Commercial Real Estate Lending Surpasses Pre-Recession Levels

Not only has commercial real estate lending caught up to where it was before the great recession in every category except one (construction and development), lending has surpassed where it was before the great recession as well. In a steady stream of signs indicating the real estate market is back, this ranks among the most significant. To quantify, consider the following: going into the summer of 2007, the commercial real estate lending volume was 2 percent less than today.

Not everything is quite so rosy, however. Banks are still wincing from bad debt they foreclosed on. On average, lending institutions have 528 percent more foreclosures on their books than they did in the summer of 2007. To peer at this problem differently, take into account the fact that real estate owned debt stands at $14 billion today, where just seven years ago it was $2.26 billion. All in all, most signs suggest we are on an upswing, even if the scars of the recession haven’t quite healed yet. 


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Nick Banks

Nick created Front Street Commercial Real Estate Group in 2002 and spent the first eight years developing and acquiring office and retail projects in South Florida as well as North Central Florida. In 2010 the focus of the firm was shifted to primarily serve third party clients and perform brokerage, property management and mortgage banking functions. Nick has personally developed and acquired nearly 200,000 square feet of office and retail properties in markets throughout Florida. Prior to founding Front Street, Nick was the Director of Finance and Dispositions for Stiles Corporation in Fort Lauderdale where he financed and sold over $500 million in commercial real estate. Before joining Stiles, Nick was an Associate Director at GE Capital Real Estate where he sourced over $200 million in financing throughout Florida. Nick is a graduate of the University of Florida with a degree in Finance and a concentration in Real Estate. He serves as a board member and current vice-chair for the United Way of North Central Florida where he also chairs the Development Committee. Nick is actively involved with the Gainesville Area Chamber of Commerce where he serves as a board member and committee member for the Council for Economic Outreach. He is also a recent graduate of Leadership Gainesville which is a year long leadership program hosted by the Chamber. He is a member of Grace United Methodist Church where he has served as finance chair and as a member of the leadership council. Nick serves as an advisory board member of the University of Florida Bergstrom Center for Real Estate Studies. Nick was recently named chair of the Gainesville committee for the North Florida chapter of Urban Land Institute (ULI). He is a licensed real estate broker in the State of Florida and is a long time member of the International Council of Shopping Centers.

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