Lenders change with interest rate rise: Preliminary analysis

Several major lenders pulled back their outlays of capital in New York City during the first 10 months of 2022 compared with 2021, according to a preliminary analysis from PincusCo Media. Interest rates began rising sharply at the start of the year.

Top lenders such as Wells Fargo and Arbor Realty Trust provided less debt so far this year. In part that has to do with the focus Wells Fargo typically has on large commercial transactions, and those have slowed this year. The total PincusCo shows for 2021 was about $7.3 billion, and so far this year it has provide about $2.2 billion.

The analysis included refinance loans, acquisition loans and initial loans, but not construction loans.

Wells Fargo’s drop in part has to do with its participation in the $3 billion loan to SL Green Realty for One Vanderbilt, the office owners new tower. This year the bank’s largest loan this year was a $621.5 million loan to Co-op City.

Another firm that reduced its outlays was Arbor Realty Trust, which according to PincusCo provided $1 billion in the first 10 months of 2021, has provided just $135 million this year.

Some lenders have increased their outlays, including JPMorgan Chase and Signature Bank. JPMorgan lent against 730 Fifth Avenue and 452 Fifth Avenue.

—Adam Pincus