Experienced Kansas City Construction Law Firm
Call Our Team Today
1-800-523-5786

May 2017 Archives

Slowdown in real estate lending sharpest in commercial sector

Real estate experts in Missouri and around the country have predicted for some time that rising interest rates and more conservative lending practices would make financing more difficult to come by for property developers and investors. Data released recently by the Mortgage Bankers Association suggests that these effects are now being felt. The trade group reports that mortgage closings in 2016 were down by 3 percent overall and 7 percent in the fourth quarter.

Political uncertainty may be cause of CRE slowdown

Data from leading research and brokerage firms suggests that commercial property developers in Missouri and around the country are finding it increasingly difficult to secure financing for their latest projects. Property sales figures in the first quarter of 2017 for the nation as a whole were down by 18 percent compared to a year ago according to Real Capital Analytics, but Cushman & Wakefield have reported that they plunged by an alarming 58 percent in New York City.

Commercial property investing offers many advantages

Real estate investors in Missouri and around the country are becoming increasingly interested in commercial properties like offices, stores warehouses and garages. Commercial landlords generally have more businesslike relationships with their tenants, and they rarely have to deal with minor issues or address petty grievances. Most business tenants have reliable sources of income, and they also tend to be more stable and predictable than residential renters.

An overview of the commercial lending market

Nationally, the commercial real estate lending market has begun to tighten as lenders begin to hit capital control restrictions. Other regulatory restrictions may further tighten the commercial real estate lending market. However, those looking to develop Colorado properties may find that there are plenty of opportunities to borrow money. This is because commercial real estate markets correlate highly to local economic conditions.

Our condo association was faced with monumental construction issues thanks to the original developer of our complex. We were cash poor and in no position to get legal representation without a contingency fee arrangement. Luckily for us, Scott Long and Burke Robinson were willing to take us on as clients. Their work ethic, professionalism and knowledge of condominium construction served our association very well. Any association would be well served in hiring these gentlemen to represent them.

Board of Directors - Plaza Gardens on the Lake Condominium Owners’ Association Lake of the Ozarks, MO

Read More Testimonials

Let Us Help You

Contact our Kansas City Construction Law Firm by calling 1-800-523-5786 or by completing this contact form.

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy