According to Marcus & Millichap, CMBS lending in the 1st half of 2010 reached $2.4 billion. Although still anemic, compare that to $3 billion for the entire 2009 and it looks pretty good. Although Fannie Mae and Freddie Mac were delisted from the NYSE they are expected to remain in operational and benefit apartment owners looking to refinance within their strict guidelines. It looks like they are both hemorrhaging money badly right now and will continue to see losses through 2012 according to Standard & Poor's.
After CMBS's, life insurance companies have been the biggest lenders over the past year. Their commercial mortgage lending increased by 131 percent for the year ending this July. Although they have strict standards, these companies are actively pursuing new business in major markets and increasing the scope of their lending. This is a big shift from last year when most companies were rewriting maturing loans.
Moving into the second quarter of 2010 lending should continue to loosen as multifamily investments continue to outperform many other asset classes and offer a hedge against inflation which is still on everyone's mind.
CoStar Group
CoStar Group, Inc. is the leading provider of information services to commercial real estate property investors and sales professionals in the United States and United Kingdom. CoStar's suite of services offers access to the most comprehensive database of commercial real estate information and commercial property listings available in its markets.
It has become increasingly evident to those in the commercial real estate industry that improving building energy performance and making other sustainable and green improvements can impact property values and balance sheets. To some degree, building owners find themselves caught in a 'Catch 22' situation. On one hand, buildings that are slow to adopt these changes and implement green retrofits and more efficient operations are seen as being at a...
