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

Private REIT MedEquities Aims for Liquidity

Monday, 31 August 2015

MedEquities Realty Trust Inc., a Nashville, Tenn., REIT that owns 21 medical-related properties, is planning to go public. The company was formed roughly a year ago and is now looking to list those shares, which would give its existing shareholders liquidity, while providing it access to public equity that it would invest in healthcare-related properties.

Friday, 28 August 2015

John Hancock Life Insurance Co. has provided $100 million of mortgage financing against the 273-room Four Seasons Boston hotel in downtown Boston. The loan retires $71.4 million of debt that was securitized through JPMorgan Chase Commercial Mortgage Securities Corp., 2005-LDP3.

Allstate, Brandywine Venture Puts Va. Office Properties on Sales Market

Thursday, 27 August 2015

A venture of Allstate Corp. and Brandywine Realty Trust is offering for sale two adjacent office buildings with 364,277 square feet in the Washington, D.C., suburb of Falls Church, Va. JLL has been hired to market the eight-story buildings, at 3130 and 3141 Fairview Park Drive, about 13 miles from downtown Washington.

Fortis Offers for Sale Recently Built Apartments in Brooklyn, N.Y.

Wednesday, 26 August 2015

Fortis Property Group is offering for sale Atelier Williamsburg, a recently-completed apartment property with 120 units in the North Williamsburg neighborhood of Brooklyn, N.Y. The property's being offered through HFF and could sell for $865,000/unit, which would result in a capitalization rate, upon stabilization, of 4.5 percent.

Investment Manager Sells Stake in U.S. Office Portfolio; More Deals Planned

Tuesday, 25 August 2015

Rosemont Realty has sold a majority interest in a portfolio of 16 million square feet of office space to a pair of Hong Kong investors, with which it plans to invest up to $3 billion of class-A office properties in the United States in the coming three years.

Monday, 24 August 2015

Bank of America has provided a $180 million loan against the 434,238-square-foot office property at 261 Fifth Ave. in Manhattan's Midtown South area. The financing was used to fund the repayment of a $141 million CMBS loan that matured earlier this month.

Deutsche Lends $130.1Mln Against Manhattan's Lighthouse Building

Friday, 21 August 2015

Deutsche Bank has provided $130.1 million of financing against the 194,220-square-foot office building at 111 East 59th St. in midtown Manhattan, allowing for the defeasance of a $45 million CMBS loan. The collateral property will be redeveloped by its owner, which recently purchased it for $170 million.

Thursday, 20 August 2015

The $94.9 million loan against Gateway Salt Lake, which recently was transferred to special servicing because it is expected to default, could provide a case study on how the waterfall of payments from asset liquidations has changed in the CMBS 2.0 era. Interest shortfalls stemming from appraisal reductions have been made subordinate to a loan's principal.

Deutsche Lends $415Mln Against Chicago's Prudential Plaza

Wednesday, 19 August 2015

Deutsche Bank has provided $415 million of financing against Prudential Plaza, a two-building office complex with 2.2 million square feet in downtown Chicago. The 10-year loan was used to refinance a portion of a CMBS loan that had been modified two years ago into a $336 million A-note and $74 million B-note, the latter of which has been wiped out.

Sabal Financial Taps HFF to Offer $541.2Mln Portfolio of Loans, REO

Wednesday, 19 August 2015

Sabal Financial Group, one of the most active buyers of distressed real estate assets in recent years, is offering a portfolio of 317 performing and nonperforming loans and 114 foreclosed properties with a balance of $541.2 million. The Newport Beach, Calif., company, which is part owned by Oaktree Capital Management, has tapped HFF to market the portfolio for sale.

Raleigh, N.C., Apartments Offered for Sale, Premium Price Seen

Tuesday, 18 August 2015

A venture of Novare Group and Batson-Cooke Development Co. is offering for sale the 320-unit SkyHouse Raleigh upscale apartment property in Raleigh, N.C. JLL has the assignment for the recently-completed development, the first high-rise apartment property in the city.

Empirian Loan Modification Could Forgive Servicer Advances

Monday, 17 August 2015

The modification of the $317 million of CMBS financing against a portfolio of 56 apartment properties that had been owned by Empire American Holdings also might effectively forgive some $62 million of servicer advances and appraisal subordinate entitlement reductions. The loan's modification facilitated the collateral portfolio's purchase by the Chetrit Group.

