Commercial real estate lending showed strong improvement in the third quarter of 2025, CBRE reported. The CBRE Lending Momentum Index, which tracks the pace of CBRE-originated commercial loan closings in the U.S., increased 112% year-over-year to 1.04 at the end of Q3 2025, reaching levels last seen in 2018. Growth was driven by a 36% year-over-year increase in permanent loan financing, with activity especially strong in September.
Stabilizing borrowing costs and tighter credit spreads helped bridge pricing gaps between buyers and sellers and boosted deal activity across asset classes, according to CBRE. “We’re seeing a broad recovery in investment sales across all major asset classes, led by high-conviction sectors like multifamily and industrial,” said James Millon, president & co-head of capital markets, U.S. & Canada, for CBRE.
He continued, “Office financing and sales volumes have surged by multiples, not percentages, driven by strong fundamentals in the best assets in high-growth markets. Construction activity also remains robust, especially for build-to-core multifamily and large-scale data centers. We expect current momentum to carry into 2026.”
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