Commercial real estate lenders may have their hands full in the event of a recession, according to a new report.
U.S. lenders have “much greater risk exposure than publicly recognized” to the commercial real estate sector, real estate data firm CrediFi says in the report, provided first to Fortune. The study deems lenders’ exposure to the retail and industrial property sectors as particularly risky in the event of an economic downturn, as well as declining commercial mortgage-backed securities (CMBS) originations that leave more risk on lenders’ balance sheets.