Friday, 14 August 2015

Starwood Property Trust Inc. has provided $156 million of financing against a portfolio of 29 office and office/flex buildings with 1.6 million square feet in suburban Philadelphia. The floating-rate loan helped finance Brookwood Financial Partners' $183 million purchase of the portfolio from a venture of Brandywine Realty Trust and DRA Advisors.

JPMorgan Lends $164Mln Against Chicago's Civic Opera Building

Thursday, 13 August 2015

JPMorgan Chase Bank has provided $164 million of financing against the Civic Opera Building, a 916,258-square-foot office building at 20 North Wacker Drive in downtown Chicago. The 10-year loan, which pays a 4.6722 percent coupon, was used to fund the defeasance of a $95 million mortgage that was securitized three years ago.

Liberty Property Trust Offers for Sale Tampa, Fla., Office Property

Wednesday, 12 August 2015

Liberty Property Trust, which is looking to exit certain suburban office markets, has placed the Renaissance Center in Tampa, Fla., up for sale. The 573,053-square-foot property has been listed with Cushman & Wakefield and should fetch north of $122 million. Proceeds of Liberty's proposed sales will be plowed into the development of industrial properties.

Private REIT MedEquities Aims for Liquidity

Monday, 31 August 2015

MedEquities Realty Trust Inc., a Nashville, Tenn., REIT that owns 21 medical-related properties, is planning to go public. The company was formed roughly a year ago and is now looking to list those shares, which would give its existing shareholders liquidity, while providing it access to public equity that it would invest in healthcare-related properties.

Allstate, Brandywine Venture Puts Va. Office Properties on Sales Market

Thursday, 27 August 2015

A venture of Allstate Corp. and Brandywine Realty Trust is offering for sale two adjacent office buildings with 364,277 square feet in the Washington, D.C., suburb of Falls Church, Va. JLL has been hired to market the eight-story buildings, at 3130 and 3141 Fairview Park Drive, about 13 miles from downtown Washington.

Fortis Offers for Sale Recently Built Apartments in Brooklyn, N.Y.

Wednesday, 26 August 2015

Fortis Property Group is offering for sale Atelier Williamsburg, a recently-completed apartment property with 120 units in the North Williamsburg neighborhood of Brooklyn, N.Y. The property's being offered through HFF and could sell for $865,000/unit, which would result in a capitalization rate, upon stabilization, of 4.5 percent.

Investment Manager Sells Stake in U.S. Office Portfolio; More Deals Planned

Tuesday, 25 August 2015

Rosemont Realty has sold a majority interest in a portfolio of 16 million square feet of office space to a pair of Hong Kong investors, with which it plans to invest up to $3 billion of class-A office properties in the United States in the coming three years.

Deutsche Lends $130.1Mln Against Manhattan's Lighthouse Building

Friday, 21 August 2015

Deutsche Bank has provided $130.1 million of financing against the 194,220-square-foot office building at 111 East 59th St. in midtown Manhattan, allowing for the defeasance of a $45 million CMBS loan. The collateral property will be redeveloped by its owner, which recently purchased it for $170 million.

Deutsche Lends $415Mln Against Chicago's Prudential Plaza

Wednesday, 19 August 2015

Deutsche Bank has provided $415 million of financing against Prudential Plaza, a two-building office complex with 2.2 million square feet in downtown Chicago. The 10-year loan was used to refinance a portion of a CMBS loan that had been modified two years ago into a $336 million A-note and $74 million B-note, the latter of which has been wiped out.

Sabal Financial Taps HFF to Offer $541.2Mln Portfolio of Loans, REO

Wednesday, 19 August 2015

Sabal Financial Group, one of the most active buyers of distressed real estate assets in recent years, is offering a portfolio of 317 performing and nonperforming loans and 114 foreclosed properties with a balance of $541.2 million. The Newport Beach, Calif., company, which is part owned by Oaktree Capital Management, has tapped HFF to market the portfolio for sale.

Raleigh, N.C., Apartments Offered for Sale, Premium Price Seen

Tuesday, 18 August 2015

A venture of Novare Group and Batson-Cooke Development Co. is offering for sale the 320-unit SkyHouse Raleigh upscale apartment property in Raleigh, N.C. JLL has the assignment for the recently-completed development, the first high-rise apartment property in the city.

Empirian Loan Modification Could Forgive Servicer Advances

Monday, 17 August 2015

The modification of the $317 million of CMBS financing against a portfolio of 56 apartment properties that had been owned by Empire American Holdings also might effectively forgive some $62 million of servicer advances and appraisal subordinate entitlement reductions. The loan's modification facilitated the collateral portfolio's purchase by the Chetrit Group.

