FEB 2007 VOL. 2

Did You Know

……that the top lenders in commercial real estate are projecting another record year in 2007. The final numbers aren’t in for the fourths quarter, but according to the Mortgage Bankers Assn., lending in 2006 will easily surpass the $201 billion record set in 2005. If they’re right, that would mean three years of back-to-back records. At the MBA CREF conference in San Diego this week, lenders cited strong fundamentals in commercial real estate in the U.S. economy. In many property types—office and multifamily—rents are rising and signs of overbuilding are scarce. The most popular target for investors seems to be hotel properties, where lending in 2006 jumped by 20%.