Office markets and performance are on the minds of market participants as technology layoffs and space reduction announcements drive the year’s news cycles along with rising interest rates. Join MBA Education and industry practitioners as they explore opportunities and challenges in the office sector.
Category: News and Trends
FHA Increases Threshold for Large Multifamily Loans to Be Eligible for Standard Underwriting
The Federal Housing Administration on Wednesday increased the threshold at which a multifamily loan is considered a large loan from $75 million to $120 million. The Mortgage Bankers Association commended the move.
Dealmaker: Newmark Secures $947M for Park La Brea Apartments in Los Angeles
Newmark Group, New York, secured a $947 million loan for Los Angeles’ Park La Brea, the largest apartment community on the West Coast.
May CPPI Indexes Show Large Drops From 2022
MSCI, New York, reported its RCA CPPI National All-Property index dropped 11.2% year-over-year and 1.2% from April, as commercial property pricing for all major sectors continued to post annual declines in May.
City-by-City Remote Trends Continue to Affect Office Vacancy Rates
CommercialEdge, Santa Barbara, Calif., reported that due to a variance in remote and hybrid work, some cities’ office markets remain more vulnerable than others, affecting metrics such as vacancy rates, rental prices, sales and pipelines.
Freddie Mac Multifamily: Apartment Investment Market Index Rises
Freddie Mac Multifamily reported its Apartment Investment Market Index rose by 5.3% in the first quarter but decreased year over year, with the annual index down 16.6%.
Housing Has Affordability, Supply Challenges, Harvard Finds
Housing is currently prohibitively costly for millions of American households, per the Joint Center for Housing Studies of Harvard University’s State of the Nation’s Housing 2023 report.
Fitch: Commercial mREIT Sector Faces Further Pressures in 2023
Fitch Ratings, New York, said commercial mortgage real estate investment trust ratings will continue to be challenged by post-pandemic occupancy rates, “with growing recessionary risks and further deterioration of commercial real estate fundamentals.”
CMF Quote of the Week: June 29, 2023
“The increase to the threshold–along with a new method to review it on an annual basis–will help to ensure that HUD multifamily financing is a viable option at all times during the lending cycle.”
–MBA President and CEO Bob Broeksmit, CMB
CREF Policy Update: June 29, 2023
Commercial and multifamily developments and activities from MBA important to your business and our industry.