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Commercial Real Estate Finance (CREF)

Commercial Real Estate Finance (CREF) involves providing funding for the purchase, development, or refinancing of income-producing properties like office buildings, shopping centers, or apartments. Investors and lenders supply capital on the expectation that the property’s income will generate enough cash flow to repay the loan, often secured by a mortgage on the property itself. CREF can involve various financing structures, such as loans, bonds, or pooled investment funds, tailored to meet the specific needs of the property and investors. It plays a vital role in supporting the growth and sustainability of commercial real estate markets.