The underwriting of commercial real estate loans is part art and part science. When approaching the bank for the capital your transaction needs, it’s important to be able to see the process from all sides. Underwriters will tell you: what gets the benefit of the doubt in underwriting decisions is detail – the more you provide to the lender, the happier and more agreeable that lender will likely be.
With five years of job numbers trouble and economic sluggishness, it’s no surprise that in markets everywhere – primary, secondary, and tertiary – plenty of office properties find themselves in the “wrong hands”. Yet the bargain-hunter market in office properties has been characterized as a lot of money chasing a little product. Which national trend actually prevails — a wave of distressed sales or a pick-your-shots character to most markets in troubled office property?