Basel III regulations governing high volatility commercial real estate (HVCRE) went into effect. The HVCRE rules require lenders to assign a higher risk weighting to loans for the acquisition, development or construction (ADC) of commercial real estate.
For more information, please check out the following articles on the Real Estate Legal Update blog:
- High Volatility Commercial Real Estate: New Rules Have Effect on Cost and Availability of Mortgage Capital
- Are Small Business Administration 504 Loans Exempt from High Volatility Commercial Real Estate Regulations?
This article is presented for informational purposes only and is not intended to constitute legal advice.