MIAMI—The capital markets are stronger than they've been since the Great Recession, but some lenders still remember the busted bubble like it was yesterday. What does that mean for foreign investors looking for capital to spend on commercial real estate assets stateside?

We asked Marcus & Millichap commercial real estate broker Alex Zylberglait this question: Are foreign investors seeing better financing conditions or are banks still reluctant to back a large part of the deal? The news is good.

Zylberglait told us he's seeing an increase in financing for foreign investors because banks and lending institutions are more comfortable underwriting their credit risk. Even though many foreign investors are accustomed to acquiring assets on an all cash basis, he says, some are now taking advantage of financing in order to leverage their equity and lock in attractive interest rates.

“In addition, many foreign buyers who were not able to participate in the market given their limited equity positions are now able to do so,” Zylberglait says.“Sometimes lenders will mitigate the foreign buyer risk with lower loan-to-value ratios or higher origination fees. But nevertheless the availability of capital is contributing to the increased transaction flow for this group of investors.”

Miami is getting plenty of attention from investors around the world. Savills Research just named Miami among the 12 cities investing and occupying world city real estate.

Miami is set to see double-digit population growth in the next 15 years, Savills reports. Specifically, the Magic City will post a 15.2% rise in population while the cost to accommodate a workforce is $48,962. That puts Miami in 10th place among the 12 cities Savills listed.

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