U.S. Regulators Tell Lenders To Work With Stressed CRE Borrowers

June 30, 2023 / no comments

The top regulators of the U.S. banking system are asking lenders to take it easy on commercial real estate owners who are faced with their most difficult environment in over a decade.
Banks should work with commercial real estate firms to find “accommodations and workouts” for upcoming maturities, a group of federal regulators said Thursday in announcing updated guidance for financial institutions.
The commercial real estate sector is facing almost $400B of loan maturities this year alone, and delinquencies are on the rise. The new guidance, which comes in a statement from the Federal Reserve, Federal Deposit Insurance Corp., the Office of the Comptroller…