Hints and tips:
Related Special Reports
...A German bank specialising in CRE finance, Deutsche Pfandbriefbank, announced on Wednesday that it was adding to its reserves for credit losses because of CRE strains; its bonds took a big hit....
...Offices faced big demand reductions from remote work, just as rising rates made it more expensive to finance buildings. Regional banks, the main lenders to offices, were already restricting credit....
...Private finance pushed back strongly against this idea, knowing that it would be less dominant in creditor–debtor negotiations in such a court....
...Yet they need interest from the high-yield loans to finance the generous deposit rates required to attract savers....
...CRE Reits have CRE-itis This doesn’t sound like great news for commercial real estate: Some of the biggest names in commercial real estate lending have all but turned off the spigot....
...Out of all Asian lenders, “Japanese banks look the most vulnerable to US CRE [commercial real estate] risk”, wrote Citi analyst Andrew Coombs in a research note, though he added the risk “mostly concentrates...
...And Silicon Valley Bank’s failure has pushed regional lenders, who finance most CRE, into a defensive crouch....
...Federal Reserve Bank of Atlanta President Raphael Bostic will appear at a conference on household finances....
...Panossian: On CRE, the maturity profile for loans isn’t out in the future; it’s here and now. There will be defaults and losses in certain types of CRE....
...When you write a finance newsletter, it feels like the monthly CPI numbers come out about once a week. At least today’s report (and next month’s) are expected to come in cool....
...martin.wolf@ft.com Follow Martin Wolf with myFT and on X, formerly Twitter Letters in response to this column: A bit of creative thinking on the development debate / From Robert H Wade, Professor...
...But they need interest from high-yield loans to finance the generous deposit rates required to attract savers....
...Barclays has appointed Na Wei as global head of leveraged finance. She previously led the firm’s Emea leveraged finance business....
...Real estate markets also face unique challenges: $3.6 trillion of commercial real estate (CRE) loans are maturing in the U.S. and Europe through 2025, many of which may not qualify for extensions....
...Deteriorating CRE would saddle regional banks with losses, which would cease lending to any CRE up for refinancing, worsening the property downturn....
...This is Unhedged, the markets and finance show from the Financial Times and Pushkin....
...The overall sums lent against commercial buildings are much smaller than the loans extended to finance people’s homes. Defaults might take a while to materialise....
...Lots of businesses are risky, but back in finance school we were taught that shareholders would receive higher expected returns for taking on these risks....
...In a proper slowdown or recession, the CRE dominoes could start to fall. Is there an investment opportunity in there somewhere?...
...But it reflected anxiety about the macroeconomic impact of one of the most tumultuous months in American finance since the global financial crisis of 2008....
...This matters because the market for bonds backed by consumer loans — credit cards, auto loans and the like — turns on the strength of American borrowers’ finances....
...That is testing the appetite of Wall Street behemoths to finance big leveraged buyouts, just weeks after several showed their willingness to underwrite private equity-backed takeovers conceived by Silver...
...In the year to the end of June the number of alternative suppliers in France dropped from 51 to 43, according to the latest data from CRE....
...That could put pressure on CRE loan books....
...“[Beijing feels] this political imperative that digital currency is the finance of the future, and wants to be shaping that future,” Chorzempa said....
International Edition