JPMorgan Lends $164Mln Against Chicago's Civic Opera Building

Thursday, 13 August 2015

JPMorgan Chase Bank has provided $164 million of financing against the Civic Opera Building, a 916,258-square-foot office building at 20 North Wacker Drive in downtown Chicago. The 10-year loan, which pays a 4.6722 percent coupon, was used to fund the defeasance of a $95 million mortgage that was securitized three years ago.

Liberty Property Trust Offers for Sale Tampa, Fla., Office Property

Wednesday, 12 August 2015

Liberty Property Trust, which is looking to exit certain suburban office markets, has placed the Renaissance Center in Tampa, Fla., up for sale. The 573,053-square-foot property has been listed with Cushman & Wakefield and should fetch north of $122 million. Proceeds of Liberty's proposed sales will be plowed into the development of industrial properties.

Cleveland Developer Tapping Equity from Institutional Investors

Monday, 10 August 2015

Stark Enterprises, a Cleveland developer, has launched a capital group that plans to raise up to $100 million of equity commitments over the next few years through relationships it develops with institutional investors and by retaining and expanding its network of individual and family business investors.

Morgan Stanley Lends $213.3Mln Against Terrell Place Office Building in Washington, D.C.

Thursday, 06 August 2015

Morgan Stanley Bank has provided $213.3 million of floating-rate debt against the Terrell Place office building in Washington, D.C. The debt retires $146.3 million of financing that Metropolitan Life Insurance Co. had provided in 2010. A venture led by Beacon Capital Partners owns the 428,000-square-foot property.

Ladder Capital Lends $160Mln Against 40 Wall in Lower Manhattan

Wednesday, 05 August 2015

Ladder Capital Finance has provided $160 million of debt against 40 Wall St., a 1.3 million-square-foot office property in the Financial District of lower Manhattan. The debt, which will be securitized, retires a loan that Capital One Bank had provided five years earlier.

RioCan Weighs Spin-Off, Sale of U.S. Retail Portfolio

Tuesday, 04 August 2015

RioCan REIT has launched a strategic review, including a potential sale, of its United States holdings: 48 retail properties in the Northeast and Texas with just more than 10 million square feet. The company expanded its presence in the U.S. in 2009, when prices were substantially lower than they are today.

Data Digest

 

CMBS DELINQUENCY VOLUME

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CMBS SPECIAL SERVICING VOLUME

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Top Bookrunners
Private-Label CMBS - FY2014
Inv Bank #Deals Bal $mln MktShr%
Deutsche Bank 27.1  23,479.37 26.3
JPMorgan 18.6  13,752.01 15.4
Wells Fargo 17.2  13,085.05 14.6
Goldman Sachs 9.0  7,896.25 8.8
Citigroup 9.1  7,526.97 8.4

 

 

MOODY'S/RCA CPPI

 

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cmbs2spreads

 

Top Loan Contributors
Private-Label CMBS FY2014
Lender Vol $mln MktShr%
Deutsche Bank 14,005.13 16.0
JPMorgan 11,440.63 13.0
Wells Fargo 5,849.16 6.7
CCRE 5,750.69 6.6
Citigroup 5,604.13 6.4

 

 

 

REITCafe

  • Challenging Retail Environment Weights on REITs
    Mixed economic news is weighing on retail markets, pushing REIT performance down in 2015. This week, the National Retail Federation announced that back-to-school spending is expected to be down 9.3% in 2015. This news came on the heels of a report from the Commerce Department stating that retail sales declined 0.3%...
     
  • US REITs Feeling Effects from Turmoil in Greece and China
    International economic forces have taken center stage this week, affecting both US stock markets and REITs. The crash in the Chinese stock market and ongoing concerns about the future of Greece in the eurozone drove markets down during the first half of the week. REITs fared better than the overall market...

  • What Does Increased Construction Mean for Apartment REITs?
    REITs so far this year have raised $17.1 billion of capital through the sale of unsecured notes, bringing the total raised over the past two and a half years to just more than $75 billion. That’s more than they raised during the previous five years. The massive volume shouldn’t be a surprise as it comes while the yield from 10-year Treasury bonds, the benchmark...
shouldn’t be a surprise as it comes while the yield from 10-year Treasury bonds, the benchmark against which most REIT’s price their bonds
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