Chicago Locke Lord Partner Mark Silverman Quoted by Law360 on Continued Uncertainty for Commercial Real Estate Amid Spike in CMBS Loan Distress

January 8, 2024

Mark Silverman, Partner and Commercial Mortgage-Backed Securities (CMBS) Special Servicer Team Leader in Locke Lord’s Chicago office, was quoted by Law360 on continued turmoil for commercial real estate amid an increase of distress rates for CMBS across industries. Silverman explains that the latest figures continue to show uncertainty “arising from tighter lending standards and higher interest rates for the time being.”

As distress rates rose to 4% in December for multifamily properties, Silverman notes that in this sector, borrowers took on debt when rates were low and banks were lending more often.

“I continue to be concerned about multifamily,” he adds. “Unless interest rates decline, there’s a willingness by banks to lend and valuations improve, I don’t know how all of this maturing multifamily debt gets refinanced.”

Read the full Law360 article (subscription may be required).