Understanding what really goes on in the commercial real estate lending industry isn’t the simplest thing to do — but whether you’re a newbie or an experienced investor in commercial properties, it’s essential to know what’s happening in your own local market and also to have an idea about the bigger trends in commercial real estate investing, financing, and developing.
With that in mind, let’s take a quick look at what’s happening with commercial real estate loans and investments today — using a few important statistics as a guide:
- $1.4 trillion: The amount of commercial mortgages that will be maturing between 2014 and 2017.
- $346 billion: The amount of maturing mortgages during 2014 to 2017, taken out of the total $1.4 trillion, that will be coming from commercial mortgage-backed security (CMBS) loans. All in all, CMBS will make up about one-fourth of the total maturing commercial mortgages.
- $225.1 billion: The total value of U.S. commercial real estate transactions during the first six months of 2015. This might not seem like a big amount, but it’s actually an increase of 36% compared to the total sales amount from the first half of 2014.
- $110 billion: The anticipated total amount of newly-issued CMBS during 2015, which would be the highest amount since the Recession hit in 2008 and which would be an increase of 14% compared to 2014.
- $113 billion: The amount of CMBS that are expected to mature in just 2016 alone, According to experts in the commercial real estate investing market, 2016 is expected to see the highest level of maturing CMBS throughout the four-year period between 2014 and 2017.
