Of course, another terrorist attack on the US could lead to consumer worry and severely test the resiliency the economy has shown in the months following Sept. 11, Tannenbaum says.
As the public has increasingly taken charge of their own investment portfolios, the reliance on both auditors and stock analysts has grown, Tannenbaum explains. While price-earnings ratios have received greater attention, the yardstick may come under question as a result of overstated earnings by accountants. "The risk of losing our trust is too great," Tannenbaum says.
Andersen's fate also may have an effect on one already embattled property owner. The firm has 678,735 sf at One IBM Plaza at 330 N. Wabash Ave. and 33 W. Monroe St., two buildings owned by Prime Group Realty Trust. Although the space amounts to more than 5% of the REIT's portfolio, the $9.8 million in rent – now considered below market – is more than 6.5% of its rental income.
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