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    Multifamily lending will open up later in the year

    Multifamily has seen a tough start to the year with the lack of transactions and capital remaining on the sidelines. Conditions will likely ease in late Q3 or Q4 once the Fed makes a move to lower rates. Once that happens, capital will open, and transactions will pick up. There has been a dip in rents across the board and loan underwriting has been conservative. Lenders are having to be more creative to get deals done and borrowers will need to bring in mezz or pref equity to fill capital stacks. More

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    Equity investors make their outlook predictions for 2024

    Equity investing has been tough to get done so far this year. There will be a need for a lot of equity going forward, as nearly $1.2T of commercial real estate loans will be maturing in 2024 according to Goldman Sachs. We asked the equity investors themselves what their predictions are for investing throughout the rest of the year and here is what they had to say. More

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    Deal of the Week: Multifamily Development in Charlotte, N.C.

    The 242-unit property is currently under construction and is scheduled for completion this fall. Thorofare liked the very desirable location in the NoDa neighborhood of Charlotte, as it is walkable to downtown, providing tenants access to various retail, restaurant and nightlight venues. The property’s location next to the light-rail station is considered a competitive advantage as tenants will be able to utilize the light rail, as well as the adjacent parking garage. More

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    Industrial will remain strong with plenty of available capital

    Financing for industrial will continue to be strong from all lender types, especially for stabilized properties and those with preleasing. Financing for spec industrial construction deals will depend on the submarket vacancy rate and the level of supply that is coming online. Industrial has a bit of an advantage over multifamily because of rents and government policies in certain markets. Borrowers will see plenty of available capital, although lenders could be a bit pickier going forward. More

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    Retail borrowers will see plenty of capital

    Look for all types of lenders to seek retail deals throughout the rest of the year. Retail is stable and many consumers have returned to brick-and-mortar retail stores. Retail vacancies are at an all-time low and the lack of new development set to come online will continue to drive demand, as well as lead to better pricing. Look for lenders to be more aggressive in underwriting, with lower rates and more proceeds. As lenders work through challenged office loans and seek payoffs, they are looking to redeploy that capital into retail, a net positive for the retail sector. More

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    Deal of the Week: Retail Pad Site in Phoenix

    Western Garden Commercial is a retail pad site equaling ~24.5 acres of land just a few miles south of the Cardinals Stadium. The subject is nestled among the Taylor Morrison and Fulton Homes SFR communities and the Algadoon Center being developed by Lennar. The borrower needed to refinance out of a private money deal and needed funding to complete pad delivery for a sale and/or ground lease delivery. More

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