So what if the Fed doesn’t cut rates in 2024? Is it the end of the world as we know it? Obviously not but Charlie Rose of Invesco Real Estate opines that far more properties would come to market as a refinance at a much higher interest rate that may not make financial sense. Accordingly, selling may be the best option. He also suggests that gap financing may come to the fore as an interim solution once the original loan has matured. Others quoted in the article claim, and rightfully so, that if no rate cuts come, distress in CRE at some notable level is sure to follow.

 

 

Svikhart & Associates, a Salt Lake City-based real estate services company, focuses on asset management, brokerage listings and sales, and all aspects of a multifamily investment. Specific diligence regards property operations and strategies to maximize asset performance and value. Additionally, the firm assists owners regarding economic, financial and market factors that impact returns on investment. The firm targets ‘Mid-Tier’ assets which it defines generally as 10-to-60-unit properties.

 

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