Second quarter commercial and multifamily mortgage lending was up 107 percent from last year and up 52 percent from the first quarter of 2011, the Mortgage Bankers Association said today.
“Commercial/multifamily mortgage borrowing and lending continues to rise from the depths of 2009 and 2010,” said Jamie Woodwell, MBA’s vice president of commercial real estate research.
Woodwell said greater stability in property fundamentals and prices, and an improving sales market have created a better climate for borrowers and lenders.
Woodwell said keys to how property owners qualify for mortgage financing will depend on property values and interest rates coupled with job growth, consumer spending, household growth and “other macro-economic trends.”
The association said that the 107 percent overall increase in lending activity during the second quarter of this year was driven by increases in originations for all property types.
The report said that when compared to the second quarter of 2010, the increase included a 141 percent increase in loans for health care properties, a 125 percent increase in loans for hotel properties, a 116 percent increase in loans for retail properties and a 114 percent increase in loans for multifamily properties.
The report said there was also a 54 percent increase in office property loans and a 34 percent increase in industrial property loans.
Howard Pankratz: 303-954-1939 or hpankratz@denverpost.com.
