Bankruptcy, Roiling Already-Stressed Office CRE Market

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Almost exactly two years after going public via SPAC, WeWork, the struggling co-working start-up that once held a valuation as high as $47 billion, filed for Chapter 11 bankruptcy protection in New Jersey federal court Monday, having, as Wolf Richter reports, spent its entire life burning huge amounts of cash raised from investors – a total of $13.8 billion raised in 22 rounds, much of it from SoftBank and SoftBank’s Vision fund.

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The bankruptcy is limited to only WeWork’s locations in the US and Canada, the company said. It reported liabilities ranging between $10 billion to $50 billion.

Despite the bankruptcy, Financial Times quoted WeWork as saying its office spaces were still “open and operational.”

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https://www.zerohedge.com/markets/wework-files-bankruptcy-amid-cre-turmoil-office-market