Proceeds from the sale of assets in the heavily defaulted £850m Gemini CMBS should be classified as principal and not interest, the High Court in London has ruled. The decision means that under the deal’s contract only the Class A noteholders should receive payments from any asset sales. Had the court ruled sale proceeds as interest, then the junior noteholders, classes B to E, would also be eligible for payments.
3 min read · 01 October 2015
Improving industrial performance in the US could result in the sector becoming a larger part of commercial real estate lending through the CMBS markets, according to a new report from data and research firm Trepp.
1 min read · 01 October 2015
There is no single cause for the widening in CMBS spreads that saw the last three European deals sell below par, delegates at Real Estate Capital’s Europe Forum 2015 heard today. Three CMBS deals, from Goldman Sachs and Bank of America Merrill Lynch, priced below par and are assumed to have made losses for the respective issuing banks.
3 min read · 29 September 2015
Seven loans from a JP Morgan CMBS deal from 2006 have been liquidated, amounting to more than $82m in write-offs, according to data from research firm Trepp.
2 min read · 17 September 2015
Rating agency Morningstar has raised a red flag on the potential default of California’s $220m Maple Drive portfolio loan due to the upcoming departures of several major tenants. The loan, the second largest in the JPC07L11 CMBS, is backed by six buildings at three locations (335-345 North Maple, 9242 Beverly Boulevard and 407 North Maple Drive) in Beverly Hills, California, […]
2 min read · 08 September 2015
Kroll Bond Rating Agency (KBRA) is flagging a rise in “Credit Bar-Belling” among CMBS loan pools, a practice that uses lower leverage investment grade (IG) loans to compensate for increases in riskier loans.
1 min read · 03 September 2015
Goldman Sachs has priced its restructured €182.25m REITALY CMBS at a blended coupon of 317.4bps. The deal, a securitisation of a single €191.5m loan to Apollo Global Management for a portfolio of 25 Italian retail assets, was relaunched last week after being delayed in June.
2 min read · 02 September 2015
The US CMBS delinquency rate increased three basis points (bps) in August, negating July’s rate improvement, according to data and research firm Trepp.
2 min read · 01 September 2015
European Commission (EC) plans to unify Europe’s capital markets have been criticised for potentially harming the commercial real estate (CRE) securitisation market. The EC will publish its Capital Markets Union (CMU) plan in the autumn which will outline its proposals to bind Europe’s capital markets closer together.
2 min read · 26 August 2015
Goldman Sachs has restructured its €182.25m REITALY CMBS and is reassessing its price guidance as it relaunches the transaction. The deal is the securitisation of a single €191.5m loan to Apollo Global Management for a portfolio of 25 Italian retail assets.
2 min read · 25 August 2015
