SAN FRANCISCO, CA -- With $1.4 Trillion collateralized loans coming due in the next 48
months, and 9.2% of all such loans 30 days past due, you would think that Wall Street and lenders might be hesitant to originate new commercial mortgage-backed securities (CMBS). Not so.
In this well written piece by Matt Hudgins for the National Real Estate Investor, you'll gain insights into what is being referred to as "CMBS 2.0".
The new generation of CMBS seeks to address investors' concerns over previous securitization practices pertaining to disclosure. New deals remove perceived conflicts of interest among the bondholders and shift authority over the special servicer away from investors in the riskiest class of bonds to those at the top of the capital stack.
The innovations seem to be working.
Continue reading "Cracking the new world of securitized loans - CMBS 2.0" »
