The losses on troubled CMBS loans has escalated by 33% over the past year, with recovery around 43 cents on the dollar. Many analysts expect losses to continue an upward climb this year, or in other words declining property values mean increasing loss severities. The average loss severity rate for CMBS loans resolved in 2009 was [...]
Posts Tagged ‘cmbs’
Hotels Top the CMBS Delinquency List
Posted in Forecast, commercial real estate, rental rate, square feet, tagged cmbs, commercial loans, commercial real estate, delinquency, extended stay, rental rate, square feet, vacancy on February 11, 2010 | Leave a Comment »
The trend of higher delinquency rates for commercial properties continued its storied climb this month, for the fifth month in a row, finishing at 6% last month. Hotels continue to be the hardest hit, with Extended Stay America now delinquent on a large loan and contributing greatly to the 129 basis-point increase. Most analysts predict the increase will [...]
Bank Closures Bad in 2009, Worse in 2010
Posted in Forecast, Trends, building sale, commercial real estate, office space, rental rate, square feet, tagged apartment vacancy, bank closures, cmbs, commercial mortgages, commercial real estate, delinquency, fdic, office buildings, rental rate, square feet, vacancy on January 18, 2010 | 1 Comment »
Not to be a dark cloud about our ”recovery” (though those who know me expect nothing less) but there are some serious issues yet to be dealt with in the banking system. These “aftershocks” are going to be felt, the question is how bad will the damage be? In 2009, the FDIC sustained losses of over $36 billion due [...]
CMBS Delinquencies On The Rise
Posted in Forecast, Trends, Vacancies, building sale, commercial real estate, downsizing, lease, new office, office brokerage, office space, rental rate, square feet, tagged cmbs, commercial real estate, delinquency, job losses, leases, mortgage, office space, securities, square feet, tenants, underperforming loans on November 21, 2009 | Leave a Comment »
It would appear the world of commercial real estate is only just beginning to show it’s true frailty as a result of the recession. Continued job losses have led to increased loan defaults. Add on hotel underperformance and you have the makings of yet another increase in Commercial Mortgage-Backed Securities (“CMBS”) delinquencies. CMBS late-pays in the U.S. jumped [...]
No Back To The Future For CRE
Posted in Forecast, Trends, Vacancies, commercial real estate, downsizing, lease, office brokerage, office space, rental rate, retail brokerage, square feet, tagged cmbs, commercial real estate, cre, devaluation, fitch, office space, rental rate, square feet on November 5, 2009 | Leave a Comment »
In keeping with Huey Lewis’ popular 80′s movie song “Back in Time”, it appears that is where commercial real estate (CRE) is headed. Over the past two years we have seen extensive damage from the devaluation of commercial real estate assets acquired during the peak years of 2006-2007. But now a new concern is rising that properties [...]
The Call of the Distressed
Posted in Forecast, Trends, Vacancies, building sale, commercial real estate, downsizing, lease, office brokerage, office space, oregon, portland, retail brokerage, square feet, vancouver, tagged cmbs, commercial loans, costar, default, delinquency, distressed properties, flex, industrial, office, plummeting values, retail, specially serviced loans, square feet, vacancy on September 24, 2009 | Leave a Comment »
According to a new report from Costar News, the number of properties under distress and delinquent loans are up by 50% in 2009. Some eye-popping statistics include: Specially Serviced CMBS Loans – loans that are delinquent or reached maturity without pay off or have ongoing issues with credit problems involving tenants or borrowers. Jan. 2009 – [...]
Commercial Loan Delinquency Rates Escalate
Posted in Forecast, Trends, Vacancies, commercial real estate, square feet, tagged cmbs, commercial real estate, delinquent loans, devaluations, fannie mae, fdic, freddie mac, mortgage bankers association on September 11, 2009 | Leave a Comment »
The latest report from the Mortgage Bankers Association (MBA) reflects a rise in delinquency rates on commercial real estate loans. The delinquency rate on commercial mortgage-backed securities (CMBS) overdue by 30 days or more escalated from 1.85% to 3.89% from first to second quarter. Fannie Mae backed loans with a 60 day delinquency rose from 0.34% [...]
A Tsunami of Debt Headed For Our Shores
Posted in Forecast, Trends, Vacancies, building sale, commercial real estate, lease, new office, office brokerage, office space, square feet, tagged 2011, cmbs, commercial assets, commercial mortgage, commercial property, lease, lenders, office buildings, office space, property values, square feet, valuation on August 5, 2009 | 1 Comment »
Just today, I was discussing this very topic with people I met at a local lunch event. The impending commercial mortgage issue is a doozy and while the economy is showing signs of bottoming out and turning toward a slow, slow recovery many believe this is a recession/recovery looking more like a “W” than a “V” or “U”. [...]
National Real Estate Investor- Property Owners Use Strategic Default as Bargaining Tool September 2, 2010Property Owners Use Strategic Default as Bargaining Tool
- Property Owners Use Strategic Default as Bargaining Tool September 2, 2010
- Retail Traffic
- Property Owners Use Strategic Default as a Bargaining Tool, With Some Success September 1, 2010As an increasing number of commercial property owners face upcoming debt maturities, more of them have started to use threats of strategic default as a bargaining tool.
- Property Owners Use Strategic Default as a Bargaining Tool, With Some Success September 1, 2010
Archives
Tags
