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CREFC Viewpoint: This Is Not the Commercial Real Estate Industry’s First Rodeo
9/21/2023 · by CRE Finance Council · Other · Research and Background Documents
The CRE landscape is undergoing a pivotal shift, grappling with rising mortgage rates and property valuation uncertainties heightened by a global pandemic's economic aftermath. In this piece, CREFC delves deep into the cyclical nature of the CRE sector, highlighting the Federal Reserve's significant policy shifts and their implications. With insights from recent data on loan maturities and property valuations, we explore the looming risks, particularly for CRE debt markets. Furthermore, emphasizing the critical role of the CRE servicing community, this article underscores the importance of collaboration, communication, and strategic workouts for troubled loans. From understanding refinance risks to the nuances of different lender types, CREFC's Report is a timely guide for industry stakeholders to navigate these uncharted waters. Drawing on decades of experience, CREFC and its members stand ready to support and offer insights to borrowers, lenders, and investors during these challenging times.
Tags: owners · borrowers · servicing · maturities · cre · valuations · mortgagelending · resources · ·