"In the system as we know it now, if you can't get terrorisminsurance, you can't build buildings," Raymond T. O'Keefe, co-chairof the Real Estate Board of New York's Economic DevelopmentCommittee, tells GlobeSt.com Northeast Bureau Chief GlenThompson.

"People are saying this could bring construction to a halt,"says O'Keefe. "This could be a tremendous block in real estateactivity." O'Keefe is also a regional managing director at Grubb& Ellis Co.

He says a scenario in which insurers refuse to provide terroristcoverage "will be a real problem, because in order to buildbuildings, you have to secure financing. And in order to securefinancing, you have to have insurance."

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.