How to scale the heights of private real estate’s refinance mountainThe $2 trillion worth of real estate loans due in the next five to six years would be a steep challenge even in fully functioning banking and finance markets. But real estate investors also have to navigate the contracting supply of bank debt and other finance products, as well the escalating costs of other sources of capital.
Property valuations are becoming a real issue too. Trepp estimates between 50 percent and 75 percent of loans have loan-to-value (LTV) ratios well in excess of 100 percent.
With additional first-mortgage lending beyond 65 percent LTVs unlikely to be widely available, the funding shortfall is going to create tremendous opportunities for subordinated lenders, distressed opportunities and potential losses for existing owners of these loans.
PERE’s new publication Real Estate Financing, lead-edited by Sam Chandan of Chandan Economics in New York, offers expert insight into the factors that have created today’s finance market conditions. It guides you through the merits of different finance solutions and maps out opportunities available to bankers, financiers and other lenders. With a unique collection of practical papers written by banking and finance practitoners, as well as interviews with industry-leaders, this publication can help you make better informed and robust investment strategies.
Key areas covered: - Bank lending and commercial real estate in the US and Europe
- Real estate debt capital markets
- Commercial mortgage securitisation
- Financing Japan’s private real estate market
- Government-supported multifamily housing finance programmes in the US
- Mortgage REITs: Real estate finance through public markets
- Private lending in the US
- The rising appeal of note sales in real estate
- The sale-and-leaseback market explained
- The role of life insurance companies
- Regulatory considerations in US real estate finance
Contributors include:- Sam Chandan, Chandan Economics
- Benjamin P. Harris, Annaly Capital Management
- William C. Hunter, Aozora Bank
- Robert A. Knakal, Massey Knakal
- Chris LaBianca, RCG Longview
- Daniel J. Hogan & Joseph M. Mandeville, Red Capital Group
- Greg Michaud, ING Investment Management
- Brain Olasov, McKenna Long & Aldridge LLP
- Ethan Penner, CBRE Capital Partners
- Calvin Schnure, National Association of Real Estate Investment Trusts
- Zoltan Szelyes, Swiss National Bank
This publication is tailored to the needs of:
- Real Estate Investment Managers
- General Partners
- Institutional Investors
- Bankers and Financiers
- Transactional Lawyers