Shadow lenders push deeper into risky commercial real estate

Seven years after the financial crisis, private funds in the U.S. are extending their push into traditional banking.

So-called shadow lenders — asset managers that operate outside the banking industry’s regulatory oversight — have been making an increasing number of leveraged loans to midsize businesses.

 Now their involvement is growing in commercial real estate, a market that scorched traditional lenders when it blew up after the 2008 financial crisis.

Read entire article in Seattle Times here.