The Northeast has seen a busy couple of months on the retail leasing front with grocers, gyms, entertainment venues and other retailers swooping up spots. Many of these markets, especially New York City, experienced a slowdown during the pandemic but things are heating back up with retailers looking toward the major metros, as well as the suburbs, to expand. More
As traditional banks have tightened their lending practices, securing commercial real estate financing has become increasingly difficult in recent years. This has pushed owners and developers to seek alternative capital sources to supplement their capital stacks. Enter C-PACE, a state-enabled lending program that allows owners and developers to finance low-cost, long-term, energy-efficient upgrades such as solar panels and HVAC systems through private capital providers by adding the repayment to the property’s tax bill. More
We asked leaders in the real estate industry to give us their predictions for the C-PACE market. Here is what they had to say. More
Watch for banks to be more active during the second half of the year, although they will continue to be selective and cautious. Many banks are now well positioned after receiving payoffs on loans that were distressed and have been resolved either through a sale or a write-off. Those banks that have weathered the storm are re-entering the market with new enthusiasm. This will result in better pricing and easier executions for borrowers. More
Single-family rental (SFR) and build-for-rent (BFR) lending will increase, driven by strong rental demand and the appealing fundamentals of these asset classes. However, lenders will remain cautious about potential challenges such as interest rate volatility, insurance costs, supply-side pressures and rising development costs. More
Everything is bigger in Texas including the pipeline for new retail leases. Population growth, strong job markets and a business-friendly environment have pushed a variety of retailers including restaurants, quick-service food chains, furniture stores and even Barnes & Noble toward The Lone Star State. More
We asked some leaders in the industry to tell us what they foresee for the commercial real estate market for the rest of 2025. More
Look for retailers of all types opening new locations throughout Florida. The state continues to see a population increase and retailers are following suit. Major cities such as Miami, Orlando and Tampa are seeing new growth, along with other suburban markets. More
The outlook remains optimistic for commercial real estate lending in 2025. Strong year-over-year Q1 growth suggests long-term confidence in key segments of the market, despite a decline from Q4 that was driven by seasonal trends, higher interest rates and market uncertainty. More
Bridge lending should start to pick up, especially as banks slowly come back to the market. Borrowers will favor bridge loans for their speed, flexible terms and ability to finance transitional properties, especially as long-term financing remains expensive. Anticipated interest rate declines could boost borrower confidence, increasing bridge loan demand as investors capitalize on value-add opportunities. However, bridge lending could continue to see low deal volumes for the next two years due to high interest rates, lender extensions and no forced liquidations. More
Office lending will start to pick up as most lenders have returned to the space. However, expect lenders to be very selective going forward. There will be a flight to quality and top-tier CBD office with favorable occupancy will be the most sought after. Suburban office with strong performance, cash flow and credit metrics will also see lender dollars. Capital providers are seeking buildings in growth markets with demographic momentum and low remote-work industries. More
Financing for hotels will pick up going forward because of the continued solid performance in the sector, increasing demand for acquisitions and the lack of lender appetite for other asset classes such as office. The biggest trend will be the reemergence of bank financing for acquisitions and refinances of performing properties. Lender appetite for the various brands is approaching saturation points in certain regional markets, particularly at the community bank level. More
Miami, Florida
November 7-8, 2023
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