At some US regionals, CRE loans eclipse tangible equity by up to 7x
Valley National, NYCB and First Foundation the most levered in a sample of 30 banks
The concentration of commercial real estate (CRE) loans varies widely across US regional lenders, with exposures to the distressed sector eclipsing some banks’ tangible equity as much as seven times over, Risk Quantum analysis shows.
Across 30 US banks with at least $40 billion in assets, CRE loans equate to a median 215% of their tangible common equity (TCE) as of end-2023. The eight US systemic
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