The nation’s multifamily owners are facing a financial crunch as they try to refinance construction and other loans. But Boston is likely to see a lot less distress than Sunbelt cities, experts say.
This morning, a groundbreaking ceremony marked the beginning of construction at the 1011 Harrison Ave. site. But the project plans took a different turn amid delays in redevelopment of the South End property, which had been in the works since 2020.
After a decade-long expansion, real estate investors and developers are confronting the reality that investment will be more selective in 2024 – perhaps even the most challenging financing climate in over a decade.
A Federal Reserve report Monday showed that banks raised their lending standards for business and consumer loans in the aftermath of three large bank failures and expect to lift them more this year, a trend that could slow the economy in coming months and increases the risk of a recession.
Last week’s bank earnings reports confirm: It’s going to be a long wait before projects will be able to find ready financing again.
Senate Democrats have agreed to eleventh-hour changes to their marquee economic legislation that preserve a commonly-used method of financing real estate developments.
