As per the report, originations for office properties saw a 29% growth over 2003, and there was a 31% increase in retail property loan starts for the corresponding period. The multifamily sector, however, is not showing similar signs of health, recording a 13% drop in originations over the same timeframe in 2003. Of course, given the usual year-end rush to close deals, first quarter numbers pale in comparison to those of the previous quarter, the fourth quarter 2003, but that is to be expected.

MBA officials expect things to continue to look up in the industry. "Going forward, rising interest rates, coupled with high vacancy rates in many property sectors, would typically point to a slowdown in originations," MBA chief economist and senior vice president Doug Duncan says. "With the economic expansion currently under way, however, it is more likely that these levels will remain relatively stable."