The New York real estate community has a lot to digest, like the 0.75% rate increase of June, the upcoming rate increase in July, and the sunset of the 421a tax abatement. All of these factors have, to say the least, rocked the boat as real estate owners and developers are struggling to secure attractive financing and plans for new developments are being put on hold.

However, this volatility also presents opportunity, as lenders and investors are recalibrating their strategies and are anticipating more recapitalizations and acquisition of NPL’s. As we continue to help our clients navigate these choppy waters, it is interesting to see if the Fed achieves its “soft landing” or if we are heading into a 1970’s type stagflation.