Daily News: May 29, 2012

CIT Spotlight Series: 2012 U.S. Commercial RE Financing Outlook


According to Matt Galligan, group head of CIT Real Estate Finance, approximately $1.4 trillion of commercial mortgage-backed security (CMBS) transactions are coming due over the next three years, creating an excellent climate for real estate financing. Since many lenders are saddled with large portfolios and a number of European banks are experiencing funding issues, there is a need for financing for new construction or financing to add value to existing properties in the middle market space. Galligan discusses the current trends and financing opportunities in the 2012 U.S. Commercial Real Estate Financing Outlook, the latest in a series of in-depth executive Q&As featured in CIT’s Executive Spotlight series.

Opportunities in Retail and Office Sectors

The cost of financing across most segments has increased because of the weak economic recovery both in Europe and the United States. “We think that the spreads are very attractive in today