Friday, December 12, 2014

The Impending Wall of Maturities via GlobeSt.com

It’s not a coincidence that in recent reports, both Fitch Ratings and Trepp have used the word “wall” to characterize the CMBS maturities due to occur in 2015, 2016 and 2017. “Over the next three years, more than $300 billion in conduit CMBS loan balance will mature,” according to a Trepp report that cites a preponderance of 10-year balloon loans issued between 2005 and 2007. “That’s more than 2.5 times the amount that matured from 2012 to 2014.”

In fact, Trepp notes, nearly 60% of the loans in the CMBS conduit universe will mature over the next three years. “Commercial real estate lenders, borrowers and CMBS investors alike are looking at the next three years as a true test of the strength of recovering capital markets.”

Read more...The Impending Wall of Maturities - Daily News Article - GlobeSt.com

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