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

Thursday, 01 February 2018

CMBS Sees Busiest January Since 2014

Last month was the busiest January in terms of CMBS issuance since 2014. A total of nine deals totaling $4.9 billion were priced. That compares with $1.7 billion last year and $2.9 billion in 2016. Meanwhile, two conduits totaling $2.5 billion, including one that's the largest since 2011, are in the starting gates.

Commercial Real Estate Direct Staff Report

Last month was the busiest January in terms of CMBS issuance since 2014.

A total of nine deals totaling $4.9 billion were priced. That compares with $1.7 billion last year, when issuance was stifled as risk-retention rules had just been put in place, and $2.9 billion in 2016. In 2014, January issuance totaled $6.2 billion.

Only two of last month's deals were conduits, with the remainder single-asset transactions. The conduits, Benchmark Mortgage Trust, 2018-B1, and Wells Fargo Commercial Mortgage Trust, 2018-BNK10, priced at exactly the same levels, which were record lows for the CMBS 2.0 era. Their benchmark classes, with 10-year average lives and the highest possible ratings, printed at a spread of 66 basis points more than swaps, while their BBB- bonds priced at 305 bps more than swaps.

All but one of the single-borrower deals were backed by floating-rate loans. They too priced in near lockstep, with their most senior classes pricing at between 70 and 83 bps more than Libor.

Meanwhile, two additional conduit deals are in the market, with UBS Commercial Mortgage Trust, 2018-C8, likely to price early next week. The $1.05 billion transaction is backed by loans contributed...





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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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