Borrowers

The pandemic is accelerating the growth of non-bank lenders in Europe’s mid-sized loan market, argue panellists at CREFC Europe’s autumn conference.

Loan distress is brewing, banks are playing it safe and alternative lenders are aiming to make gains in the market.

With less than two weeks to go, we urge you to send your submissions for Real Estate Capital’s annual recognition of the European property debt market’s best performers.

The investment manager said long leases on the office building and supermarket which secure the loan were among its reasons for agreeing to the transaction.

Europe’s real estate debt providers have become more selective about what they are prepared to lend against.

The report, authored by the business school formerly known as Cass, reveals new UK lending dropped 34% to £15.5bn in H1 2020.

The Berlin-based advisory and investment firm records 151 investors currently active in Germany’s subordinated debt market.

Speaking ahead of the publication of its H1 2020 report, Nicole Lux of The Business School at City, University of London says lenders have focused on the residential sector.

Refinancing challenges in Europe’s property debt market could lead to more direct real estate sales in the coming 18-24 months, the consultant says.

The recent upsurge in the use of company voluntary arrangements on the UK high street is adding to the risk of financing retail property.