Nearly $2 trillion of the $4.7 trillion in commercial real estate loans nationwide will mature during the next three years, according to the Mortgage Bankers Association. CBRE expects that most of these loans will be extended, although some forced sales will occur as lenders lose patience or borrowers default.
Of the $900 billion in commercial real estate loans maturing this year, multifamily accounts for $257 billion and office $206 billion. Maturing loan totals for other sectors include $110 billion for industrial, $105 billion for hotels, $71 billion for retail and $19 billion for health care.
Many of the $700 billion in loans that came due last year were extended, increasing the total of loans coming due this year by $271 billion. Similarly, expect many of the 2024 maturities to be extended to 2025.
Office sector loan maturities are the most concerning given the big drop in demand and associated impacts for office space since the pandemic. CBRE expect that l
