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

Monday, 10 July 2017

Inland, Sound Point Debt Venture Launches Non-Traded REIT

InPoint Commercial Real Estate Income Inc., the debt-investing venture that recently was formed by Inland Real Estate Investment Corp. and Sound Point Capital, already has completed two investments. The venture joins the ranks of alternative lenders, but its first two investments involved bonds in single-borrower CMBS transactions.

Commercial Real Estate Direct Staff Report

InPoint Commercial Real Estate Income Inc., the debt-investing venture that recently was formed by Inland Real Estate Investment Corp. and Sound Point Capital, already has completed two investments.

The company, which started raising capital only last October, has purchased bonds from two single-borrower CMBS deals. It bought $5.4 million of class E bonds from JPMorgan Chase Commercial Mortgage Securities Trust, 2015-COSMO, which pay a coupon pegged to Libor plus 465 basis points, and $4 million of class M bonds from Great Wolf Trust, 2015-WOLF, which pay a rate of Libor plus 699 bps. It financed their purchase with $3.6 million of repurchase facilities from JPMorgan Securities that paid a 2.4 percent rate as of the end of March, providing it with a weighted average yield of 6.6 percent.

JPMorgan was the issuer of both CMBS deals.

But InPoint's game plan isn't necessarily to focus solely on CMBS. The company will invest in a variety of commercial real estate debt instruments, including first mortgages, subordinate and mezzanine loans, and loan participations. It also might pursue equity investments in...





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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 - 2016
Investment Bank #Deals Vol$mln MktShr%
JPMorgan Securities 14.94 10,350.16 15.14
Deutsche Bank 14.21 9,926.60 14.52
Wells Fargo Securities 13.36 9,513.96 13.92
Citigroup 10.87 8,061.79 11.80
Goldman Sachs 10.05 7,563.72 11.07

 

RCA CPPI

 

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CMBS 2.0 Spreads

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Top CMBS Loan Contributors - 2016
Lender #Loans Vol$mln MktShr%
JPMorgan Chase Bank 133.67 8,670.33 13.34
Goldman Sachs 156.20 7,418.37 11.41
Deutsche Bank 178.17 6,510.75 10.02
Citigroup 184.41 5,512.20 8.48
Morgan Stanley 113.18 4,130.53 6.35

 

 

 

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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