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. Although this is a proven and effective mechanism for producing much needed CMBS product, it is important for market participants to be aware that these conduit deals are not the only CMBS structures in the market and that agency deals could potentially be an invaluable tool for any sophisticated borrower that is looking to directly tap the capital markets to raise cheaper finance.
Continue Reading Agency CMBS – is now the time for borrowers to capitalise?
Agency CMBS
Agency CMBS – the perfect pill for a large loan CMBS pricing headache!
By Iain Balkwill on
The recent below par pricing of two Goldman Sachs arranged CMBS deals demonstrate the potential perils of CMBS as a distribution tool for CRE debt. Indeed, these two deals bring into stark focus the pricing quandary that currently confront many conduit lenders. On the one hand, lenders are having to competitively price loans in a…
Agency CMBS – the sophisticated tool for raising cheaper commercial real estate debt!
By Iain Balkwill on
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…