By Michael Green
Commercial real estate (CRE) lending increased for the 5th consecutive year in the U.S. finishing out a strong 4th quarter. The increase was spread across all types of lenders and property segments. About ½ of the closings were for acquisitions, significant in light of the bulge in refinances coming due in the 2015-2017 window. These are the 10-yr. term loans that were originated in 2005-2007 at the top of the last CRE cycle.
Retail, hotel and specialty properties saw the biggest increases reflecting buyer demand in these sectors. Specialty properties which are typically single-tenant occupied have come into high demand over the past several years as investors suffering from financial repression have sought out the higher yields in these net-leased properties.
We welcome the opportunity to provide financing for your next net-leased investment, or refinancing your current term loan coming due.
Michael Green is a Commercial Loan Officer with Counsel Mortgage Group, LLC. Copyright © 2015 Counsel Mortgage Group, LLC All rights reserved AZ MB# 0909580