Agency CMBS – the sophisticated tool for raising cheaper commercial real estate debt!

As was the case prior to the global financial crisis, the current driver for all new European CMBS deals stems from the adoption by investment banks of the originate-to-distribute business model for financing commercial real estate assets.  This trend is showing no sign of abating in the CMBS 2.0 era with twenty of the twenty seven public CMBS deals that … Continue Reading

CMBS 2.0 IN FOCUS: Liquidity Facilities – the wild child of CMBS 2.0

In the second of a series of blogs, in which we address the evolution of CMBS structural features, we will consider the most (arguably) integral form of credit enhancement for any CMBS deal, the liquidity facility.

Liquidity facilities are structured as 364 day committed revolving credit lines that can be drawn by a CMBS issuer to satisfy the payment of … Continue Reading

Moving out of the dog house? The case for easing punitive capital requirements on securitisations

S Caldwell blog - 12.08.15Eight years on from the credit crisis, the drive to rehabilitate securitisation continues.

The most recent body to speak up for the increasingly regulated structures is the European Banking Authority, which last month published an Opinion and an accompanying Report on the establishment of a European framework for qualifying securitisations for the purposes of determining favorable regulatory capital treatment.

It … Continue Reading

CHAPS and CREST settlement days to be extended in summer 2016

clocksI bring good news from the Bank of England. Whether you have been up all night trying to close a £1 billion securities transaction for your client, or you are buying a house and there’s a last minute snag, the deadline for settling securities transactions and making high-value cash transfers is due to be extended next year.

On 23 July … Continue Reading

Just when you thought Deco-ast was clear for special servicer replacements

If you thought the wrangling over special servicer replacements was over following Richard Snowden QC’s judgment in US Bank v Titan Europe 2007-1 (NHP) plc in April last year, think again.

Ever since Fitch issued their press release confirming that as a matter of policy it would not provide rating agency confirmations (RACs) in relation to the replacement of special … Continue Reading

Grexit: Grief or Gift?

On July 5, the Greeks voted emphatically against their creditors’ proposals.  Earlier that week, the IMF released a report in which it recommended a comprehensive recover plan that included a debt relief or a debt moratorium for at least 20 years.

WHO IS AT RISK?

Previous bail out plans have mainly served to reduce the exposure of private creditors, i.e … Continue Reading

CMBS 2.0 – Quantum or Solace

Sunday marked the fourth anniversary since Deutsche Bank successfully brought to market Deco 2011-CSPK (“Chiswick Park”).  As many market observers will testify, this was a defining moment  for the European CMBS market as it not only marked the return of true primary issuance but the transaction included structures that were designed to overcome many of the structural flaws … Continue Reading

Who needs New York law when you can have an English scheme of arrangement instead?

DTEK Finance B.V., Re [2015] EWHC 1164 (Ch)

Following upon the November judgment in Re APCOA Parking Holdings GmbH, last week Mrs Justice Rose sanctioned a scheme of arrangement between the Dutch company DTEK Finance B.V. (“DTEK”) and holders of notes issued by DTEK in 2010 (the “Notes”). This is notable in that it reinforces the finding in APCOA … Continue Reading

Mini-bonds – So good things come in small packages?

Minibonds photoThis may be a slightly odd question with which to start a legal blog post, but do you like burritos, wine, or chocolate? Who doesn’t, right? If only there was a way of making money off your addiction to tasty Mexican treats or decadent Swiss truffles? Well, as it turns out, there might be…

Mini-bonds have become an increasingly popular … Continue Reading

The Capital Markets Union – a great race?

Running man - RBSUThe Investment Plan, developed by the European Commission, has the potential to be one of the most important and radical changes to how the European Union operates in the last 25 years.  Not only will it seek to harmonise the financial and regulatory barriers to investment, but it will look to harness the collective power of the EU and … Continue Reading

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