Thursday, April 2, 2009

LBCMT 1999-C1 - Two Simon Loans Refi

The two large Simon sponsored loans in this deal matured in the first quarter of this year, and apparently refied without any problems. Both loans were purportedly done through insurance company money, allowed Simon to take out new 10-year loans with interest rates just 70-75 bps higher than the old loans. Further, the loans were originated in 1999, so they had 10-years of embedded appreciation, so Simon was able to take out significant equity on the two loans.

LBCMT 1999-C1 New Loan
Penn Square Mall
Rate 7.025% 7.75%
Orig. Bal. $74.8mm $100mm
Most Recent $65.8mm

Woodland Hills
Rate 7.00% 7.79%
Orig. Bal. $89.6mm $97.5 mm
Most Recent $78.6mm

Both of the prior loans were amortizing, so Simon took out a signficant $53.1 mm in cash out of the deal. This is realy what I expect to see in the coming "wave of maturities" - the exception being the 5-year loans starting in earnest in late 2010 and 2011 that seem problematic to me.

2008 YE for Penn Square was a 3.34x DSCR - why doesn't anyone report that! I stumbled across these refis (Hotel Tango Journal Record), but had no problem finding the maturity default last week on another of their malls

No comments: