The level of U.S. commercial and multi-family mortgage debt outstanding remained steady at $2.4 trillion in the first quarter of 2011, decreasing by only 0.1 percent, or $3 billion, from the fourth quarter of 2010, according to the Mortgage Bankers Association’s analysis of the Federal Reserve Board Flow of Funds data.
“New commercial and multi-family mortgage lending offset the a mount of debt paid-off and paid-down during the first quarter, leaving the outstanding balance essentially unchanged,” said Jamie Woodwell, MBA’s vice president of commercial real estate research.
Five of the seven biggest investor groups increased holdings of both commercial and multi-family mortgages during the first quarter, he said. Commercial banks still hold the majority share of commercial and multi-family mortgages, $794 billion, or 33 percent of the total. — Katherine Clarke