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

Friday, 09 February 2018

New Orleans-Area Shopping Mall Brought to Sales Market

The Esplanade, a 966,997-square-foot shopping mall in suburban New Orleans, is being offered for sale. And it's likely to get redeveloped by whoever buys it. The property had been owned by Simon Property Group, which gave up on it nearly five years ago. It recently lost its Macy's anchor.

Commercial Real Estate Direct Staff Report

The Esplanade, a 966,997-square-foot shopping mall in suburban New Orleans, is being offered for sale.

The property had been owned by Simon Property Group, which had assumed it through its 2007 acquisition of Mills Corp. It's being offered by the bank group that had held mortgage financing against it. The group is said to be led by Aareal Bank and has hired NKF Capital Markets to find a buyer.

The property was constructed in 1985 on a 72-acre parcel at 1401 West Esplanade in 1985 and is anchored by a Dillard's and Target, which own the 316,220 sf they occupy. Including that space, the property is 68 percent occupied. Exclude it and it's only 53.5 percent occupied. Macy's had occupied a 235,518-sf anchor space, but it vacated its space last year. The mall's ownership, which is represented by Pacific Retail Capital Partners, acquired the vacant store late last year for $1.8 million.

The property was one of three that had backed some $291 million of bank financing that had been written...





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  • Breaking mortgage, CMBS, and REIT news

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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

 

 

 

REITCafe

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  • 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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