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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







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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