The senior spreads on a $2.1-billion CMBS offering by UBS, Deutsche Bank and Ladder Capital are shaping up to be slightly tighter than those on another multi-borrower issue that priced last week. The second offering of the year from this trio of lenders is slated soon, following another week of … [Read more...] about 6.10.11: Tighter Spreads Expected on Upcoming Conduit Deal
6.2.11: CMBS Delinquencies Drop to 9.6% in May
The U.S. commercial mortgage-backed securities (CMBS) delinquency rate fell in May to 9.6% for loans 30 or more days delinquent, in foreclosure or REO, according to Trepp LLC, New York. Despite a 5-basis-point (bp) decline, it represented the biggest rate drop for U.S. commercial real estate loans … [Read more...] about 6.2.11: CMBS Delinquencies Drop to 9.6% in May
5.31.11: Growing SBA 504 Secondary Market
According to Jordan Blanchard at CDC Direct, May was a very active month for SBA 504 First Mortgage Pool (FMP) originators. Four pools settled a total of just over $18 million (guaranteed portion). Total 504 FMP volume through May 2011 is $135.7 million. With 18 pools issued to date, the average … [Read more...] about 5.31.11: Growing SBA 504 Secondary Market
5.27.11: S&P Identifies Troubling Trends in New CMBS
Increasingly aggressive property appraisals, so-called "incentive management fees" for hotel properties, and the limited return of "pro forma" underwriting are among the troubling trends that Standard & Poor's (S&P) cites as red flags in the quickly evolving revival of the commercial … [Read more...] about 5.27.11: S&P Identifies Troubling Trends in New CMBS
5.20.11: CMBS Pipeline: An Anticipated $17 Billion Through September 30, 2011
Commercial Mortgage Alert reports $17.4 billion of U.S. CMBS are in the pipeline to price by the end of September. This figure includes two multi-borrower transactions totaling $2.9 billion that are now in the market and expected to price next week. The offerings, at approximately $1.4 billion each, … [Read more...] about 5.20.11: CMBS Pipeline: An Anticipated $17 Billion Through September 30, 2011
5.18.11: B-Piece Buyers Wait on Risk Retention’s Final Act
A B-piece buyer's appetite for taking on 5% risk and the buyer's future affiliation with special servicing will depend on a final risk-retention rule required under the Dodd-Frank Act. The comment period on the banking agencies' risk-retention proposal ends June 10. According to Brian Hanson, … [Read more...] about 5.18.11: B-Piece Buyers Wait on Risk Retention’s Final Act
5.11.11: SBA and Flood Insurance – Check Private Sources in Addition to NFIP
ValueXpress recently obtained a commitment from its partner bank, Country Bank on a hotel located in Brooklyn, NY. A FEMA flood determination on form 81-93 required by the SBA found the property located in a Special Flood Hazard Area (SFHA). The SBA requires that borrowers obtain flood insurance … [Read more...] about 5.11.11: SBA and Flood Insurance – Check Private Sources in Addition to NFIP
5.3.11: Commercial Mortgage Bonds: Largest Rally Since July
Commercial mortgage bonds are experiencing the largest rally in 10 months on growing confidence that declining unemployment will boost the economy enough to stem a tide of loan defaults. Top-rated securities backed by U.S. property loans returned 1.41% in April, while AAA-ranked corporate bonds … [Read more...] about 5.3.11: Commercial Mortgage Bonds: Largest Rally Since July
4.28.11: Killeen-Temple-Fort Hood, TX Claims Top Spot in 2010 Best Performing Cities
Killeen-Temple-Fort Hood, Texas claimed the top spot in the 2010 Best Performing Cities index, according to the Milken Institute. The area edged up from second place in 2009. The area is heralded for its economic performance amid severe national recession. The metro area’s job growth ranked in the … [Read more...] about 4.28.11: Killeen-Temple-Fort Hood, TX Claims Top Spot in 2010 Best Performing Cities
4.25.11: Moving the 504 Refinance Program Forward: SBA Removes Another Roadblock
As some banks discovered as they tried to move new 504 refinance loans through the SBA regional approval centers, their loans were getting thwarted -- not by the SBA, but by the lender that held the note the new lender was trying to refinance. SBA Form 2416 was modified effective April 14, 2011, so … [Read more...] about 4.25.11: Moving the 504 Refinance Program Forward: SBA Removes Another Roadblock