U.S. banks, insurance companies, government agencies and other commercial real estate lenders plan to provide more loans for property acquisitions this year, according to a survey by Jones Lang LaSalle Inc.
Forty-three percent of the survey respondents said they expect to lend $2 billion to $4 billion in 2010. Only 21% said they lent that much last year, the Chicago brokerage said Thursday.
Almost 70% of respondents said they would reach that range in 2011.
Commercial property sales tumbled worldwide in 2008 and 2009 as tighter credit standards and falling prices for office buildings, hotels, shopping centers and apartments deterred buyers.
Companies are becoming more willing to offer real estate loans, Jones Lang LaSalle said.
"A few life companies and investment banks we spoke with indicated that they're willing to lend $150 million to $500 million on large, single-asset acquisitions in 2010," David Hendrickson, managing director of Jones Lang LaSalle's real estate investment banking practice, said in a press release.
Last year most respondents said they would lend only $10 million to $25 million for a single-asset acquisition, the brokerage said.
Jones Lang LaSalle surveyed 60 nationwide lenders during a Mortgage Bankers Association conference held this week in Las Vegas. It didn't identify the respondents, who included commercial mortgage-backed securities dealers and private lenders.
