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

Friday, 12 May 2017

New York REIT Aims for Full Liquidation by Early Next Year

New York REIT Inc., which late last year adopted a plan of liquidation, expects to sell off all its assets by early next year. It already has its most valuable asset, One Worldwide Plaza, on the sales block and hopes to generate $2 billion from its sale. And it's pitching its 1440 Broadway office building as a value-add play. That property is only 75 percent occupied.

Commercial Real Estate Direct Staff Report

New York REIT Inc., which late last year adopted a plan of liquidation, expects to sell off all its assets by early next year.

It already has started marketing its most-valuable asset, One Worldwide Plaza, a 47-story office building with 2.1 million square feet at 825 Eighth Ave. in Manhattan. Eastdil Secured is handling the offering.

It owns the property through a venture with George Comfort & Sons, and has exercised an option to acquire an additional 49.9 percent stake, which would give it a 98.8 percent interest. Completion of its purchase is pending its ability to assume more of the $875 million of financing against the property.

A $710 million piece of the financing is securitized through COMM, 2013-WWP. The senior loan pays a 4 percent coupon and matures in 2023. It doesn't amortize yet, but will start to do so, on a 35-year schedule, next March.

The property had generated $87.3 million of net operating income last year, according to servicer data compiled by Trepp LLC. Based on that and the 4.3 percent capitalization rate the New York REIT pegs to the property, it could sell for about $2 billion, or $987.80/sf.

In addition, it has hired Eastdil Secured to market for sale the 240-room Viceroy Hotel in midtown Manhattan. It carries the 29-story property, between East 56th and 57th streets,...





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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

 

MOODY'S/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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