Four tips for avoiding commercial real estate defaults as clients emerge from the COVID crisis.
Browsing: Commercial real estate
On the latest episode of the ABA Banking Journal Podcast, ABA Senior Counsel Shaun Kern discusses the OCC’s recent proposal to revise its rules on permissible bank premises for national banks and federal thrifts, as well as ABA’s call for the agency to withdraw the proposal.
Loan demand and standards for lending continued to stabilize in the fourth quarter of 2020 after the economic freefall caused by the COVID-19 pandemic in the second quarter.
A global pandemic, a struggling economy and a new administration throw wrenches into risk managers plans for the year ahead.
The FDIC today released a large-scale Community Banking Study that examines community bank performance between year-end 2011 and year-end 2019.
Rising corporate debt, vulnerabilities in short-term wholesale funding markets and commercial real estate were among several risks flagged by the Financial Stability Oversight Council in its annual report released today. The reported noted that “risks to U.S. financial stability remain elevated compared to last year,” and that “the global outlook for economic recovery is uncertain, depending on the severity and the duration of the ongoing pandemic.”
Loan demand and standards for lending began to stabilize in the third quarter after demand weakened and standards tightened during the economic freefall of the second quarter.
The share of commercial real estate loans 30+ days delinquent jumped from 0.9% in April to 5.1% in June. Though that share eased to 3.2% in October, the delinquency rate remains 2.3 percentage points above its April levels.
ABA Chairman Jim Edwards takes office at an unexpectedly difficult moment—and with a uniquely suited portfolio of skills.
Commercial real estate has faced substantial headwinds from stay-at-home orders and changing consumer behavior, and in many cases CRE has not received the same level of support available to consumers and small businesses.