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Oversupply, acknowledged by many CRE experts, probably hasn't been evenly distributed.
As the company talks about realignment, it doesn't address whether there will be any real estate reductions.
Regional and smaller banks have the most CRE loans on their balance sheets.
Lenders also expect demand for CRE loans to increase along with all other types.
They're still often strong as credit profiles go, but expenses go up and margins go down.
One source says venture funding is way down, though at pre-pandemic levels. Another says it's way up.
It urges investors to purchase high-quality assets at attractive prices, and often below replacement cost.
If interest rates weren't bad enough, insurance, if you can get it, can make a deal come apart almost before it starts.
Money wants to move but banks have the jitters. The pressure's going to break somewhere. Here are some examples.
While the dip is a bit sharper and more prolonged than usual, the drops are in line with seasonal variance.