The commercial real estate industry is grappling with the escalating cost of property insurance, driven by a combination of scarce reinsurance, persistent inflation, regulatory restrictions, and a spike in weather-related claims.
Tag: commercial real estate
Rising Interest Rates Hit Landlords Who Can’t Afford Hedging Costs
The cost of insuring commercial real-estate loans against a rise in interest rates has exploded over the past year, raising the prospect of a market selloff since many property owners will no longer be able to afford these hedges.