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Monday, 15 October 2012

StuyTown Generated $83.7Mln of NOI in First Half of Year

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Commercial Real Estate Direct Staff Report

The Stuyvesant Town/Peter Cooper Village apartment complex generated $83.69 million of net operating income during the first six months of the year, according to the trustee for a CMBS deal that holds some of the property's debt.

Annualized, that would amount to $167.4 million, which would value the property at nearly $3.4 billion, assuming a 5 percent capitalization rate, according to analysis by Bank of America Merrill Lynch, which highlighted the report of the property's NOI.

BofA, in its analysis, said the 11,227-unit property would probably change hands at a lower cap rate, which would result in a higher price. So, it said, losses incurred by the five CMBS deals that hold $3 billion of debt against it would be less than previously estimated. BofA said a $3.4 billion-plus valuation would allow the property to get refinanced and pay back about half of the $282.3 million of the interest payments that have been advanced against the debt so far.

The CMBS debt that was divided among five transactions:

- Wachovia Bank Commercial Mortgage Trust, 2007-C30, which holds a $1.5 billion piece of the debt;

- ML-CFC Commercial Mortgage Trust, 2007-5, with an $800 million piece;

- Cobalt CMBS Commercial Mortgage Trust, 2007-C2, with a $250 million piece;

- Wachovia Bank Commercial Mortgage Trust, 2007-C31, with a $247.7 million piece; and

- ML-CFC Commercial Mortgage Trust, 2007-6, with a $202.3 million piece.

StuyTown was purchased by a venture led by Tishman Speyer in 2006 for $5.4 billion.

Its value plummeted in 2009 when a New York State Appellate Court ruled that units could not be moved from the city's rent-stabilization rolls because the property was part of a city program that provides tax breaks to landlords who rehabilitate properties and keep their rents regulated.

The property's debt is being handled by special servicer CWCapital Asset Management.

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



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Additional Info

  • Syndicate to Realpoint: No
  • Cities: New York City
  • States: New York
  • Sector: Multifamily
  • Subject: Property Management (MGMT)
  • Valuation: Between $50 million and $100 million
  • Private: No
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Data Digest

 

CMBS DELINQUENCY VOLUME

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CMBS SPECIAL SERVICING VOLUME

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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

 

RCA CPPI

 

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CMBS 2.0 Spreads

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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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