CMBS loans gaining strength

Miami /
Aug.August 16, 2010 02:15 PM

The commercial mortgage-backed securities market is showing some welcome improvement, according to data released today by commercial tracking firm Trepp. Almost 50 percent of loans in CMBS were paid off before their balloon date — the date at which the loan matures and the remainder of the balance is due. This is more than 10 percentage points higher than the rate seen in June, according to Trepp, and the highest level seen since 2008. Before the recession the payoff percentages hovered above 70 percent, according to the tracking firm. While this is certainly progress, however, Trepp cautioned against overly exuberant optimism. “This month’s number reinforces the notion that the recovery in commercial real estate lending is still in the embryonic stage,” a spokesperson for Trepp said. “In order to feel truly confident that lending for maturing CMBS loans in gaining traction, we would want to see this percentage exceed 50 percent for a period of three to four months.” TRD

 

Related Articles

arrow_forward_ios
Hollywood Locations' Christopher Ursitti and 1400 Northwest 31st Avenue (Hollywood Locations, Google Maps)
Movie studio complex may rise on former incinerator site in Fort Lauderdale
Movie studio complex may rise on former incinerator site in Fort Lauderdale
McDowell wants to build 201 apartments near Homestead, puts land under contract
McDowell wants to build 201 apartments near Homestead, puts land under contract
McDowell wants to build 201 apartments near Homestead, puts land under contract
Jackie Soffer with 2750 Northeast 199th Street (Google Maps, Turnberry.com)
Jackie Soffer’s Turnberry proposes office/retail project near Aventura Mall
Jackie Soffer’s Turnberry proposes office/retail project near Aventura Mall
Elliot Stone of Royal Castle Companies (FIU Foundation, LoopNet)
Royal Castle Companies buys offices at Boca’s Park at Broken Sound
Royal Castle Companies buys offices at Boca’s Park at Broken Sound
Kobi and Nancy Karp buy Walgreens-leased property in Delray Beach
Kobi and Nancy Karp buy Walgreens-leased property in Delray Beach
Kobi and Nancy Karp buy Walgreens-leased property in Delray Beach
New York, Miami, Chicago, Los Angeles, San Francisco and Chicago (iStock)
As rent explodes nationally, Miami tops the charts
As rent explodes nationally, Miami tops the charts
Cross County Plaza (Madison Properties)
West Palm shopping center foreclosure suit leads to CMBS drama
West Palm shopping center foreclosure suit leads to CMBS drama
Alta Developers’ Raimundo Onetto in front of the development site (Google Maps)
Heading south: Alta buys dev site for apartment complex near Homestead
Heading south: Alta buys dev site for apartment complex near Homestead
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...