CMBS lenders continue to loan money to local property investors, but the mounting Euro debt crisis could drive that to a halt, according to JLL real estate investment banking guru Dave Hendrickson.
Hendrickson tells Crain’s Chicago Business that the CMBS market is “at the whim of Europe right now,” and that many lenders may be forced to the sidelines if European leaders can’t stem the tide of the crisis:
“If something goes amiss like it did last year — and it feels a little shaky right now — then volumes are going to be off.”
According to Crain’s, Chicago investors netted $336.5 million in CMBS loans through June 1 of this year, far off the the pace of roughly$800 million by mid-year last year but still higher than the previous two years combined.
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