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

Wednesday, 17 June 2020

2 CMBS Conduit Deals Launch on Heels of Well-Received Transaction

A pair of CMBS conduit transactions have been launched, after investors last Friday rewarded an $807.82 million deal with the tightest spreads since before the coronavirus pandemic took hold. One of the two deals has a nearly 10 percent exposure to the Bellagio Hotel and Casino in Las Vegas that's net leased to MGM Resorts International.

Commercial Real Estate Direct Staff Report

A pair of CMBS conduit transactions have been launched, after investors last Friday rewarded an $807.82 million deal with the tightest spreads since before the coronavirus pandemic took hold.

The collateral pools for the two upcoming deals, JPMDB Commercial Mortgage Securities Trust, 2020-COR7, and BANK, 2020-BNK27, are comprised of loans written before the middle of March, when near nationwide lockdowns were instituted. But there's one exception: a $37.4 million piece of a $649.4 million loan against 68 industrial properties with 11.1 million square feet that Blackstone Group had purchased last year as part of a much larger portfolio for $18.7 billion from Global Logistics Properties. The latest loan, which is being securitized through the $909.4 million JPMDB 2020-COR7 deal, was used to refinance existing debt. It requires only interest payments, has a 77-month term and pays a coupon of 3.55 percent.

The JPMDB 2020-COR7 deal has no exposure to the hotel sector and includes only $28.2 million of loans, or 3.1 percent of its balance, that are secured by retail properties. The sponsor of one loan, a $42.4 million piece of a $133 million mortgage against an office portfolio in Virginia, has received permission from the loan's servicer to defer payments into a reserve account. The collateral portfolio - 22 properties...





weekly-call-to-action

“The Weekly”

“The Weekly” is Commercial Real Estate Direct’s PDF newsletter, sent to subscribers every Friday morning. With over 100 news stories published on Commercial Real Estate Direct each week, “The Weekly” features the top stories in commercial real estate that industry participants need to know first. “The Weekly” also contains:

  • Breaking mortgage, CMBS, and REIT news

  • Quarterly league tables with rankings of B-piece buyers, book runners, and lenders

  • Industry moves and changes in “The Insider“

Data Digest

 

CMBS DELINQUENCY VOLUME

dqdataFP1

 

CMBS SPECIAL SERVICING VOLUME

sschartfp

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

 

cppichart FP

 

 

CMBS 2.0 Spreads

AAAspreads

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

  • 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
warehouse-backstage