When CRE Loan Accommodations Create More Risk Than Relief

Banks continue to face pressure from maturing commercial real estate (“CRE”) loans originated in a materially different rate, market, and valuation environment. Around $1.7 trillion of CRE debt is scheduled to mature through 2026, while refinancing conditions remain constrained by elevated interest rates, soft markets and sometimes significantly weaker property valuations. While extensions and other accommodations over the last few years have helped manage near‑term credit stress, repeated... By: Poyner Spruill LLP