Lenders becoming more open to retail borrowers

Due to the recent credit crunch and subsequent slowdown in the commercial mortgage-backed securities market, retail borrowers have found extreme difficulty in securing loans to support their businesses. However, some of these reluctant lenders now say they’re more willing to provide loans because they believe that the worst is over. “I think as soon as we hit Jan. 1 there will be a psychological shift, and more money will enter the market,” said Kenneth Fox, managing director at Chicago-based Cohen Financial. Additionally, nearly 75 percent of the bankers surveyed by Jones Lang LaSalle said that they expect their commercial real estate loan production to increase next year, the brokerage reported.