Commercial and multifamily mortgage origination volumes tend to move nearly in lockstep with property sales activity. With the onset of the COVID-19 pandemic, both tumbled, but with some important caveats.
Category: News and Trends
Signs of Retail Sector Distress Grow
The retail market is starting to see distress as the pandemic enters its ninth month, said Moody’s Analytics REIS, New York.
MBA Forecast: 2020 Commercial/Multifamily Lending Down 34% from 2019 Record Volumes
Commercial and multifamily mortgage bankers are expected to close $395 billion of loans backed by income-producing properties in 2020, a 34 percent decline from 2019’s record $601 billion, according to a new Mortgage Bankers Association forecast.
Andrew Foster: Trade Associations–Community Building in Unsettling Times
I have always believed, and I still believe, that whatever good or bad fortune may come our way we can always give it meaning and transform it into something of value. -Hermann Hesse
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“There remains a great deal of uncertainty about the pandemic and its impacts on the economy and commercial real estate, with significant differences across property types and capital sources.” — MBA Vice President for Commercial Real Estate Research Jamie Woodwell.
Tech Industry Drives Office Leasing Despite Pandemic
Tech industry job loss has been minimal during the pandemic, and the tech sector is still driving U.S. office-leasing activity, reported CBRE, Los Angeles.
Hotel Development Slips But Remains Robust
The U.S. hotel construction pipeline dipped during the third quarter but remains “robust,” said Lodging Econometrics, Portsmouth, N.H.
Retail, Office Prices Drop as Apartment, Industrial Gain
Real Capital Analytics, New York, reported commercial real estate price growth increased at a 1.4 percent annualized pace in September as gains in apartment and industrial sector prices offset declines in retail and office price.
CRE Executives Becoming Bearish
Commercial real estate executives are growing “bearish” about the U.S. CRE market, DLA Piper’s Global Real Estate State of the Market Survey reported.
Commercial/Multifamily Briefs from Marcus & Millichap, Bellwether Enterprise
Marcus & Millichap, Calabasas, Calif., agreed to acquire Mission Capital in a transaction expected to close in the fourth quarter.