CMBS prices remained in a tight range during the last 30 days in which four CMBS deals priced. The benchmark long-term, super-senior bonds from the first issue, a $1-billion offering by Citigroup, Goldman Sachs, MC-Five Mile and Cantor Fitzgerald, priced on February 28 at 93 basis points (bp) over … [Read more...] about 3.17.14: CMBS Prices Remain Firm; Market Stable
3.12.14: SBA Approves Borrower-Friendly Rule Changes for 504 Loan Program
The Small Business Administration (SBA) has issued a rule that will eliminate the section of the SBA guide which limits project expenses eligible for 504 Loan Program financing to those incurred within nine months prior to receipt by SBA of a completed loan application. This change will permit … [Read more...] about 3.12.14: SBA Approves Borrower-Friendly Rule Changes for 504 Loan Program
3.7.14: More on CMBS Loan Quality
Investors in CMBS tend to focus on the top 10 loans in CMBS pools, as these loans tend to comprise in excess of 50% of the principal balance of a CMBS issue, and therefore, they would have the largest impact in the event of default. In general, though, the top 10 loans are higher quality and better … [Read more...] about 3.7.14: More on CMBS Loan Quality
3.3.14: NADCO Sees SBA 504 Refinances on Horizon
As it relates to the on-again/off-again SBA 504 refinance program, Claire O’Rourke, Director of Government Relations at the National Association of Development Companies (NADCO), indicated that lenders need to lobby their representatives. In a recent interview with Bob Coleman, editor of the Coleman … [Read more...] about 3.3.14: NADCO Sees SBA 504 Refinances on Horizon
2.26.14: Takeaways from CW Capital’s $3.2-Billion Troubled Loan Auction
The results of CW Capital’s $3.2-billion bulk sale of seriously troubled CMBS conduit loans began to filter through servicer reports, according to a research piece written by Jeffries. As of the February servicer reports, 77 loans from 12 fixed-rate CMBS conduit transactions had a current balance at … [Read more...] about 2.26.14: Takeaways from CW Capital’s $3.2-Billion Troubled Loan Auction
2.21.14: AAHOA Members: Bring P&L and STAR Report to Philly
ValueXpress will offer “on the spot” loan proposals to Asian American Hotel Owners Association (AAHOA) members attending the “Deal Connection” event and Trade Show at the AAHOA Annual Convention in Philadelphia on March 19-21, 2014. “Just bring your 2013 property income and expense statement and … [Read more...] about 2.21.14: AAHOA Members: Bring P&L and STAR Report to Philly
2.18.14: More Thoughts on the Future of Retail
I’m a (typical?) guy who hates to shop, which is why my wife is both amazed and puzzled by my newfound shopping sprees. No, I’m not talking about buying the latest fashion like “I gotta have that new Michael Kors jacket at Macy’s,” but something different. Every day I come home from work to newly … [Read more...] about 2.18.14: More Thoughts on the Future of Retail
2.13.14: Wells Research Supports Weaker Underwriting Metrics in CMBS Loans
Jim Brett, head of CMBS analytics at ValueXpress, was recently lamenting, “Mike, I feel like the CMBS deals are more aggressive than last year. The underwriting and asset quality just doesn’t feel as good, except for a deal here and there. If I looked at the trailing credit metrics, I wonder what I … [Read more...] about 2.13.14: Wells Research Supports Weaker Underwriting Metrics in CMBS Loans
2.7.14: Report from the 2014 MBA CREF Convention
Participants at the 2014 MBA Commercial Real Estate Finance Convention (CREF) held in Orlando, Florida, agreed the CMBS conduit loan machine is cranking full tilt: Should rates remain at close to current levels, this year's CREF panelists suggested volume of $100 billion in CMBS originations should … [Read more...] about 2.7.14: Report from the 2014 MBA CREF Convention
2.5.14: Ladder Capital Goes Public – Cantor Commercial Real Estate Next?
Ladder Capital Corp announced the pricing of its initial public offering (IPO) of 13,250,000 shares of its Class A common stock at a price to the public of $17.00 per share on Wednesday, February 5. Ladder is a major contributor of loans to CMBS issues with $2.2 billion in loan contributions to CMBS … [Read more...] about 2.5.14: Ladder Capital Goes Public – Cantor Commercial Real Estate Next?
