NEW YORK CITY-According to Real Capital Analytics, 81 of the top 100 buyers from the pre-recessionary peak of the real estate market survived. This fact surprised Real Capital Analytics’ managing director Dan Fasulo, who tells GlobeSt.com that he had expected to see 50 names on that list, tops.
“The fact that many of these players are buying again displays how quickly capital has returned to the commercial real estate space,” Fasulo says. “The fact that many of these players--even the ones stuck with distress on their balance sheets--have been able to raise new capital for new acquisitions is a healthy sign, especially at this early part of the recovery.”
The numbers come from an RCA special report out this month, and demonstrate how the top 100 fared in the wake of the economic crisis. Many top names--Blackstone, Tishman Speyer and Morgan Stanley to name a few--survived the crisis and are buying again, despite having run into mortgage troubles or even losing an asset to the lender.
And, of the 100 on RCA’s list, some aren’t buying because they’re no longer around. Fasulo says that these players simply had too much distress in their portfolios when the crisis hit.
Helping ease the way, Fasulo says, have been the “extend and pretend” policies adopted by some many lenders and the nature of the loans themselves. “Non-recourse loans have been huge,” he says.
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