The report also looks forward to the second half of the year with a prediction that REIT capital raises and Term Asset-Backed Securities Loan Facility participation could be the first signs of liquidity's return to the markets in the coming months. However, credit is still tight and liquidity sparse, and markets won't recover until banks begin to lend again, according to Steve Collins, managing director of JLL's International Capital Group.

"A significant trend we're focused on is the lack of credit and how that's affecting the whole market," Collins tells GlobeSt.com. "Banks are in a practice of delay and pray. We have money coming due and until banks start to lend again, it's going to be a hard time."

JLL's bulletin says the financial public policy support has halted the economic decline. However, at the same time, the firm reports that any recovery in the commercial real estate capital markets has been put off, as banks continue extending maturities for borrowers, avoiding foreclosure. As a result, the firm predicts that credit markets will remain frozen until at least the middle of next year.

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