Data shows that from 1996-2021, the Hudson Valley region lost a net total of 146,763 people to out migration, which calculates out to 5% of the Hudson Valley’s population.
Elected officials, seeking to appease vocal constituents, frequently uphold restrictive zoning laws that favor single-family residences over more diverse housing options.
In 2023, the Rockland County Office of Consumer Protection investigated 617 complaints and returned $66,000 to homeowners.
During these turbulent times, many lenders are suspending activity or taking very conservative views on ongoing business. Investors are in a panic, not knowing what will be their best path forward.
Having navigated previous financial crises from the Savings and Loan scandal to 9/11 to the Great Recession and with more than 30 years of experience in the commercial mortgage industry, I can shed light on what property owners need to understand as they struggle with the financial impact of COVID-19.
While some financial institutions have curtailed loans, revised their parameters or removed certain lending programs from their offerings, this should be temporary. But even after this crisis is over, the concern of valuation and risk margin will linger, hindering a full recovery in the industry at least in the short term. Lenders will undoubtably pull back on the aggressive lending practices they were demonstrating before this crisis hit.
People are understandably worried about the current financial climate and for weeks we have been fielding calls with clients asking if lenders are still lending, is their property still worth what they paid for it, and what happens when tenants don’t pay their rent. They don’t know if they should contact their lenders, and if so, how should they approach them. This is especially critical when dealing with speculative construction loans and debt workouts with current lenders if the relationship has soured.
In these cases, commercial property owners need to have an advocate for structuring or arranging financing for their properties: someone who represents them—not the lenders—and who understands the processes and terms required to negotiate with a commercial lender which is significantly different than a standard residential real estate transaction. This advice also applies to larger investors who have “over-leveraged” their portfolios, landlords burdened with vacancies and businesses of any size who need to refinance their loans. A good advocate can counsel clients on the most important factors to elaborate on when applying for a loan, as well as what information it is best not to mention.
Ways to Take Action
If you decide to purchase a commercial property, be sure to obtain the best legal representation with in-depth experience in commercial real estate transactions, and ensuring they are available from contract negotiations thru closing.
What questions or information should people consider before calling an advocate?
During my weekly chat session, Ask Robert, listeners can get answers to these questions or weigh in on the Question of the Week regarding commercial mortgages and how they are affected by the circumstances caused by COVID-19. To submit a question, visit https://www.mortgage1.com/ask-a-private-lender/
Boasting a vacancy rate in the low 4% and uninterrupted positive trends in rental rates, fundamentals for Westchester multifamily are strong.
Uniting 1st Priority Mortgage and Hudson United Mortgage offer a wealth of expertise and an expanded array of unique loan products, serving borrowers across the region, company officials stated.
Brokers contend that companies will be attracted to Class A-type space, while properties rated at either B or C will have trouble attracting tenants.
Pursuant to the merger agreement, which was approved by the boards of directors of HVCU, Catskill Hudson and Catskill Hudson Bank, Catskill Hudson stockholders will receive $40.50 in cash for each share of Catskill Hudson common stock.
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