Comments for FORUM: Regulatory limits on CRE lending need a re-think at http://www.ababj.com , comment 0 to 1 out of 1 comments http://www.ababj.com Fri, 24 May 2013 18:35:33 +0100 FeedCreator 1.7.2 http://www.ababj.com/briefing/forum-regulatory-limits-on-cre-ending-need-a-re-think.html#pc_733 Very good commentary on the dangers of concentrations, especially in construction lending. Institutions in Florida and Georgia have been especially hardhit by the slowdown or even standstill of these projects. However, I think there is more to consider when recommending the reexamination of the 300% regulatory threshold. The 300% calculation only includes investor CRE loans(Line1e2) from Schedule RC-C yet many institutions still exceed this threshold. Many banks also have substantially more assets invested in owner-occupied CRE (Line1e1). Often times these assets even exceed the dollar level of investor CRE assets while these loans display much of the same risk characteristics. - Michelle Lucci, CRCM, CAMS Fri, 24 Dec 2010 12:38:05 +0100