Quick Update On Feb 2023 Major Investment Sales and March CMBS Data

David Amsterdam, President of Colliers U.S. Capital Markets put out his latest report.

Year Over Year, Office is down 66%; Industrial is down 52%; Multifamily is down 76%; Retail is up 36%; and Hospitality is down 53%. Unless you have a totally leased office building, credit tenants with terms longer than the loan it can be challenging to find willing office building lenders. There is an emerging group of private money lenders who may lend on office buildings at a much higher interest rate, low leverage, possibly personally guaranteed and cross-collateralized, is a possible place of last resort. The upcoming Fed decision on another rate raise will impact commercial real  estate but unfortunately it will take time for the ‘reasonable’ lending market to return.