Daily market intelligence on mortgages, equity raising, investment sales, and CMBS.

Monday, 05 March 2007

Another Huge CMBS Deal Hits Market

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The latest, largest CMBS deal ever has been launched.

Wachovia Securities, which had been thought to be working on a deal approaching $8 billion, has unveiled Wachovia Bank Commercial Mortgage Trust, 2007-C30, and it weighs in at a whopping $7.9 billion, dwarfing the last two largest-ever deals: the $6.6 billion CD, 2007-CD4, which also just started being marketed, and the $6.58 billion Greenwich Capital Commercial Funding Corp., 2007-GG9, which priced at extremely tight levels on Feb. 21.

The market, however, has softened substantially since then because of turmoil in the asset-backed securities market.

The upcoming Wachovia deal includes a $2.3 billion class of AAA bonds backed by all the deal's collateral apartment loans. That class will be sold to Fannie Mae and/or Freddie Mac and would be the largest-ever multifamily carve-out. Outside of that class, the deal has $4.7 billion of AAA bonds, the equivalent of three or so conventionally sized CMBS deals.

The bulk of the deal's collateral was originated by Wachovia Bank. But Artesia Mortgage is providing $754.7 million of loans. That's more than a third of what it contributed to CMBS deals all of last year. Credit Suisse is also contributing a smattering of loans.

The deal's largest loan is a $1.5 billion piece of a $3 billion senior financing package on the Peter Cooper Village/Stuyvesant Town apartment complex in Manhattan. An $800 million companion piece was securitized through ML-CFC Commercial Mortgage Trust, 2007-5.

The loan has a 10-year term during which it pays only interest at a rate of 6.38 percent. The property also backs $1.4 billion of mezzanine debt, and another $300 million of mezzanine debt is permitted under the senior mortgage. A total of $890 million was provided to fund a variety of reserves. The apartment complex, which totals 11,232 units, was purchased last year by a venture between Tishman Speyer and BlackRock Realty for $5.4 billion.

Also in the deal's collateral pool is a $536 million piece of a $1.1 billion debt package on Five Times Square, a 1.1 million-square-foot office building in midtown Manhattan that was purchased late last year by AVR Realty Co. for $1.28 billion. It also includes a $387.5 million piece of a $775 million debt package on the State Street Building, a 1 million-square-foot office building at One Lincoln Street in Boston that was acquired in January for $889 million by Fortis Property Group and a group led by investor David Werner.

CWCapital has circled the deal's B-piece.

Comments? E-mail Orest Mandzy or call him at (267) 247-0112, Ext. 211.


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Additional Info

  • Syndicate to Realpoint: No
  • Subject: CMBS - non-deal specific (CMBS-G)
  • Deal Name: CD, 2007-CD4, ML-CFC Commercial Mortgage Trust, 2007-5
  • Company: Transcontinental Realty Investors Inc.
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Data Digest







Top Bookrunners Domestic, Private-Label CMBS - 2017
Investment Bank #Deals Vol$mln MktShr%
Goldman Sachs 17.59 11,819.34 13.68
JPMorgan Securities 14.52 10,968.11 12.70
Citigroup 12.04 10,012.71 11.59
Wells Fargo Securities 14.02 9,936.06 11.50
Deutsche Bank 12.55 9,879.74 11.44




cppichart FP



CMBS 2.0 Spreads


Top CMBS Loan Contributors - 2017
Lender #Loans Vol$mln MktShr%
Goldman Sachs 146.89 11,719.34 13.63
JPMorgan Chase Bank 117.68 10,114.14 11.76
Deutsche Bank 198.48 9,689.97 11.27
Morgan Stanley 166.18 8,539.78 9.93
Citigroup 199.05 8,088.24 9.41





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