Several weeks ago, a group of local commercial developers and lenders sounded a warning about the future of the commercial real estate market, in Wichita and nationwide.
Now comes a Bloomberg piece from Washington, D.C. sounding the same warnings – a cutback in commercial securities, rising default rates, refinancing problems.
Interestingly, the locals said that the problems are manifesting themselves in the Wichita multi-family market, with record numbers of apartment complexes up for sale.
Today, there are 36 multi-family complexes – from duplexes to multi-unit apartment complexes – for sale in Wichita, according to Loopnet. The reason? Many owners bought with conduit loans three to five years ago that are coming due, and will be difficult if not impossible to refinance.
There could be some real bargains soon for cash buyers in the Wichita multi-family market.