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Count on Class B and C deals to see even more fiery competition now that interest rates have dropped further. Despite the lower rates, the cost of debt has actually increased, which should keep the market in a stable place. The current headwinds and tailwinds are mostly canceling each other out. The demand for workforce More

Anticipate life company lending volumes to be in line with or above 2018 originations.  LC real estate portfolios will be healthy, and executives are asking their teams for increased commercial real estate exposure.  Many are already starting to look at deals funding into 2020.  Count on life companies to snatch more multifamily market share as More

The amount of equity capital is at an all-time high, and increased competition will lead to investors being more accepting of lower returns.  Investors are confident in the combination of interest rates remaining low for the foreseeable future, positive trends in job creation, low unemployment rates and strong corporate growth.  Real estate is an asset More

Waterton will target $1.1B of multifamily acquisitions in addition to $100M to $125M of student housing. It will be focused on the top 30 markets in both urban and suburban locations. Its team looks at around 500 deals a year, while searching for well-priced opportunities. The company plans to be selective in markets with very More

Land financing will continue to flow as long as the market stays robust.  There is a plethora of bridge lenders entering the market every quarter and this competition tends to force an expansion of the collateral that lenders are usually not willing to consider.  There has been a lot of capital rushing into the market, More

Bridge lending will continue to be one of the most liquid sectors of the market as more and more new lenders constantly enter the game.  Keep an eye out for new bridge lending sources and evolving appetites as some buckets are filled.  Watch for more flexibility on prepayment as competition increases and the possibility that More

Count on the newly built senior housing properties to have a better outlook than older supply. Despite the recent glut in supply, higher quality senior housing will attract residents more than the properties that are 20 years or older, which is a majority of inventory. People want amenities and services that are reminiscent of hospitality. More

Count on developers to continue starting new projects due to strong demographics, liquid debt and equity. Scarcity of quality sites, rising construction costs and evermore selective investment capital will slow down new developments, but projected job growth, the continued decline of homeownership rates and positive rent growth will keep production chugging along. Multifamily development will More

There will be no shortage of capital for quality hotel deals from banks, conduits, debt funds and life companies.  With increasing competition, lenders are trying to get money out the door, and there are more capital providers than strong deals.  Even though some lenders have reached their hotel capacity, others still have money to deploy.  More

Banks will be active construction lenders during the second half of the year, although markets that have seen significant supply within the last 12 months may see more caution going forward.  The majorbanks will be competitive but may reserve capital for their most active relationship clients.  Count on regulated lenders to be conservative with LTC More

Affordable housing will continue its explosive pace this year. Development shows no sign of slowing and has the potential to increase in production if a bill in Washington, D.C., goes through. This increase of affordable housing should alleviate some demand from the Class B and C buildings nearby, but it is merely a dent in More

Rent growth will continue to flatten nationwide despite constant demand for multifamily housing. Markets with job growth continue to be healthy. The market has done well at catching up supply with demand. Most of the new buildings delivered are Class A, which means there will still be room for rent increases for Class B and More