Acquisition financing in the industrial and multifamily sectors, reduced credit spreads, and the growing demand for large-scale data center construction loans drove improvement in the commercial real estate lending market in the second quarter of 2024, CBRE said in its quarterly U.S. Capital Markets and Lending report.

"Commercial real estate origination volumes and general activity levels are steadily picking up across all capital sources except for the commercial banks," James Millon, U.S. President of debt & structured finance for CBRE told GlobeSt. in an emailed statement. "Bottoming of real estate values and the prospects of rate cuts should drive even greater origination activity for the remainder of the year and in 2025."

CBRE'S Lending Momentum Index, which tracks the pace of CBRE-originated commercial loan closings in the U.S., edged up quarter-on-quarter, for the first time in over a year.