Borrowers

The first interest rate cut in the euro area has not changed the lending rate outlook for real estate.

Morningstar DBRS believes the outstanding loan balance is higher than the value of the assets, as rental income declines and vacancy increases.

The manager previously secured an extension to another loan for its Sponda platform in Finland.

The company’s managing director says its latest purchase is part of a growing portfolio of ‘essential real estate’ – for which lenders also have appetite.

The number of borrowers seeking loans for new transactions increased via the online lending platform during Q1 2024.

The debt was provided to Finnish company Technopolis, owned by manager Kildare.

With the country set to elect a new governing party for the first time in 14 years, industry executives consider the implications.

Europe’s commercial real estate lending market remains a mixed bag, with certain strategies and regions more viable than others.

Lenders face troubled debt positions as final maturity dates set out in loan agreements approach.

Lenders will have ‘no choice’ but to enforce if these conversations do not start soon, according to restructuring specialists at accountancy PwC.