Infographics
Commercial real estate finance gets easier to read when the numbers sit in a picture. These graphics cover debt, equity, lender behavior and physical supply across property types.
A reader can settle who is paid ahead of whom when a property underperforms, and which tests a lender applies before sizing a loan. Term sheets read differently afterward. Limited partners and general partners can see how promote, preferred return and voting rights divide economics from control in a partnership agreement. Other graphics show who holds mortgage debt and how bank delinquencies and losses rise and fall. Net lease readers can see which party pays taxes and insurance, a point that changes how a lender reads the income.
- Apartment pipeline: permits, starts & completions
Completions of apartment buildings with 5 or more units average 421,000 units a year, down from a 594,000 high, and permits average 481,000 units a year. - Capital stack as payment priority, control & loss exposure
This framework ranks senior debt, mezzanine, preferred equity and common equity by who is paid first, and shows a $5 drop in value erasing $5 of common equity. - LP and GP economics versus governance
A checklist of five economic terms and five governance rights in a limited partnership operating agreement, each paired with a question for the sponsor. - Net lease structures: who pays what
See how cost responsibility shifts from landlord to tenant from gross leases to absolute net and ground leases, and why the signed lease sets the real split. - Refinancing pressure transmission
A five step framework shows how a balloon loan maturity can become an equity check when new loan proceeds fall short of the old balance in a worked example. - The bank CRE credit cycle: standards, delinquencies, losses
Bank CRE delinquency sits at 1.53% and charge offs at 0.14%, while net easing of lending standards shows across all three loan types in the latest survey. - Three tests that cap loan proceeds: LTV, DSCR, debt yield
Lenders size a loan by three tests and take the smallest answer; see how the loan cap changes in this example as the interest rate moves from 5.0% to 7.5%. - What is being built: data centers versus offices
Data centers run at $85.0B of annual construction spending, 1.9 times general office at $45.8B, with a chart of selected property types for family offices. - Who holds US commercial and multifamily mortgage debt
Banks and credit unions hold 62% of the $4.01 trillion in commercial mortgages, and GSEs and agency pools hold 47% of the $2.49 trillion in apartment debt.