Latest Finance Trends

Inflation and rising rates have led to more conservative terms, higher borrowing costs and overall less lending during the third quarter, according to CBRE’s Lending Momentum Index. The index tracks the pace of CBRE-originated commercial loan closings in the U.S. and showed a decline of 11.1% from the second quarter and 4.7% from the third quarter of last year. More

Although one of the tougher deals to finance, land will still see available capital, especially in growing markets with for-sale or for-rent developments. Look for land lenders to be extremely cautious and more expensive going forward. The rapidly rising interest rate environment and the significant decline in overall liquidity in the market could lead to More

After a record-setting year in 2021, the life sciences real estate market in the U.S. is cooling off somewhat, according to a new report from CBRE. The average lab vacancy rate across the 12 major life sciences markets—cities such as Boston, Chicago, LA and Seattle—rose to 5.3% in Q3 2022, an increase of 30 basis More

Land deals have always been tough to finance, but borrowers will see even stricter terms as we enter the new year. Rising rates and the decline in overall liquidity are pushing lenders that had traditionally been in the space to the sidelines. Bank lenders have completely pulled out of the sector. Debt fund lenders — More

With fewer lenders in the bridge lending space and rates continuing to rise, 2023 will likely be a slow year for bridge lending, with sponsors turning to other products. Expect more conservative underwriting and a major shift toward cash-flowing deals. Exit caps are hurting bridge lending. Lenders will have to focus on markets where values More

The life sciences industry has been on a great ride, with venture capital being heavily invested into research and development in recent years and the COVID-19 pandemic pushing the need for lab space to new heights. “Interest in life sciences has never been higher,” said Ian Anderson, senior director for research and analysis at CBRE. More

It may seem easy and straightforward to generate a list of talented commercial real estate brokers. After all, there are many talented people doing many interesting things. But there are 3 million licensed brokers in the U.S. and 2 million commercial real estate companies. And there’s a big difference between good and great. So, yes, More

While many hurdles have come our way since the beginning of the year, the rise in rates has caused the biggest frenzy in commercial real estate lending and equity. The Fed announced its second consecutive 0.75% increase in July, its fourth bump this year. Many lenders, especially major banks such as Wells Fargo and Bank More

CMBS lenders will have a tougher time getting money out the door going forward.  The total CMBS origination for 2022 will most likely be less than originally expected. With CMBS bond spreads widening, CMBS pricing has not been competitive with banks and other lenders. This has resulted in less volume across the board. Deals that More

Self-storage lending will be robust going into 2023. Keep an eye out for increasingly more lenders looking to enter the space due to competition in the other asset classes. There will be increased demand for self-storage since families will be downsizing and relocating as housing costs rise. Lenders like the fact that there has not More

Industrial assets remain some of the most sought after by lenders, but recent market changes have affected terms, underwriting and even lender demand. “Lower leverage has become the new normal for 2022,” said Shawn Givens, vice chairman, debt & structured finance at Colliers. “Deals that used to get 70% LTV are now averaging 50% to More