Thursday, August 21, 2014

A hidden pearl

I wonder how many of you have ever faced the situation of being without Intex, Trepp or Bberg and need to look up some bond, or a loan in a deal just to know what deal it's in, what its balance is and so on. 

www.cmbs.com is free, and it's easy to use.  Where it says "find bonds", you can put in a deal using Bberg nomenclature or even a subset of the deal name.  So putting in "2008-c2" will find that most wonderful deal, JPMCC 2008-C2. 

You can see the capital structure and the underlying loans.  OK, you cannot run yields, but it sure costs a lot less than Trepp!

Wednesday, July 30, 2014

Why is this?

According to Morningstar, based on June data:

"the delinquent unpaid balance for commercial mortgage-backed securities, or CMBS, continued its decline to a trailing 12-month low of $32.48 billion (4.32%)"

CS and Barclays both say it's over 8%.

None of the above report non-paying B-notes as delinquent but that's maybe 0.5%

4% versus 8%.  What am I missing?

Friday, June 27, 2014

et encore! another $150MM goes to special

Transaction: GECMC 2006-C1 & GMAC 2006-C1
Property: James Center
City/State: Richmond, VA
Property Type: Office
Balance: $150,000,000
MS: Berkadia Commerical Mortgage LLC
SS: LNR Partners, Inc.
Reason for Transfer: Potential/ Imminent Default

Wednesday, June 25, 2014

Hey now! Another $150MM in loans transfer to special servicing in one day

Transaction: MLCFC 2007-9
Property: 300 Capitol Mall
City/State: Sacramento, CA
Property Type: Office
Balance: $104,330,000
MS: Wells Fargo
SS: LNR Partners, Inc.
Reason for Transfer: Imminent Maturity Default

Transaction: BSCM 2006-PWR13
Property: First Industrial Portfolio
City/State: Various, GA
Property Type: Industrial
Balance: $47,497,720
MS: Wells Fargo
SS: Situs Asset Management
Reason for Transfer: Imminent Monetary Default
 
Fitch recently released their "new" loss estimate of 15.7%
for the 2007 vintage. Who wants to bet that will change 
within three months?  It's subprime all over again!

Sunday, June 22, 2014

CMBS Repurchase claims

Hello once again.

We know that a lot of sketchy loans went into legacy CMBS.  Often, the special servicer delights in pointing out how actual performance differs from predicted performance (even though they bought the at-risk B pieces).  The sole recourse left to the trust is to sue the originator for a breach claim.  This has happened before but seldom.  Orix took Nomura to the cleaners for Doctor's Hospital at Hyde Park (ASC 1997-D5) to the tune of $65MM including legal costs but it took over five years to resolve.   I am aware of only one repurchase claim in the current market, City View Center in MSC 2007-IQ14.  The story here is that a shopping center was built on top of two landfills in a suburb of Cleveland, with a methane remediation system to vent gas through lighting posts in the parking lot.  Wal-mart moved in, decided it stank of fart gas, and moved out, triggering co-tenancy clauses.  MSC is being sued for a breach claim for not having adequately disclosed environmentals.  The loan has been declared non-recoverable and shortfalls are hitting the AJ class.  Any others you know about?