Lenders' Love Affair with Industrial Deals

Eugene Rutenberg is the director at Continental Funding Group.

LOS ANGELES—Lenders have started to pump the breaks in the first half of the year, making for a sharp transition from the ample and cheap capital that has characterized this cycle. Despite increasing conservatism in the debt markets, lenders are very bullish on industrial deals—remaining flexible and aggressive on terms and pricing. Continental Funding Group recently secured aggressive financing for three class-A industrial assets, and witnessed the trend first hand. The two separate borrowers wanted aggressive terms and were not willing to settle for less. The firm was able to secure the deal for the borrower with ample interest from lending sources. Eugene Rutenberg, a director at the firm, says that the deals are a perfect example of the demand for industrial financing opportunities among lenders. To find out more about the capital market perspective on lending, what types of industrial deals lenders want and the lenders most active in this market, we sat down with Rutenberg for an exclusive interview.

GlobeSt.com: The industrial market hasn’t experienced the same pull back from lenders as some of the other property types have. Why do you think that is?