The commercial-property sector faces "massive" debt refinancing needs, and some of that won't be done in an "orderly fashion" given current high interest rates, Mohamed El-Erian said.
Recession calls are ramping up as investors fear dwindling consumer savings, student loan repayments, and shrinking money supply could choke economic growth.
US office-vacancy rates have hit a new record, surpassing highs set during the 2008 crisis, with further upward pressure expected to follow, according to real-estate services firm Colliers.