Lending and credit
Lending and credit covers how commercial property debt is sized and priced, and how lenders judge the borrower behind a term sheet. Expect plain answers about real documents.
A reader can settle how debt service coverage and loan to value limits shape the amount a lender will advance. Another can learn what a bank, a life company, a debt fund or a CMBS conduit expects from a sponsor. The personal financial statement and the schedule of real estate owned are part of that. Fixed and floating coupons, rate caps and prepayment terms belong in this area too. Maturity dates and refinance risk get the same attention, along with extension and workout talks when credit tightens.
- Agency Loans Among Multifamily Capital Sources
Where agency multifamily loans fit among banks, life companies, CMBS & debt funds, with funding mechanics, property fit tests and a worked sizing example. - Borrowing, Equity Returns and Downside Risk in CRE
How borrowing changes equity returns and downside risk in commercial real estate, with a worked comparison of two debt ratios and questions for sizing debt. - Commercial Real Estate Loan Maturities and Refinancing Risk
How maturity walls create refinancing gaps, with loan sizing math, extension economics and the tests that show whether a property can repay its balloon. - Fixed Versus Floating Rate Commercial Real Estate Debt
Compare fixed and floating-rate commercial real estate debt through coverage tests, rate caps, loan maturity, exit value and a worked interest cost example. - Floating Rate Loan Risks and Interest Rate Caps
Floating-rate CRE loans carry cap expiry, extension hedge costs and refinancing gaps that a benchmark cap does not remove. Mechanics and a worked example. - How Bank Regulation Shapes CRE Lending
Bank capital rules and supervisory concentration indicators shape how banks lend on commercial real estate, handle loan workouts and fund other lenders. - How Construction and Bridge Financing Works
How construction and bridge loans fund, who pays for interest reserves, what a takeout must cover, and a worked refinancing test with two value cases. - How Credit Tightening Changes CRE Loan Access
Credit tightening cuts CRE loan proceeds through lower LTV, higher DSCR and shorter interest-only periods, while lender capacity and property type shape access. - How Higher Rates Change CRE Refinancing
Higher rates shrink refinancing proceeds through debt service and cap rates. See how lenders size loans, a worked example and the equity gap that follows. - How Lenders Evaluate Sponsors and Borrowers
How commercial real estate lenders assess borrowers and sponsors: liquidity, experience, equity at stake and who funds a shortfall, with a stressed example. - How Lenders Size a Commercial Real Estate Loan
Learn how lenders cap commercial real estate loan proceeds at the lowest of several sizing limits, with a step by step worked example and a refinance gap test. - Loan Extensions and Workouts: How Lenders Decide
How lenders weigh loan extensions, modifications & workouts: the repayment test, collateral review, sponsor equity and a worked refinancing gap example. - Mezzanine Debt and Preferred Equity: Filling the Gap
Mezzanine debt and preferred equity fill financing gaps, with different collateral, payment terms and loss exposure that shape the cash left at a property exit. - Options When a Commercial Mortgage Is in Default
Commercial mortgage default options compared: forbearance, modification, paydown, discounted payoff, note sale and foreclosure, with a recovery walk-through. - Preparing for a CRE Loan Maturity and Refinance
How borrowers prepare for a commercial real estate loan maturity: sizing the refinance, the equity gap, extension terms and a cash example with stress cases. - Reading Commercial Real Estate Debt Risk Before Investing
How to review commercial real estate debt: coverage under a rate rise, maturity & refinancing gaps, and a worked example comparing two cases side by side. - Types of Commercial Real Estate Lenders
Commercial real estate lenders include banks, life insurers, CMBS conduits, agency channels and debt funds. Holders and loan terms differ by lender type. - Why Family Offices Shift from Real Estate Equity to Debt
Why family offices weigh real estate debt against equity: payment priority, collateral recovery, covenants, and a worked example of lender and owner outcomes. - Why Nonbank Lenders Gained CRE Lending Share
Nonbank lenders and debt funds gained commercial property lending share as banks cut direct loans and began financing other lenders. Here is how it works.