Throwing Good Money After Bad? Cash Infusions and Distressed Real Estate
研究了杠杆房地产项目出现现金流问题时，业主继续注入现金而非违约是否最优，发现业主可通过注入现金侵占抵押贷款人财富，且外部投资者可能从中获取经济租金。
When a leveraged real estate project experience cash‐flow problems, the owner must either inject additional cash or default on the mortgage. We show that it is not optimal for the owner to default as soon as net cash flow becomes negative. Surprisingly, the owner can expropriate some of the mortgage lender's wealth by injecting cash and continuing to pay interest. When the owner has cash constraints, outside investors may be able to extract significant economic rents by financing distressed real estate projects. These results have interesting implications for mortgage lending and the pattern of real estate transaction volume.