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

Friday, 31 July 2020

PCCP Buys $99.3Mln Loan Against Houston Mixed-Use Property from TPG

PCCP LLC has purchased a $99.3 million performing loan against The Star, a mixed-use property at 1111 Rusk St. in downtown Houston. The Los Angeles investment manager bought the loan from TPG Real Estate Finance Trust, which suffered a loss of $13.8 million from the transaction

Commercial Real Estate Direct Staff Report

PCCP LLC has purchased a $99.3 million performing loan against The Star, a mixed-use property at 1111 Rusk St. in downtown Houston.

The Los Angeles investment manager bought the loan from TPG Real Estate Finance Trust, which suffered a loss of $13.8 million from the transaction, implying the loan sold for roughly $85.5 million, or 86 percent of par value.

As part of its purchase, PCCP has modified the existing loan, providing what it described as "significant new capital."

TPG in 2017 had written the loan to fund renovation work to the historic 16-story property and a lease-up campaign by its developer, Provident Realty Advisors, which had purchased it in 2012.

The building was constructed in 1915 and long had served as the headquarters for the former Texas Co., which eventually became Texaco. The company, now a subsidiary of Chevron Corp., moved out in 1989.

In 2014, Provident launched the property's redevelopment and completed it in late 2018. It has a 286-unit luxury apartment component, 26,442 square feet of ground-floor retail and a parking garage with 682 spaces.

The property sits on a 1.5-acre parcel that takes up an entire city block next...





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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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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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