Lenders Re-Pricing to Speed Recovery

According to a new report from the CCIM Institute and the Real Estate Research Corporation, commercial real estate recovery has become dependent on, and linked to, the re-pricing and deleveraging of properties. The report notes that buyers are less dependent on access to capital because properties that have returned to the market are being priced much lower.

CCIM’s chief real estate economist, Ken Rigg, believes that lenders’ new ability to re-price assets more affordably will speed up the process of refinancing debt more than most experts have been predicting. The report also notes that the industry is at a stabilization point, with commercial property becoming relatively attractive and grabbing the attention of many diverse investors.