Sara Havlena

Hotel lending has been put on pause as lenders wait for more visibility regarding future hotel net operating income performance.  Many hotel lenders have pulled back from the market for new originations and are currently focused on asset management for their existing portfolios.  Once traveler confidence returns, lenders will look for new originations, most likely More

In the short term, lenders are going to be a lot more cautious on new construction deals as they try to figure out the underlying impacts of COVID-19.  Many lenders are not entertaining new loans for the time being and the ones that are looking at construction loans are being much more conservative.  Some institutions More

Capital will be available for office as this property type is more stable than hotels or retail.  Manylenders are confident with the fact that most office tenants are expected to pay rent in the coming months.  However, there are fewer active lenders, therefore borrowers will see lower leverage and stricter underwriting.  Banks, life companies, private More

Retail will be one of the hardest properties to finance during the pandemic.  Regional and local banks, bridge lenders and select life companies will be the best bet for the time being.  Non-bank lenders and debt funds will be the go-to for any heavy repositioning and construction financing.  Lenders are shifting their focus away from More

Watch for life companies to slowly resume putting money out in the coming weeks, after taking a pause at the beginning of the pandemic.  Expect them to remain conservative throughout the summer, then become more active late in the second half of the year.  They will be striving to meet 2020 allocations, after already losing More

There is plenty of capital available for JV and pref equity investing but many investors are waiting on the sidelines for the time being.  They need some near-term clarity of where things are headed and do not want to get involved in a deal too early.  Lenders will tighten underwriting going forward, leading to the More

Banks are pulling back lending overall due to the COVID-19 outbreak, but they still want to put money out and multifamily is considered a strong and safe asset class.  Anticipate bank lending to be very relationship driven with doors wide open for existing clients.  Don’t expect banks to stretch underwriting for first-time borrowers.  Count on More

Bank lenders seem to be proceeding with transactions, however, count on them to focus on the best sponsors, safest real estate assets and strongest markets with conservative terms.  Many banks are increasingly concentrating on their existing clientele and are requiring more depository relationships with those borrowers.  Local and regional bankers seem to still be willing More

Hoteliers will see construction lending slow down drastically while the full impact of the pandemic on the hospitality industry remains to be seen.  Hotels will be the hardest hit, as leisure and business travel are put on hold for the foreseeable future and occupancies are expected to drop into the single digits.  Some lenders will More

Industrial borrowers will see the most available capital, as the property type will be the number one choice for lenders over the next few months.  Uncertain economic conditions caused by the pandemic will lead to much more conservative lending and most capital providers consider industrial the safest bet.  Quarantines, shelter-in-place orders and social distancing has More

Borrowers will see plenty of available capital for senior housing from the GSEs, banks, debt funds,finance companies and life companies.  There will be a flow of new capital into the sector and expansionof existing groups raising more money.  The silver tsunami is set to hit around 2026, so the sector will continue to grow as More

Construction borrowers/developers will see plenty of capital from diverse sources as lenders seek to grab better returns.  Banks have pulled back on leverage, but non-banks and debt funds have backfilled the market.  Non-bank lenders will continue to snag market share from traditional lenders, including an increase in life company executions on larger projects and family More