- July 26, 2018
- Newmark Completes $691 Million of Commercial Mortgages During 2Q2018
- July 10, 2018
- Stancorp’s Mark Fisher Shares Insight on CRE and the Value of MBA Engagement
- June 5, 2018
- Newmark Q&A: What’s Driving Southwest CRE Lending?
- May 15, 2018
- CREFC: California Legislation To Watch
- May 7, 2018
- Time for a Coordinated Bay Area Displacement Policy
- May 3, 2018
- Newmark Completes $409 Million of Commercial Mortgages During 1Q2018
- March 26, 2018
- City Welcomes Big Storage Center
- March 6, 2018
- Newmark Looks at Defining Trends in the Commercial Real Estate Market for 2018
- February 9, 2018
- Newmark Expands San Francisco Production Staff With Key New Hires; On-Boards Five Member Team Specializing In Commercial Mortgage Finance
- January 25, 2018
- Newmark Completes $2.5 Billion of Commercial Mortgages During 2017
- November 27, 2017
- Despite Forecast Increases, Rates At Historic Lows
- November 8, 2017
- Newmark® Completes $726MM In Commercial Mortgages During 3Q2017
- October 24, 2017
- Newmark’s Michael Heagerty Elected to MBA’s 2018 Board of Directors
- October 11, 2017
- Newmark Names Producers Andy Bratt And Demetri Koston as Partners With Largest Privately-Held Commercial Mortgage Bank in Western U.S.
- September 13, 2017
- Real Estate Loan Administrator – San Francisco, CA
- August 7, 2017
- Newmark Completes $731 Million in Commercial Mortgages During 2Q2017
- June 29, 2017
- Newmark Secures $151 Million of New Financing on Behalf of Presson Companies for 30 Property Arizona Industrial Portfolio
- June 19, 2017
- Newmark Secures $68M Financing for Silicon Valley Assets
- June 5, 2017
- Creating a Better Borrower Experience
- April 12, 2017
- Newmark Completes $517 Million in Commercial Mortgages During 1Q2017
- April 4, 2017
- Keeping Focus on Controlled Variables
- March 7, 2017
- Owners of Stabilized Properties Increasingly Turning to Floating-Rate Loans
- February 27, 2017
- CMBS Is A Vital Part Of The CRE Finance Environment
- February 6, 2017
- Multifamily Financing Tightened, But Not Stopped
- February 1, 2017
- JV Secures $325M in Financing to Revive Potala Tower Hotel, Apartment Project in Seattle
- February 1, 2017
- Real Estate Loan Production Associate (Los Angeles)
- January 23, 2017
- Newmark Completes More Than $2.4 Billion of Commercial Mortgages in 2016
- January 19, 2017
- Newmark Turns 10 in Seattle; $421MM Pacific Northwest Production in 2016
- December 16, 2016
- Newmark Turns 25, Reaches $30 Billion in Commercial Mortgages
Newmark Completes $691 Million of Commercial Mortgages During 2Q2018
July 26, 2018
Healthy Production From Pre-Maturity Refinance Fueled by Historically Low Interest Rates Overcomes Dearth of Maturing Loans; Newmark Set to Exceed $2 Billion Total Production in 2018 for Seventh Year
SAN FRANCISCO, CA – Newmark™, the largest independent commercial mortgage banking firm in the western U.S., completed $691 million of commercial mortgages during 2Q2018 across 61 unique transactions. Further, first half 2018 production totals of $1.1 billion indicate production is consistent with Newmark’s expectation of exceeding $2 billion of annual production for the seventh year in a row.
“Commercial real estate allocations have remained consistent from all our lending sources in 2018, even in retail which, however, still remains a case-by-case property category requiring significant underwriting,” said Michael Heagerty, Principal and CFO with Newmark. “While we anticipated a production slow down from the dearth of maturing loans requiring refinancing due to limited placements in 2009, real estate investors continue to seek early exit structured finance options to capitalize on rates that remain at historic lows. While primary MSA markets continue to be favored by capital sources resulting in a highly competitive market for top projects, lenders are also focused on identifying quality opportunities in secondary and tertiary markets where asset underwriting and sponsorship point to long-term performance. These trends point to a healthy second half in 2018.”
In terms of capital requirements for unique asset classes, the active property types for the first half of 2018 included industrial, multifamily and office; with the company’s Los Angeles, San Francisco and Seattle production offices continuing to show the highest placement volumes during the period.
Heagerty pointed to the following trends as worthy of consideration at the close of the First Half 2018:
-2Q2018 Production – Newmark is meeting its quarterly production goals in 2018 from forward-looking clients seeking to take advantage of historically low rates in early refinance transactions. This wave of activity is balancing out the limited number of maturing notes due to the lack of long term loan placements in 2009. Newmark is on track to exceed $2 billion for total 2018 production for the seventh year in a row.
-Secondary & Tertiary Markets – Lending sources have yet to meet 2018 allocations, and are focused on secondary and tertiary markets as well as the primary MSA’s when underwriting meets their qualification criteria. Qualified placements are often receiving multiple structured finance options to select from, with properties in top MSA markets still benefiting the most.
-Capital Sources – Life companies are the most active lending source for Newmark’s clients. These lenders are showing an above average appetite and resulting execution for commercial mortgage allocations.
-2018 Interest Rates – Interest rates are slowly increasing in 2018, but spread compression is compensating to keep commercial mortgage finance rates at historic lows in 2018.
-Legislative Agenda – Newmark’s executive leaders continue to work through industry peer organizations like the Mortgage Bankers Association, the Commercial Real Estate Finance Council and the California Mortgage Bankers Association to help shape the evolutions of Federal HVCRE, HMDA, and Tax Reform legislation. This is a primary goal for the industry in 2018 with long-term impacts. Newmark is committed to playing an active role in the outcome.
-Servicing – Newmark now services a portfolio of commercial mortgage loans for assets across the United States in excess of $12 billion. Loan performance is consistent with underwriting, with limited defaults requiring special service solutions or workouts, an indicator of healthy commercial real estate markets buoyed by a strong overall economy