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Multifamily and industrial lead investment preferences, with retail and office gaining traction.
After a rougher second half of 2024, any change for the better is welcome.
Investors are looking beyond just the interest rate.
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Lower interest rates and market stability have renewed developer confidence, but the market is still in recovery.
CRE charge-offs will continue but most banks should be able to absorb the losses.
The new fund will target distressed real estate debt and small- to mid-balance loans.
By changing bank leverage requirements, financial institutions would have more capital to buy Treasurys.
Meanwhile, securitized CRE loan maturities are peaking at $277 billion this year.
Survive to 2025 has been the industry mantra for the last two years. Now, commercial real estate investment is finally turning a corner.
Market fundamentals are finally drawing in the dry powder that has been waiting.