July 3 (Reuters) – Several U.S. regional and mid-sized banks continue to face the squeeze from high exposure to the commercial real estate (CRE) sector that has been roiled by higher-for-longer interest rates and empty office buildings.

On Wednesday, First Foundation’s (FFWM.N), opens new tab shares slumped after the Texas-based lender with a huge portfolio of multifamily real estate loans disclosed a $228 million “unexpected” capital raise at a steep discount.